-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, IdWaxmtwg9oTKp7isgWZFuJ6RCKiziwBUN9Ts9T8jUwY4Lcg351ysG3GMlw98wvW pvdBRA2Fwd/q2vRVKDFQ1Q== 0001157523-09-005446.txt : 20090731 0001157523-09-005446.hdr.sgml : 20090731 20090731152023 ACCESSION NUMBER: 0001157523-09-005446 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 20090729 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20090731 DATE AS OF CHANGE: 20090731 FILER: COMPANY DATA: COMPANY CONFORMED NAME: ACADIA REALTY TRUST CENTRAL INDEX KEY: 0000899629 STANDARD INDUSTRIAL CLASSIFICATION: REAL ESTATE INVESTMENT TRUSTS [6798] IRS NUMBER: 232715194 STATE OF INCORPORATION: MD FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-12002 FILM NUMBER: 09977130 BUSINESS ADDRESS: STREET 1: 1311 MAMARONECK AVENUE STREET 2: SUITE 260 CITY: WHITE PLAINS STATE: NY ZIP: 10605 BUSINESS PHONE: 914-288-8100 MAIL ADDRESS: STREET 1: 1311 MAMARONECK AVENUE STREET 2: SUITE 260 CITY: WHITE PLAINS STATE: NY ZIP: 10605 FORMER COMPANY: FORMER CONFORMED NAME: MARK CENTERS TRUST DATE OF NAME CHANGE: 19930329 8-K 1 a6019122.htm ACADIA REALTY TRUST 8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of Earliest Event Reported): July 29, 2009

ACADIA REALTY TRUST
(Exact name of registrant as specified in its charter)

Maryland

1-12002

23-2715194

(State or other

jurisdiction of incorporation)

(Commission

File Number)

(I.R.S. Employer

Identification No.)

1311 Mamaroneck Avenue

Suite 260

White Plains, New York 10605

(Address of principal executive offices) (Zip Code)

(914) 288-8100
(Registrant’s telephone number, including area code)

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

⃞ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

⃞ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

⃞ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

⃞ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02.     Results of Operations and Financial Condition.

On July 29, 2009, Acadia Realty Trust (the "Company") issued a press release announcing its consolidated financial results for the quarter and six months ended June 30, 2009. A copy of this press release is attached to this report on Form 8-K as Exhibit 99.1 and incorporated herein by reference. In addition, on July 29, 2009, the Company made available supplemental information concerning the ownership, operations and portfolio of the Company as of and for the quarter and six months ended June 30, 2009. A copy of this supplemental information is attached to this report on Form 8-K as Exhibit 99.2 and incorporated herein by reference. The information included in this Item 2.02, including the information included in Exhibits 99.1 and 99.2 attached hereto, is intended to be furnished solely pursuant to this Item 2.02, and is not deemed to be "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or incorporated by reference into any filing under the Securities Act of 1933, as amended ("Securities Act") or the Exchange Act, or otherwise subject to the liabilities of Sections 11 and 12 (a) (2) of the Securities Act.

Item 9.01.     Financial Statements, Pro Forma Financial Information and Exhibits.

(d) Exhibits

Exhibit Number

 

Description

99.1

Press release of the Company dated July 29, 2009.

99.2

Financial and Operating Reporting Supplement of the Company

for the quarter and six months ended June 30, 2009.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

ACADIA REALTY TRUST

 

(Registrant)

 
Date:

July 31, 2009

By:

/s/ Michael Nelsen

Name:

Michael Nelsen

Title:

Sr. Vice President

and Chief Financial Officer

EXHIBIT INDEX

Exhibit Number

  Description
99.1

Press release of the Company dated July 29, 2009.

99.2

Financial and Operating Reporting Supplement of the Company

for the quarter and six months ended June 30, 2009.

EX-99.1 2 a6019122ex991.htm EXHIBIT 99.1

Exhibit 99.1

Acadia Realty Trust Reports Second Quarter 2009 Operating Results

NEW YORK--(BUSINESS WIRE)--July 29, 2009--Acadia Realty Trust (NYSE:AKR), today reported operating results for the quarter ended June 30, 2009. All per share amounts are on a fully diluted basis. The information presented below for 2008 has been adjusted as described in footnote 5 to the Financial Highlights tables.

Second Quarter 2009 Highlights

Earnings – 2009 second quarter FFO of $0.30 and EPS of $0.18

  • Funds from operations (“FFO”) per share of $0.30 for the second quarter 2009 compared to $0.38 for second quarter 2008 and FFO of $0.71 for the six months ended June 30, 2009 compared to $0.74 for the six months ended June 30, 2008
  • Earnings per share (“EPS”) from continuing operations for second quarter 2009 of $0.18 compared to $0.30 for second quarter 2008 and EPS of $0.45 for the six months ended June 30, 2009 compared to $0.52 for the six months ended June 30, 2008
  • Earnings guidance increased over previous guidance for full-year 2009 - Updated FFO guidance range is $1.07 to $1.16 and EPS is $0.58 to $0.67

Balance Sheet –

  • Raised approximately $65 million of net proceeds during the second quarter from public equity offering
  • Paid down $43.0 million on credit lines during the second quarter
  • During the quarter, purchased $38.4 million of the Company’s outstanding convertible debt
  • Cash on hand and availability under current facilities of approximately $130 million

Core Portfolio –

  • Same store net operating income decreased 0.2% and 2.5% for the quarter and six months ended June 30, 2009 compared to the same periods in 2008, respectively
  • June 30, 2009 occupancy at 94.2% versus 94.4% at March 31, 2009

Opportunity Funds –

  • During the second quarter 2009, BJ’s Wholesale Club, Inc. opened for business at the Pelham Manor Shopping Center located in Westchester County, NY
  • Approximately $350 million of Fund III investor capital commitments remain available, including approximately $70 million committed by the Company

Second Quarter and Six Months ended June 30, 2009 Operating Results

For the quarter ended June 30, 2009, FFO was $12.0 million, compared to $13.3 million for the quarter ended June 30, 2008. For the six months ended June 30, 2009, FFO was $26.3 million compared to $25.7 million for the six months ended June 30, 2008.

Earnings for the quarters and six months ended June 30, 2009 and 2008 were as follows:

   
Quarter ended June 30, Six Months ended June 30,
2009   2008   Variance 2009   2008   Variance
FFO per share $ 0.30 $ 0.38 $ (0.08 ) $ 0.71 $ 0.74 $ (0.03 )
EPS from continuing operations $ 0.18 $ 0.30 $ (0.12 ) $ 0.45 $ 0.52 $ (0.07 )
EPS $ 0.18 $ 0.51 $ (0.33 ) $ 0.48 $ 0.75 $ (0.27 )

The following are the primary factors which contributed to the $0.12 decrease in EPS from continuing operations for the second quarter 2009 compared with the second quarter 2008:

Increases:

  • $0.11 gain on the purchase of $38.4 million in principal amount of the Company’s outstanding convertible debt at a discount
  • $0.09 increase in interest income from additional 2008 mezzanine financing and preferred equity investments
  • $0.03 as a result of 2009 reductions in general and administrative expenses

Decreases:

  • $0.14 decrease as a result of lease termination income recorded in 2008, net of noncontrolling interests’ share
  • $0.05 resulting from the establishment of a reserve for a mezzanine loan receivable in 2009 due to the loss of an anchor at the underlying collateral property, the Hitchcock Plaza
  • $0.04 decrease in income from unconsolidated affiliates as a result of the sale of an asset in the second quarter 2008
  • $0.03 of additional 2009 reserves for tenant receivables primarily related to the Company’s recapturing of space in connection with the redevelopment of its Third Avenue property
  • $0.02 resulting from the establishment of a reserve for pre-acquisition costs related to one of the Company’s contemplated development projects following the Company’s determination that it most likely will not participate in this project
  • $0.02 related to the sale of land in 2008
  • $0.02 as a result of additional income taxes in 2009
  • $0.02 as a result of dilution from additional outstanding Common Shares in 2009

In addition to the second quarter factors detailed above, the following factors contributed to the $0.07 decrease in EPS from continuing operations for the six months ended June 30, 2009 compared with the six months ended June 30, 2008:

Increases:

  • $0.09 gain on the purchase of $18.4 million in principal amount of the Company’s outstanding convertible debt in the first quarter 2009
  • $0.07 increase in interest income from additional 2008 mezzanine financing and preferred equity investments
  • $0.05 of income recognized as a result of a forfeited property sale contract deposit

Decreases:

  • $0.11 decrease in RCP Venture income from the first half 2008 which included a gain associated with the sale of 43 Mervyns assets
  • $0.04 decline in transactional fee income earned from the Company’s opportunity funds (the “Funds”) due primarily to lower development fees. The fees earned from the Funds are eliminated in consolidation, and recognized through a reduction in income attributable to noncontrolling interests
  • $0.01 as a result of dilution from additional outstanding Common Shares in 2009

Discontinued operations decreased $0.21 for the second quarter 2009 and $0.20 for the six months ended June 30, 2009 as compared to the same periods in 2008 as a result of a gain recognized on the sale of a property in the second quarter 2008.

Strong Balance Sheet – Positioned for opportunity with equity issuance

As of June 30, 2009, Acadia’s solid balance sheet was evidenced by the following:

  • Total liquidity of $130 million, including $71 million of cash and $59 million available under existing lines of credit (excluding the Funds’ cash and credit facilities)
  • Approximately $350 million of Fund III investor capital commitments available, including approximately $70 million committed by the Company
  • 100% of the Company’s core portfolio debt is fixed-rate with an average rate of 5.4% and a debt yield (annualized net operating income divided by principal amount of debt) of 14%. Including the Company’s pro-rata share of Fund debt, 86% is fixed-rate with an average rate of 4.9% and a debt yield of 13%.

As previously announced, Acadia further strengthened its balance sheet during April 2009 with the issuance of 5.75 million Common Shares, which generated net proceeds of approximately $65 million. Following this transaction, Acadia paid down its lines of credit by $43.0 million and purchased $38.4 million of its convertible debt during the quarter. To date, the Company has purchased a total of $64.8 million of its convertible debt for $52.7 million, which represents an approximate 13% yield to maturity on amounts used to purchase its convertible debt.

Retail Portfolio Performance

During the second quarter 2009, redevelopment activities commenced at two properties, the Ledgewood Mall located in Ledgewood, New Jersey and 2914 Third Avenue located in the Bronx, New York. Accordingly, historic net operating income (“NOI”) and portfolio occupancy has been restated to exclude these properties.

For 2009, the core portfolio, which includes the Company’s pro-rata share of its joint venture properties, but excludes the Funds, performed consistently with the Company’s 2009 forecast. Same store NOI decreased 0.2% for the second quarter 2009 from the second quarter 2008. For the six months ended June 30, 2009, same store NOI decreased 2.5% from the six months ended June 30, 2008. Adversely impacting 2009 NOI was the bankruptcy of Circuit City, which accounted for a decline in NOI of 1.3% for the quarter and six months ended June 30, 2009.

Acadia’s core portfolio occupancy was 94.2% as of June 30, 2009. This represents a decrease of 20 basis points from 94.4% occupancy at March 31, 2009 and a decrease of 80 basis points from June 30, 2008 occupancy of 95.0%.

Acadia’s combined portfolio occupancy, including its pro-rata share of its joint venture properties and its Funds, was 93.3% as of June 30, 2009. This represents a decrease of 40 basis points from 93.7% occupancy at March 31, 2009 and a decrease of 140 basis points from June 30, 2008 occupancy of 94.7%.

During the second quarter of 2009, the Company realized an average rent decrease of 10.8% in its core portfolio on new and renewal leases totaling 58,000 square feet, representing 1.2% of the core portfolio’s gross leasable area. Including the effect of the straight-lining of rents, the Company realized average rent increases of 2.2% on new and renewal leases with respect to its core portfolio.

External Growth Initiatives

New York Urban/Infill Redevelopment Initiative

During the quarter, construction was completed on a self-storage facility located on Atlantic Avenue in Brooklyn, New York. As a result, six of the nine Fund II New York urban projects are currently in service and construction is now underway at the Canarsie Plaza, which will be anchored by a 179,000 square foot BJ’s Wholesale Club.

Outlook - Earnings Guidance for 2009

Primarily as a result of Acadia’s initiative to reduce general and administrative expenses, the purchase of its convertible notes (resulting in recognized gains on debt extinguishment), and lower interest expense, the Company has increased its 2009 earnings guidance. Full year 2009 EPS guidance has been increased by $0.11 at the low end and $0.07 at the high end resulting in an updated EPS guidance range of $0.58 to $0.67. Full year 2009 FFO guidance has also been increased by $0.11 at the low end and $0.07 at the high end resulting in an updated FFO guidance range of $1.07 to $1.16. The following is a reconciliation of the calculation of the Company’s current guidance for 2009 EPS and FFO per share:

     

Guidance Range for 2009

   
Low   High
Diluted earnings per share $ 0.58   $ 0.67
Depreciation of real estate and amortization of leasing costs:
Wholly owned and consolidated partnerships 0.44 0.44
Unconsolidated partnerships 0.04 0.04
Minority interest in Operating Partnership   0.01     0.01
Diluted FFO per share $ 1.07   $ 1.16

Management Comments

“We continue to make progress working through the significant challenges facing the economy. We remain focused on maintaining the stability of our core portfolio and the strength of our balance sheet,” stated Kenneth F. Bernstein, President and CEO of Acadia Realty Trust. “Our portfolio, dominated by necessity and value-focused retail anchors and concentrated in dense, high barrier-to-entry locations, continues to perform consistent with our expectations. Furthermore, with our balance sheet reinforced by our April equity issuance and with a significant portion of our Fund III capital still available for new investments, we believe we are well-positioned to capitalize on potential opportunities that are now beginning to arise.”

Investor Conference Call

Management will conduct a conference call on Thursday, July 30, 2009 at 12:00 PM ET to review the Company's earnings and operating results. The live conference call can be accessed by dialing 1-800-295-3991 (internationally 617-614-3924). The pass code is “Acadia”. The call will also be webcast and can be accessed in a listen-only mode at Acadia's web site at www.acadiarealty.com. If you are unable to participate during the live webcast, the call will be archived and available on Acadia's website. Alternatively, to access the replay by phone, dial 888-286-8010 (internationally 617-801-6888), and the passcode will be 60055472. The phone replay will be available through Thursday, August 6, 2009.

Acadia Realty Trust, headquartered in White Plains, NY, is a fully integrated, self-managed and self-administered equity REIT focused primarily on the ownership, acquisition, redevelopment and management of retail and mixed-use properties including neighborhood and community shopping centers located in dense urban and suburban markets in major metropolitan areas.

Certain matters in this press release, including statements relating to Acadia’s future operating results, may constitute forward-looking statements within the meaning of federal securities law and as such may involve known and unknown risk, uncertainties and other factors that may cause the actual results, performances or achievements of Acadia to be materially different from any future results, performances or achievements expressed or implied by such forward-looking statements. These forward-looking statements include statements regarding Acadia’s future financial results and its ability to capitalize on potential opportunities arising from the current economic turmoil. Factors that could cause the Company’s forward-looking statements to differ from its future results include, but are not limited to, those discussed under the headings “Risk Factors” and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in the Company’s most recent annual report on Form 10-K filed with the SEC on February 27, 2009 (“Form 10-K”) and other periodic reports filed with the SEC, including risks related to: (i) the current global financial crisis and its effect on retail tenants, including several recent bankruptcies of major retailers; (ii) the Company’s reliance on revenues derived from major tenants; (iii) the Company’s limited control over joint venture investments; (iv) the Company’s partnership structure; (v) real estate and the geographic concentration of our properties; (vi) market interest rates; (vii) leverage; (viii) liability for environmental matters;(ix) the Company’s growth strategy; (x) the Company’s status as a REIT (xi) uninsured losses and (xii) the loss of key executives. Copies of the Form 10-K and the other periodic reports Acadia files with the SEC are available on the Company’s website at www.acadiarealty.com. Any forward-looking statements in this press release speak only as of the date hereof. Acadia expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in Acadia's expectations with regard thereto or change in events, conditions or circumstances on which any such statement is based.

(Financial Tables Follow)

ACADIA REALTY TRUST AND SUBSIDIARIES

Financial Highlights 1

For the Quarters and Six Months ended June 30, 2009 and 2008

(dollars in thousands, except per share data)

   
For the quarters ended For the Six Months ended

June 30,

June 30,

Revenues   2009      

2008 5

    2009      

2008 5

 
(as adjusted) (as adjusted)
Minimum rents $ 23,870 $ 21,135 $ 45,192 $ 39,469
Percentage rents 128 58 329 238
Expense reimbursements 4,941 3,497 10,424 7,956

Lease termination income

--

24,500

--

24,500

Other property income 908 174 1,414 398
Management fee income 444 387 1,200 2,406
Interest income 5,028 1,891 10,171 4,696
Other   --     --     1,700     --  
Total revenues   35,319     51,642     70,430     79,663  
 
Operating expenses
Property operating 7,282 5,421 14,669 10,517
Real estate taxes 4,108 3,113 7,793 5,843
General and administrative 5,208 6,257 11,349 12,310
Depreciation and amortization 8,468 7,080 17,060 13,301
Reserve for pre-acquisition costs 2,415 -- 2,415 --
Reserve for loan receivable   1,734     --     1,734     --  
Total operating expenses   29,215     21,871     55,020     41,971  
Operating income 6,104 29,771 15,410 37,692
Equity in earnings (losses) of unconsolidated affiliates 49 4,469 (3,258 ) 17,704
Interest expense and other finance costs (7,631 ) (7,377 ) (15,452 ) (13,973 )
Gain on extinguishment of debt 3,895 -- 7,045 --
Gain on sale of land   --     763     --     763  
Income from continuing operations before income taxes 2,417 27,626 3,745 42,186
Income taxes   (1,096 )   (343 )   (1,622 )   (2,200 )
Income from continuing operations   1,321     27,283     2,123     39,986  
 

ACADIA REALTY TRUST AND SUBSIDIARIES

Financial Highlights 1

For the Quarters and Six Months ended June 30, 2009 and 2008

(dollars in thousands, except per share data)

   
For the quarters ended For the Six Months ended

June 30,

June 30,

2009

   

2008 5

    2009      

2008 5

 
(as adjusted) (as adjusted)
Discontinued operations:
Operating income from discontinued operations

--

240 178 987
Gain on sale of property   --   7,182     5,637     7,182  
Income from discontinued operations   --   7,422     5,815     8,169  
Net income   1,321   34,705     7,938     48,155  
Loss (income) attributable to noncontrolling interests in subsidiaries:
Continuing operations 5,814 (17,034 ) 14,361 (22,047 )
 
Discontinued operations   --   (273 )   (4,865 )   (472 )
Net loss (income) attributable to noncontrolling interests in subsidiaries   5,814   (17,307 )   9,496     (22,519 )
 
Net income attributable to Common Shareholders $ 7,135 $ 17,398   $ 17,434   $ 25,636  
 
Supplemental Information
Income from continuing operations attributable to Common Shareholders $ 7,135 $ 10,249 $ 16,484 $ 17,939
Income from discontinued operations attributable to Common Shareholders   --   7,149     950     7,697  
 
Net income attributable to Common Shareholders $ 7,135 $ 17,398   $ 17,434   $ 25,636  
 
Net income attributable to Common Shareholders per Common Share – Basic
Net income per Common Share – Continuing operations $ 0.18 $ 0.30 $ 0.45 $ 0.53
Net income per Common Share – Discontinued operations   --   0.21     0.03     0.23  
Net income per Common Share $ 0.18 $ 0.51   $ 0.48   $ 0.76  
Weighted average Common Shares   38,592   33,807     36,261     33,777  
 
Net income attributable to Common Shareholders per Common Share – Diluted 2
Net income per Common Share – Continuing operations $ 0.18 $ 0.30 $ 0.45 $ 0.52
Net income per Common Share – Discontinued operations   --   0.21     0.03     0.23  
 
Net income per Common Share $ 0.18 $ 0.51   $ 0.48   $ 0.75  
 
Weighted average Common Shares   38,804   34,377     36,440     34,310  
 

ACADIA REALTY TRUST AND SUBSIDIARIES

Financial Highlights 1

For the Quarters and Six Months ended June 30, 2009 and 2008

(dollars in thousands, except per share data)

RECONCILIATION OF NET INCOME TO FUNDS FROM OPERATIONS 3

   
For the quarters ended For the Six Months ended

June 30,

June 30,

2009    

2008 5

      2009      

2008 5

 
(as adjusted) (as adjusted)
 
Net income attributable to Common Shareholders $ 7,135 $ 17,398 $ 17,434 $ 25,636
 
Depreciation of real estate and amortization of leasing costs

(net of noncontrolling interests' share):

Consolidated affiliates 4,427 2,970 8,798 6,536
Unconsolidated affiliates 365 384 736 884
Gain on sale (net of noncontrolling interests' share):
Consolidated affiliates

--

(7,182 ) (929 ) (7,182 )
Unconsolidated affiliates -- (588 ) -- (588 )
Income attributable to noncontrolling interests’ in Operating Partnership 60 362 211 441
 
Distributions – Preferred OP Units   5   5     10     10  
 
Funds from operations $ 11,992 $ 13,349   $ 26,260   $ 25,737  
Funds from operations per share – Diluted
Weighted average Common Shares and OP Units 4   39,477   35,024     37,113     34,957  
Funds from operations, per share $ 0.30 $ 0.38   $ 0.71   $ 0.74  
 

ACADIA REALTY TRUST AND SUBSIDIARIES

Financial Highlights 1

For the Quarters and Six Months ended June 30, 2009 and 2008

(dollars in thousands)

RECONCILIATION OF OPERATING INCOME TO NET PROPERTY

OPERATING INCOME (“NOI”)

   
For the quarters ended For the Six Months ended

June 30,

June 30,

  2009      

2008 5

    2009      

2008 5

 
 
Operating income $ 6,104 $ 29,771 $ 15,410 $ 37,692
 
Add back:
General and administrative 5,208 6,257 11,349 12,310
Depreciation and amortization 8,468 7,080 17,060 13,301
Reserve for pre-acquisition costs 2,415

--

2,415 --
Reserve for loan receivable 1,734 -- 1,734 --
 
Less:
 
Management fee income

(444

)

(387

)

(1,200 ) (2,406 )
Interest income (5,028 ) (1,891 ) (10,171 ) (4,696 )
Other income -- -- (1,700 ) --
Lease termination income -- (24,500 ) -- (24,500 )
Straight line rent and other adjustments   465     (1,074 )   552     (728 )
 
Consolidated NOI   18,922     15,256     35,449     30,973  
 
Noncontrolling interest in NOI   (4,481 )   (1,526 )   (6,513 )   (2,302 )
Pro-rata share of NOI $ 14,441   $ 13,730   $ 28,936   $ 28,671  
 
SELECTED BALANCE SHEET INFORMATION
      As of

June 30,

2009

  December 31,

2008 5

  (as adjusted)
 
Cash and cash equivalents $ 107,739 $ 86,691
Rental property, at cost 1,189,571 1,093,714
Total assets 1,395,294 1,291,383
Notes payable 800,818 753,946
Total liabilities 878,285 849,155

Notes:

1 For additional information and analysis concerning the Company’s results of operations, reference is made to the Company’s Quarterly Supplemental Disclosure furnished on Form 8-K to the SEC and included on the Company’s website at www.acadiarealty.com.

2 Reflects the potential dilution that could occur if securities or other contracts to issue Common Shares were exercised or converted into Common Shares. The effect of the conversion of Common OP Units is not reflected in the above table as they are exchangeable for Common Shares on a one-for-one basis. The income allocable to such units is allocated on this same basis and reflected as minority interest in the consolidated financial statements. As such, the assumed conversion of these units would have no net impact on the determination of diluted earnings per share.

3 The Company considers funds from operations (“FFO”) as defined by the National Association of Real Estate Investment Trusts (“NAREIT”) and net operating income (“NOI”) to be appropriate supplemental disclosures of operating performance for an equity REIT due to its widespread acceptance and use within the REIT and analyst communities. FFO and NOI are presented to assist investors in analyzing the performance of the Company. They are helpful as they exclude various items included in net income that are not indicative of the operating performance, such as gains (losses) from sales of depreciated property and depreciation and amortization. In addition, NOI excludes interest expense. The Company’s method of calculating FFO and NOI may be different from methods used by other REITs and, accordingly, may not be comparable to such other REITs. FFO does not represent cash generated from operations as defined by generally accepted accounting principles (“GAAP”) and is not indicative of cash available to fund all cash needs, including distributions. It should not be considered as an alternative to net income for the purpose of evaluating the Company’s performance or to cash flows as a measure of liquidity. Consistent with the NAREIT definition, the Company defines FFO as net income (computed in accordance with GAAP), excluding gains (losses) from sales of depreciated property, plus depreciation and amortization, and after adjustments for unconsolidated partnerships and joint ventures.

4 In addition to the weighted average Common Shares outstanding, basic and diluted FFO also assumes full conversion of a weighted average 673 and 648 OP Units into Common Shares for the quarters ended June 30, 2009 and 2008, respectively, and 673 and 647 OP Units into Common Shares for the six months ended June 30, 2009 and 2008, respectively. Diluted FFO also includes the assumed the conversion of Preferred OP Units into 25 Common Shares for the quarters ended June 30, 2009 and 2008, respectively, and for the six months ended June 30, 2009 and 2008, respectively. In addition, diluted FFO also includes the effect of employee share options of 187 and 545 Common Shares for the quarters ended June 30, 2009 and 2008, respectively, and 155 and 508 Common Shares for the six months ended June 30, 2009 and 2008, respectively.

5 Effective January 1, 2009, the Company adopted the following Financial Accounting Standards Board (“FASB”) accounting pronouncements which require it to retrospectively restate previously disclosed consolidated financial statements. As such, certain prior period amounts have been reclassified in the unaudited consolidated financial statements to conform to the current period presentations.

The Company adopted Statement of Financial Accounting Standard No. 160, “Noncontrolling Interests in Consolidated Financial Statements,” (“SFAS 160”) which, among other things, provides guidance and amends the accounting and reporting for noncontrolling interests in a consolidated subsidiary and the deconsolidation of a subsidiary. Under SFAS No. 160, the Company now reports noncontrolling interests in subsidiaries as a separate component of equity in the consolidated balance sheet and reflects both net income attributable to the noncontrolling interests and net income attributable to Common Shareholders on the face of the consolidated income statement.

The Company adopted FASB Staff Position No. 14-1, “Accounting for Convertible Debt Instruments That May Be Settled in Cash upon Conversion (Including Partial Cash Settlement)”, (“FSP 14-1”). FSP 14-1 requires the proceeds from the issuance of convertible debt be allocated between a debt component and an equity component. The debt component is measured based on the fair value of similar debt without an equity conversion feature, and the equity component is determined as the residual of the fair value of the debt deducted from the original proceeds received. The resulting discount on the debt component is amortized over the period the convertible debt is expected to be outstanding as additional non-cash interest expense. The equity component, recorded as additional paid-in capital, amounted to $11.3 million, which represents the difference between the proceeds from the issuance of the convertible notes payable and the fair value of the liability at the time of issuance. The Company adopted FSP 14-1 effective January 1, 2009 with a retrospective restatement to prior periods. The additional non cash interest expense recognized in the consolidated income statements was $0.4 million and $0.5 million for the quarters ended June 30, 2009 and 2008, respectively, and $0.8 million and $1.0 million for the six months ended June 30, 2009 and 2008, respectively.

CONTACT:
Acadia Realty Trust
Jon Grisham, 914-288-8100

EX-99.2 3 a6019122ex992.txt EXHIBIT 99.2 Exhibit 99.2 Acadia Realty Trust Focused. Disciplined. Value-Driven. Second Quarter 2009 Reporting Supplement Acadia Realty Trust Reporting Supplement June 30, 2009
Table of Contents ----------------- Page Page ---- ---- Section I - Overview Section III - Opportunity Fund Information Important Notes 3 Fund I Overview 31 Company Information 4 Properties 32 Lease Expirations 33 Portfolio Snapshots Current Valuation 34 Core Portfolio 5 Fund II Market Capitalization 6 Overview 35 Properties 36 Shareholder Information 7 Lease Expirations 37 Section II - Financial Information Fund III Overview 38 Operating Statements Properties 39 Pro-rata Consolidation 8 Storage Post Properties 40 EBITDA 10 Storage Post Locations 41 Funds from Operations ("FFO"), Adjusted FFO ("AFFO") and Funds Available for Distribution ("FAD") 11 Redevelopment Projects - Operating 42 2009 Guidance 12 Redevelopment Projects - Construction and Design 43 Fee Income 13 Opportunity Funds 14 RCP Venture 44 Joint Ventures 17 RCP Venture Investments 45 Current v. Prior Year 18 Section IV - Core Portfolio Information Same Property Net Operating Income 20 Properties 46 Balance Sheets Consolidated 21 Portfolio by State 48 Pro-rata Consolidation 22 Top Tenants 49 Notes Receivable 23 Lease Expirations 50 Debt Analysis Summary 24 New and Renewal Rent Spreads 52 Detail 25 Maturities 28 Capital Expenditures 53 Maturities with Extension Options 29 Portfolio Demographics 54 Selected Financial Ratios 30 Visit www.acadiarealty.com for additional investor and portfolio information
Acadia Realty Trust Reporting Supplement June 30, 2009 Important Notes --------------- SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS Certain statements contained in this supplemental disclosure may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities and Exchange Act of 1934 and as such may involve known and unknown risks, uncertainties and other factors which may cause the Company's actual results, performance or achievements to be materially different from future results, performance or achievements expressed or implied by such forward-looking statements. Forward-looking statements, which are based on certain assumptions and describe the Company's future plans, strategies and expectations are generally identifiable by use of the words "may," "will," "should," "expect," "anticipate," "estimate," "believe," "intend" or "project" or the negative thereof or other variations thereon or comparable terminology. Factors which could have a material adverse effect on the operations and future prospects of the Company include, but are not limited to those set forth under the heading "Risk Factors" in the Company's Annual Report on Form 10-K. These risks and uncertainties should be considered in evaluating any forward-looking statements contained or incorporated by reference herein. USE OF FUNDS FROM OPERATIONS AS NON-GAAP FINANCIAL MEASURE The Company considers funds from operations ("FFO") as defined by the National Association of Real Estate Investment Trusts ("NAREIT") to be an appropriate supplemental disclosure of operating performance for an equity REIT due to its widespread acceptance and use within the REIT and analyst communities. FFO is presented to assist investors in analyzing the performance of the Company. It is helpful as it excludes various items included in net income that are not indicative of the operating performance, such as gains (or losses) from sales of property and depreciation and amortization. However, the Company's method of calculating FFO may be different from methods used by other REITs and, accordingly, may not be comparable to such other REITs. FFO does not represent cash generated from operations as defined by generally accepted accounting principles ("GAAP") and is not indicative of cash available to fund all cash needs, including distributions. It should not be considered as an alternative to net income for the purpose of evaluating the Company's performance or to cash flows as a measure of liquidity. Consistent with the NAREIT definition, the Company defines FFO as net income (computed in accordance with GAAP), excluding gains (or losses) from sales of depreciated property, plus depreciation and amortization, and after adjustments for unconsolidated partnerships and joint ventures. In addition, the Company also discloses FFO as adjusted to include the extraordinary gain from its RCP investment in Albertson's. The Company believes that income or gains derived from its RCP investments, including its investment in Albertson's, are private-equity investments and, as such, should be treated as operating income and therefore FFO. The Company believes that this supplement adjustment more appropriately reflects the results of its operations. The Company also provides two other supplemental disclosures of operating performance, adjusted funds from operations ("AFFO") and funds available for distribution ("FAD"). The Company defines AFFO as FFO adjusted for straight line rent, non-real estate depreciation, amortization of finance costs and costs of management contracts, tenant improvements, leasing commissions and capital expenditures. The Company defines FAD as AFFO adjusted for scheduled debt principal payments. USE OF EBITDA AND NOI AS NON-GAAP FINANCIAL MEASURES EBITDA and NOI are widely used financial measures in many industries, including the REIT industry, and are presented to assist investors and analysts in analyzing the performance of the Company. They are helpful as they exclude various items included in net income that are not indicative of operating performance, such as gains (or losses) from sales of property and depreciation and amortization and is used in computing various financial ratios as a measure of operational performance. The Company computes EBITDA as the sum of net income before extraordinary items plus interest expense, depreciation, income taxes and amortization, less any gains (losses including impairment charges) on the sale of income producing properties. The Company computes NOI by taking the difference between Property Revenues and Property Expenses as detailed in this reporting supplement. The Company's method of calculating EBITDA and NOI may be different from methods used by other REITs and, accordingly, may not be comparable to such other REITs. EBITDA and NOI do not represent cash generated from operations as defined by GAAP and are not indicative of cash available to fund all cash needs, including distributions. They should not be considered as an alternative to net income for the purpose of evaluating the Company's performance or to cash flows as a measure of liquidity. Acadia Realty Trust Reporting Supplement June 30, 2009 Company Information ------------------- Acadia Realty Trust, headquartered in White Plains, NY, is a fully integrated and self-managed real estate investment trust which specializes in the acquisition, redevelopment and operation of shopping centers which are anchored by grocery and value-oriented retail. Acadia currently owns (or has interests in) and operates 76 properties totaling approximately 8 million square feet, located in the Northeast, Mid-Atlantic and Midwest United States. All of Acadia's assets are held by, and all its operations are conducted through, Acadia Realty Limited Partnership (and its majority-owned subsidiaries) which is currently 98% controlled by Acadia.
Corporate Headquarters 1311 Mamaroneck Avenue Investor Relations Jon Grisham Suite 260 Senior Vice President, White Plains, NY 10605 Chief Accounting Officer (914) 288-8142 jgrisham@acadiarealty.com ------------------------- New York Stock Exchange Symbol AKR Web Site www.acadiarealty.com Analyst Coverage Bank of Montreal J.P. Morgan Securities, Inc. Bank of America / Merrill Lynch Paul Adornato, CFA - (212) 885-4170 Michael W. Mueller, CFA (212) 622-6689 Craig Schmidt (212) 449-1944 paul.adornato@bmo.com michael.w.mueller@jpmorgan.com craig_schmidt@ml.com --------------------- ------------------------------ -------------------- Citigroup - Smith Barney RBC Capital Markets Michael Bilerman - (212) 816-1383 Rich Moore, CFA - (216) 378-7625 michael.bilerman@citi.com rich.moore@rbccm.com ------------------------- -------------------- Keefe, Bruyette & Woods, Inc. KeyBanc Capital Markets, Inc. Sheila K. McGrath - (212) 887-7793 Todd Thomas - (917) 368-2286 smcgrath@kbw.com tthomas@keybanccm.com ---------------- ---------------------
Acadia Realty Trust Reporting Supplement June 30, 2009 ------------------------------------ ------------------------------------------- Total Market Capitalization Market Capitalization --------------------------- including the hypothetical (including pro-rata share of repayment of debt with joint venture debt) Market Capitalization available cash of (dollars in thousands) as of June 30, 2009 $81.1 million ("Net Debt") ------------------------------------ ------------------------------------------- Percent Percent of Percent Percent of of Total Total Market of Total Total Market Equity Capitalization Equity Capitalization -------- -------------- ----------- -------------- Equity Capitalization - --------------------- Total Common Shares Outstanding 98.3% $ 39,675 98.3% $ 39,657 Common Operating Partnership ("OP") Units 1.7% 674 1.7% 674 ------------ ------------ Combined Common Shares and OP Units 40,349 40,331 Share Price 6/30/2009 13.05 13.05 ------------ ------------ Equity Capitalization - Common Shares and OP Units 526,554 526,320 Preferred OP Units (1) 327 327 ------------ ------------ Total Equity Capitalization 526,881 53.3% 526,647 58.1% ------------ -------------- ------------ -------------- Debt Capitalization - ------------------- Consolidated debt 800,697 800,697 Adjustment to reflect pro-rata share of debt (339,269) (339,269) ------------ ------------ Total Debt Capitalization 461,428 46.7% 461,428 ------------ -------------- Less debt paid with available cash (81,130)(3) ------------ Total Net Debt Capitalization 380,298 41.9% ------------ -------------- Total Market Capitalization $ 988,309 100.0% $ 906,945 100.0% ============ ============== ============ ============== ------------------------------------ ------------------------------------------- (1)Represents 188 Series A Preferred OP Units convertible into 25,067 Common OP units x share price at quarter end. (2)Fixed-rate debt includes notional principal fixed through interest rate swap transactions and conversely, variable-rate debt excludes this amount. (3)Reflects Core Portfolio and pro-rata share of Opportunity Funds cash balance as of 6/30/09. Weighted Average Outstanding Common Shares and OP Units ------------------------------------------------------- June 30, June 30, 2009 2008 Quarter Year-to-date Quarter Year-to-date ---------- ------------ ---------- ------------ Weighted average Common Shares - Basic EPS 38,592,289 36,260,663 33,806,747 33,777,272 Dilutive potential Common Shares 211,819 179,564 569,783 533,218 ---------- ------------ ---------- ------------ Weighted average Common Shares - Diluted EPS 38,804,108 36,440,227 34,376,530 34,310,490 OP Units 673,311 672,670 647,656 646,739 Dilutive potential of OP Units - - - - ---------- ------------ ---------- ------------ Weighted average Common Shares/OP Units - Diluted FFO 39,477,419 37,112,897 35,024,186 34,957,229 ========== ============ ========== ============
Acadia Realty Trust Reporting Supplement June 30, 2009 June 30, 2009 Shareholder and OP Unit Information - ----------------------------------- (amounts in thousands) Common Shares (1) ----------------- Percent of Outstanding Common Common Shares Held Shares ----------- ----------- Morgan Stanley 4,019 10.1% Vanguard Group 2,881 7.3% Cohen & Steers inc. 2,679 6.8% Barclay's Global Investors 2,443 6.2% Goldman Sachs Group 2,039 5.1% Wellington Management 1,837 4.6% Yale University 1,757 4.4% Heitman Real Estate Securities LLC 1,661 4.2% Invesco Ltd. 1,599 4.0% Principal Financial Group 1,567 3.9% ING Clarion Real Estate Securities 1,428 3.6% State Street Corp. 1,343 3.4% ----------- ----------- Total of Ten Largest Institutional Shareholders 25,253 63.6% =========== =========== Total of all Institutional Shareholders 38,692 97.5% =========== =========== Operating Partnership Units --------------------------- OP Units Percent of Held OP Units ----------- ----------- Managment O.P. Unit Holders 370 54.9% Other O.P. Unit Holders 304 45.1% ----------- ----------- Total O.P. Units 674 100.0% =========== =========== (1) Based on most recent Schedule 13F filed on March 31, 2009, adjusted for Common Shares acquired in the April 2009 Common Share Offering. Acadia Realty Trust Reporting Supplement June 30, 2009
Income Statements - Pro-rata Consolidation (1) - ---------------------------------------------- Current Quarter and Year-to-Date -------------------------------- (in thousands) ------------------------------------------------------------------------------ Year-to-Date Period ended June 30, 2009 Core Retail Opportunity Funds Total ------------------------------------------------------------------------------ Total Wholly Joint Continuing Discontinued Continuing Discontinued Owned Ventures Operations Operations Operations Operations (2) (3) ----------- -------- ---------- ------------ ---------- ------------ CORE PORTFOLIO AND OPPORTUNITY FUND INCOME PROPERTY REVENUES Minimum rents $ 24,899 $ 3,220 $ 28,119 $ - $ 5,411 $ 18 $ 33,548 Percentage rents 328 20 348 - - - 348 Expense reimbursements - CAM 3,443 484 3,927 - 380 - 4,307 Expense reimbursements - Taxes 3,818 559 4,377 - 296 - 4,673 Other property income 86 - 86 - 232 - 318 ----------- -------- ---------- ------------ ---------- ------------ --------- 32,574 4,283 36,857 - 6,320 18 43,195 ----------- -------- ---------- ------------ ---------- ------------ --------- PROPERTY EXPENSES Property operating - CAM 4,377 536 4,913 - 425 - 5,338 Other property operating 1,669 136 1,805 - 1,170 1 2,976 Real estate taxes 4,631 611 5,242 - 685 - 5,927 ----------- -------- ---------- ------------ ---------- ------------ --------- 10,677 1,283 11,960 - 2,281 1 14,241 ----------- -------- ---------- ------------ ---------- ------------ --------- NET OPERATING INCOME - PROPERTIES 21,897 3,000 24,897 - 4,039 17 28,954 OTHER INCOME (EXPENSE) Interest income 9,478 3 9,481 - 143 - 9,624 Straight-line rent income 248 (2) 246 - 175 - 421 Straight-line rents written off (369) - (369) - (41) 24 (386) FAS 141 rent (92) 70 (22) - (838) - (860) Interest expense (9,899) (1,866) (11,765) - (1,179) - (12,944) FAS 141 interest 18 - 18 - 2 (2) 18 Asset and property management expense (64) - (64) - (2) - (66) Promote expense - - - - - - - Reserve for pre-acquisition costs - - - - (481) - (481) Reserve for notes receivable (1,734) - (1,734) - - - (1,734) ----------- -------- ---------- ------------ ---------- ------------ --------- CORE PORTFOLIO AND OPPORTUNITY FUND INCOME 19,483 1,205 20,688 - 1,819 39 22,547 ----------- -------- ---------- ------------ ---------- ------------ --------- FEE INCOME Asset and property management fees 5,697 - 5,697 - - - 5,697 Priority distributions 225 - 225 - - - 225 Transactional fees 4,778 - 4,778 - - - 4,778 Loan defeasance - - - - - - - Provision for income taxes (1,849) - (1,849) - 0 - (1,849) ----------- -------- ---------- ------------ ---------- ------------ --------- FEE INCOME 8,851 - 8,851 - 0 - 8,851 ----------- -------- ---------- ------------ ---------- ------------ --------- PROMOTE, RCP AND OTHER INCOME Equity in earnings from RCP investments - - - - (680) - (680) Promote income - RCP - - - - (331) - (331) Promote income - Fund capital transactions - - - - 909 - 909 Equity in earnings of unconsolidated properties - - - - (19) - (19) Forfeited property sale contract deposit 1,730 - 1,730 - - - 1,730 Lease termination income 226 1 227 - - - 227 Gain on extinguishment of debt 7,045 - 7,045 - - - 7,045 Provision for income taxes 298 - 298 - (26) - 272 ----------- -------- ---------- ------------ ---------- ------------ --------- PROMOTE, RCP AND OTHER INCOME 9,299 1 9,300 - (147) - 9,153 ----------- -------- ---------- ------------ ---------- ------------ --------- GENERAL AND ADMINISTRATIVE (11,958) 5 (11,953) - (268) - (12,221) ----------- -------- ---------- ------------ ---------- ------------ --------- Depreciation and amortization (7,790) (736) (8,526) - (2,224) - (10,750) FAS 141 amortization (451) - (451) - (150) - (601) Gain on sale of properties - - - - - 1,002 1,002 ----------- -------- ---------- ------------ ---------- ------------ --------- Income before noncontrolling interests 17,434 475 17,909 - (969) 1,041 17,981 Noncontrolling interest - OP (177) - (177) - (15) (19) (211) Noncontrolling interests (12) - (12) - (1) (323) (336) ----------- -------- ---------- ------------ ---------- ------------ --------- NET INCOME $ 17,245 $ 475 $ 17,720 $ - $ (985) $ 699 $ 17,434 =========== ======== ========== ============ ========== ============ ========= ------------------------------------------------------------------------------ ------------------------------------------------------------------------------ Current Quarter 3 months ended June 30, 2009 Core Retail Opportunity Funds Total ------------------------------------------------------------------------------ Total Wholly Joint Continuing Discontinued Continuing Discontinued Owned Ventures Operations Operations Operations Operations (2) ----------- -------- ---------- ------------ ---------- ------------ CORE PORTFOLIO AND OPPORTUNITY FUND INCOME PROPERTY REVENUES Minimum rents $ 12,343 $ 1,604 $ 13,947 $ - $ 2,825 $ - $ 16,772 Percentage rents 127 11 138 - - - 138 Expense reimbursements - CAM 1,280 236 1,516 - 206 - 1,722 Expense reimbursements - Taxes 1,880 307 2,187 - 169 - 2,356 Other property income 61 - 61 - 177 - 238 ----------- -------- ---------- ------------ ---------- ------------ --------- 15,691 2,158 17,849 - 3,377 - 21,226 ----------- -------- ---------- ------------ ---------- ------------ --------- PROPERTY EXPENSES Property operating - CAM 1,600 219 1,819 - 221 - 2,040 Other property operating 1,122 49 1,171 - 549 - 1,720 Real estate taxes 2,330 313 2,643 - 383 - 3,026 ----------- -------- ---------- ------------ ---------- ------------ --------- 5,052 581 5,633 - 1,152 - 6,785 ----------- -------- ---------- ------------ ---------- ------------ --------- NET OPERATING INCOME - PROPERTIES 10,639 1,577 12,216 - 2,225 - 14,441 OTHER INCOME (EXPENSE) Interest income 4,681 1 4,682 - 71 - 4,753 Straight-line rent income 123 (6) 117 - 152 - 269 Straight-line rents written off (369) - (369) - (71) - (440) FAS 141 rent 4 35 39 - (368) - (329) Interest expense (4,733) (935) (5,668) (615) - (6,283) FAS 141 interest 9 - 9 - - 9 Asset and property management expense (32) - (32) - (1) - (33) Promote expense - - - - - - - Reserve for pre-acquisition costs - - - - (481) - (481) Reserve for notes receivable (1,734) - (1,734) - - - (1,734) ----------- -------- ---------- ------------ ---------- ------------ --------- CORE PORTFOLIO AND OPPORTUNITY FUND INCOME 8,588 672 9,260 - 912 - 10,172 ----------- -------- ---------- ------------ ---------- ------------ --------- FEE INCOME Asset and property management fees 2,904 - 2,904 - - - 2,904 Priority distributions 113 - 113 - - - 113 Transactional fees 2,610 2,610 - - 2,610 Loan defeasance - - - - - - Provision for income taxes (1,045) - (1,045) - - - (1,045) ----------- -------- ---------- ------------ ---------- ------------ --------- FEE INCOME 4,582 - 4,582 - - - 4,582 ----------- -------- ---------- ------------ ---------- ------------ --------- PROMOTE, RCP AND OTHER INCOME Equity in earnings from RCP investments - - - - 32 - 32 Promote income - RCP - - - - (331) - (331) Promote income - Fund capital transactions - - - - 63 - 63 Equity in earnings of unconsolidated properties - - - - (8) - (8) Forfeited property sale contract deposit - - - - - - - Lease termination income 21 - 21 - - - 21 Gain on extinguishment of debt 3,895 3,895 - - 3,895 Provision for income taxes 21 - 21 - (26) - (5) ----------- -------- ---------- ------------ ---------- ------------ --------- PROMOTE, RCP AND OTHER INCOME 3,937 - 3,937 - (269) - 3,668 ----------- -------- ---------- ------------ ---------- ------------ --------- GENERAL AND ADMINISTRATIVE (5,212) 5 (5,207) - (232) - (5,439) ----------- -------- ---------- ------------ ---------- ------------ --------- Depreciation and amortization (3,862) (364) (4,226) - (1,219) - (5,445) FAS 141 amortization (224) - (224) (64) - (288) Gain on sale of properties - - - - - - - ----------- -------- ---------- ------------ ---------- ------------ --------- Income before noncontrolling interests 7,809 313 8,122 - (872) - 7,250 Noncontrolling interest - OP (45) - (45) - (15) - (60) Noncontrolling interests (3) - (3) - (51) - (54) ----------- -------- ---------- ------------ ---------- ------------ --------- NET INCOME $ 7,761 $ 313 $ 8,074 $ - $ (939) $ - $ 7,135 =========== ======== ========== ============ ========== ============ ========= ------------------------------------------------------------------------------ (1) Quarterly results are unaudited, although they reflect all adjustments, which in the opinion of management, are necessary for a fair presentation of operating results for the interim periods. The Company's investments in consolidated and unconsolidated joint ventures are reflected separately for revenues and expenses by calculating it's pro-rata share for each of the above line items. In total, net income agrees with net income as reported in the Company's Form 10Q's and 10K for the corresponding periods. The Company currently invests in Funds I. II & III and Mervyn's which are consolidated with the Company's financial statements. The Company also has a 22.2% interest in the Brandywine Portfolio and a 49% interest in the Crossroads Shopping Center which are accounted for as unconsolidated investments in the Company's financial statements. (2) The noncontrolling interest's share of NOI for 239 Greenwich Ave and Boonton Shopping Center aggregated $613 for the six months ended June 30, 2009. (3) Discontinued Operations reflects six Kroger locations which were sold in January 2009.
Acadia Realty Trust Reporting Supplement June 30, 2009
Income Statements - Pro-rata Consolidation (1) - ---------------------------------------------- Current Quarter and Year-to-Date -------------------------------- (in thousands) ------------------------------------------------------------------------------ Prior Quarter 3 months ended March 31, 2009 Core Retail Opportunity Funds Total ------------------------------------------------------------------------------ Total Wholly Joint Continuing Discontinued Continuing Discontinued Owned Ventures Operations Operations Operations Operations (2) (3) ----------- -------- ---------- ------------ ---------- ------------ CORE PORTFOLIO AND OPPORTUNITY FUND INCOME PROPERTY REVENUES Minimum rents $ 12,556 $ 1,616 $ 14,172 $ - $ 2,587 $ 18 $ 16,777 Percentage rents 201 9 210 - - - 210 Expense reimbursements - CAM 2,163 248 2,411 - 174 - 2,585 Expense reimbursements - Taxes 1,938 252 2,190 - 127 - 2,317 Other property income 25 - 25 - 55 - 80 ----------- -------- ---------- ------------ ---------- ------------ --------- 16,883 2,125 19,008 - 2,943 18 21,969 ----------- -------- ---------- ------------ ---------- ------------ --------- PROPERTY EXPENSES Property operating - CAM 2,777 317 3,094 - 204 - 3,298 Other property operating 547 87 634 - 622 1 1,256 Real estate taxes 2,301 298 2,599 - 302 - 2,901 ----------- -------- ---------- ------------ ---------- ------------ --------- 5,625 702 6,327 - 1,128 1 7,456 ----------- -------- ---------- ------------ ---------- ------------ --------- NET OPERATING INCOME - PROPERTIES 11,258 1,423 12,681 - 1,814 17 14,513 OTHER INCOME (EXPENSE) Interest income 4,797 2 4,799 - 72 - 4,871 Straight-line rent income 125 4 129 - 24 - 153 Straight-line rents written off - - - - 30 24 54 FAS 141 rent (96) 35 (61) - (470) - (531) Interest expense (5,166) (931) (6,097) (564) - (6,661) FAS 141 interest 9 - 9 2 (2) 9 Asset and property management expense (32) - (32) - (1) - (33) Promote expense - - - - - - - Reserve for pre-acquisition costs - - - - - - - Reserve for notes receivable - - - - - - - ----------- -------- ---------- ------------ ---------- ------------ --------- CORE PORTFOLIO AND OPPORTUNITY FUND INCOME 10,895 533 11,428 - 907 39 12,375 ----------- -------- ---------- ------------ ---------- ------------ --------- FEE INCOME Asset and property management fees 2,793 - 2,793 - - - 2,793 Priority distributions 111 - 111 - - - 111 Transactional fees 2,168 2,168 - - 2,168 Loan defeasance - - - - - - Provision for income taxes (804) - (804) - 0 - (804) ----------- -------- ---------- ------------ ---------- ------------ --------- FEE INCOME 4,268 - 4,268 - 0 - 4,269 ----------- -------- ---------- ------------ ---------- ------------ --------- PROMOTE, RCP AND OTHER INCOME Equity in earnings from RCP investments - - - - (713) - (713) Promote income - RCP - - - - - - - Promote income - Fund capital transactions - - - - 845 - 845 Equity in earnings of unconsolidated properties - - - - (10) - (10) Forfeited property sale contract deposit 1,730 - 1,730 - - - 1,730 Lease termination income 205 1 206 - - - 206 Gain on extinguishment of debt 3,150 3,150 - - 3,150 Provision for income taxes 277 - 277 - - - 277 ----------- -------- ---------- ------------ ---------- ------------ --------- PROMOTE, RCP AND OTHER INCOME 5,362 1 5,363 - 122 - 5,485 ----------- -------- ---------- ------------ ---------- ------------ --------- GENERAL AND ADMINISTRATIVE (6,746) - (6,746) - (36) - (6,782) ----------- -------- ---------- ------------ ---------- ------------ --------- Depreciation and amortization (3,928) (372) (4,300) - (1,005) - (5,305) FAS 141 amortization (227) - (227) (85) - (312) Gain on sale of properties - - - - - 1,002 1,002 ----------- -------- ---------- ------------ ---------- ------------ --------- Income before noncontrolling interests 9,624 162 9,786 - (96) 1,041 10,732 Noncontrolling interest - OP (132) - (132) - - (19) (151) Noncontrolling interests (9) - (9) - 50 (323) (282) ----------- -------- ---------- ------------ ---------- ------------ --------- NET INCOME $ 9,483 $ 162 $ 9,645 $ - $ (46) $ 699 $ 10,299 =========== ======== ========== ============ ========== ============ ========= ------------------------------------------------------------------------------ (1) Quarterly results are unaudited, although they reflect all adjustments, which in the opinion of management, are necessary for a fair presentation of operating results for the interim periods. The Company's investments in consolidated and unconsolidated joint ventures are reflected separately for revenues and expenses by calculating it's pro-rata share for each of the above line items. In total, net income agrees with net income as reported in the Company's Form 10Q's and 10K for the corresponding periods. The Company currently invests in Funds I. II & III and Mervyn's which are consolidated with the Company's financial statements. The Company also has a 22.2% interest in the Brandywine Portfolio and a 49% interest in the Crossroads Shopping Center which are accounted for as unconsolidated investments in the Company's financial statements. (2) The noncontrolling interest's share of NOI for 239 Greenwich Ave and Boonton Shopping Center aggregated $311 for the quarter ended March 31, 2009. (3) Discontinued Operations reflects six Kroger locations which were sold in January 2009.
Acadia Realty Trust Reporting Supplement June 30, 2009
Income Statements - EBITDA -------------------------- Current Quarter and Year-to-Date -------------------------------- (in thousands) ------------------------------------------------------------------------------ Year-to-Date Period ended June 30, 2009 Core Retail Opportunity Funds Total ------------------------------------------------------------------------------ Total Wholly Joint Continuing Discontinued Continuing Discontinued Owned Ventures Operations Operations Operations Operations (2) ----------- -------- ---------- ------------ ---------- ------------ NET INCOME $ 17,245 $ 475 $ 17,720 $ - $ (985) $ 699 $ 17,434 Add back: Depreciation and amortization 7,790 736 8,526 - 2,224 - 10,750 FAS 141 amortization 451 - 451 - 150 - 601 Interest expense 9,899 1,866 11,765 - 1,179 - 12,944 FAS 141 interest (18) - (18) - (2) 2 (18) Gain on sale of properties - - - - - (1,002) (1,002) Provision for income taxes 1,551 - 1,551 - 26 - 1,577 Noncontrolling interest - OP 177 - 177 - 15 19 211 Noncontrolling interests 12 - 12 - 1 323 336 ----------- -------- ---------- ------------ ---------- ------------ --------- EBIDTA $ 37,107 $ 3,077 $ 40,184 $ - $ 2,608 $ 41 $ 42,832 =========== ======== ========== ============ ========== ============ ========= ------------------------------------------------------------------------------ ------------------------------------------------------------------------------ Current Quarter 3 months ended June 30. 2009 Core Retail Opportunity Funds Total ------------------------------------------------------------------------------ Total Wholly Joint Continuing Discontinued Continuing Discontinued Owned Ventures Operations Operations Operations Operations ----------- -------- ---------- ------------ ---------- ------------ NET INCOME $ 7,761 $ 313 $ 8,074 $ - $ (939) $ - $ 7,135 Add back: Depreciation and amortization 3,862 364 4,226 - 1,219 - 5,445 FAS 141 amortization 224 - 224 - 64 - 288 Interest expense 4,733 935 5,668 - 615 - 6,283 FAS 141 interest (9) - (9) - - - (9) Gain on sale of properties - - - - - - - Provision for income taxes 1,024 - 1,024 - 26 - 1,050 Noncontrolling interest - OP 45 - 45 - 15 - 60 Noncontrolling interests 3 - 3 - 51 - 54 ----------- -------- ---------- ------------ ---------- ------------ --------- EBIDTA $ 17,643 $ 1,612 $ 19,255 $ - $ 1,052 $ - $ 20,307 =========== ======== ========== ============ ========== ============ ========= ------------------------------------------------------------------------------ ------------------------------------------------------------------------------ Prior Quarter 3 months ended March 31, 2009 Core Retail Opportunity Funds Total ------------------------------------------------------------------------------ Total Wholly Joint Continuing Discontinued Continuing Discontinued Owned Ventures Operations Operations Operations Operations ----------- -------- ---------- ------------ ---------- ------------ NET INCOME $ 9,483 $ 162 $ 9,645 $ - $ (46) $ 699 $ 10,299 Add back: Depreciation and amortization 3,928 372 4,300 - 1,005 - 5,305 FAS 141 amortization 227 - 227 - 85 - 312 Interest expense 5,166 931 6,097 - 564 - 6,661 FAS 141 interest (9) - (9) - (2) 2 (9) Gain on sale of properties - - - - - (1,002) (1,002) Provision for income taxes 527 - 527 - (0) - 527 Noncontrolling interest - OP 132 - 132 - - 19 151 Noncontrolling interests 9 - 9 - (50) 323 282 ----------- -------- ---------- ------------ ---------- ------------ --------- EBIDTA $ 19,463 $ 1,465 $ 20,928 $ - $ 1,556 $ 41 $ 22,525 =========== ======== ========== ============ ========== ============ ========= ------------------------------------------------------------------------------
Acadia Realty Trust Reporting Supplement June 30, 2009
Funds from Operations ("FFO")(1) 2009 2008 -------------------------------- ---------------------------------------------- ----------------------------- -------------- -------------- -------------- Current Current Previous Historic Historic Year-to-Date Quarter Quarter Year-to-Date Quarter Period ended 3 months ended 3 months ended Period ended 3 months ended Funds from operations ("FFO"): Notes June 30, 2009 June 30, 2009 March 31, 2009 June 30, 2008 June 30, 2008 ------------------------------ -------------- ------------- -------------- ------------- -------------- Net Income $ 17,434 $ 7,135 $ 10,299 $ 25,636 $ 17,398 Add back: Depreciation of real estate and amortization of leasing costs: (net of noncontrolling interest share) Consolidated affiliates 8,798 4,427 4,371 6,536 2,970 Unconsolidated affiliates 736 365 371 884 384 (Gain) loss on sale of properties (net of noncontrollling interest share) - Consolidated affiliates (929) - (929) (7,182) (7,182) Unconsolidated affiliates - - - (588) (588) Income attributable to noncontrolling interests' share in Operating Partnership 211 60 151 441 362 Extraordinary item (net of noncontrolling interests' share and income taxes) - - Distributions on Preferred OP Units 10 5 5 10 5 -------------- -------------- -------------- ------------- -------------- FFO $ 26,260 $ 11,992 $ 14,268 $ 25,737 $ 13,349 ============== ============== ============== ============= ============== Adjusted Funds from operations ("AFFO"): ---------------------------------------- Diluted FFO $ 26,260 $ 11,992 $ 14,268 $ 25,737 $ 13,349 Straight line rent, net (35) 172 (207) (319) (248) Non real estate depreciation 362 180 182 456 229 Amortization of finance costs 593 308 285 564 262 Amortization of cost of management contracts 109 51 58 478 278 Tenant improvements (1,047) (503) (544) (546) (308) Leasing commissions (259) (72) (187) (266) (140) Capital expenditures (294) (285) (9) (122) (78) -------------- -------------- -------------- ------------- -------------- AFFO $ 25,689 $ 11,843 $ 13,846 $ 25,982 $ 13,344 ============== ============== ============== ============= ============== Funds Available for Distribution ("FAD") ---------------------------------------- AFFO $ 25,689 $ 11,843 $ 13,846 $ 25,982 $ 13,344 Scheduled prinicpal repayments (776) (378) (398) (1,390) (679) -------------- -------------- -------------- ------------- -------------- FAD $ 24,913 $ 11,465 $ 13,448 $ 24,592 $ 12,665 ============== ============== ============== ============= ============== Total weighted average shares and OP Units: Basic 36,933 39,265 34,575 34,424 34,454 ============== ============== ============== ============= ============== Diluted 37,113 39,477 34,722 34,957 35,024 ============== ============== ============== ============= ============== FFO per share: FFO per share - Basic $ 0.71 $ 0.31 $ 0.41 $ 0.75 $ 0.39 ============== ============== ============== ============= ============== FFO per share - Diluted $ 0.71 $ 0.30 $ 0.41 $ 0.74 $ 0.38 ============== ============== ============== ============= ============== AFFO per share - Basic $ 0.70 $ 0.30 $ 0.40 $ 0.75 $ 0.39 ============== ============== ============== ============= ============== AFFO per share - Diluted $ 0.69 $ 0.30 $ 0.40 $ 0.74 $ 0.38 ============== ============== ============== ============= ============== FAD per share - Basic $ 0.67 $ 0.29 $ 0.39 $ 0.71 $ 0.37 ============== ============== ============== ============= ============== FAD per share - Diluted $ 0.67 $ 0.29 $ 0.39 $ 0.70 $ 0.36 ============== ============== ============== ============= ============== -------------- -------------- -------------- - ------------------------------------------------------------------------------------------------------------------------- (1) Quarterly results are unaudited, although they reflect all adjustments, which in the opinion of management are necessary for a fair presentation of operating results for the interim periods. Quarterly Preferred OP Unit distributions are added back for the purposes of calculating diluted FFO. Refer to "Market Capitalization" for weighted-average basic and diluted shares.
Acadia Realty Trust Reporting Supplement June 30, 2009
2009 Guidance - Highlights -------------------------- (in millions except per share amounts, all per share amounts are fully diluted) Original Previous Current 2009 Guidance 2009 Guidance 2009 Guidance 2008 Overall: Low/High Low/High (2) Low/High Actual -------- ------------------- ------------------- ------------------- -------- Full year Funds from Operations ("FFO") per share(1) $1.05 to $1.19 $0.96 to $1.09 $1.07 to $1.16 $1.10 =================== =================== =================== ======== Earnings per Share ("EPS") (1) $0.51 to $0.65 $0.47 to $0.60 $0.58 to $0.67 $0.74 =================== =================== =================== ======== FFO Components: --------------- Core and pro-rata share of opportunity Fund ("Fund") portfolio income $38.9 to $41.2 $38.9 to $41.2 $39.7 to $41.7 $38.9 =================== =================== =================== ======== Asset and property management fee income, net of TRS taxes $11.1 $11.1 $11.0 $10.2 =================== =================== =================== ======== Transactional fee income, net of TRS taxes $9.4 to $10.3 $9.4 to $10.3 $9.0 to $9.5 $8.3 =================== =================== =================== ======== Promote, RCP and other income, net of TRS taxes $5.4 to $6.6 $5.4 to $6.6 $8.0 to $8.5 $9.5 =================== =================== =================== ======== General and administrative expense $(26.0) to $(25.5) $(26.0) to $(25.5) $(25.0) to $(24.5) $(26.4) =================== =================== =================== ======== Total $38.8 to $43.7 $38.8 to $43.7 $42.7 to $46.2 $40.5 =================== =================== =================== ======== Non-cash interest pursuant to FSP 14-1 $(2.2) $(2.2) $(1.3) $(2.1) =================== =================== =================== ======== Net $36.6 to $41.5 $36.6 to $41.5 $41.4 to $44.9 $38.4 =================== =================== =================== ======== - ------------------------------------------------------------------------------------------------------------------------------------ (1) Projected 2009 and 2008 actual results are presented after giving effect to FASB Staff Position 14-1 "Accounting for Convertible Debt Instruments That May Be Settled in Cash upon Conversion (Including Partial Cash Settlement)" ("FSP 14-1"). The adoption of this pronouncement in 2009 will result in an additional annual non-cash interest charge of $2.2 million, or $0.06 per share. Before the adoption of FSP 14-1, Projected 2009 and 2008 actual results are as follows: Full year FFO per share before FSP 14-1 interest adjustment $1.11 to $1.25 $1.02 to $1.15 $1.10 to $1.19 $1.16 =================== =================== =================== ======== Full year EPS before FSP 14-1 interest adjustment $0.57 to $0.71 $0.53 to $0.66 $0.61 to $0.70 $0.80 =================== =================== =================== ======== (2) Based solely on the effect of the Common Shares issued during April 2009, the Company had updated its 2009 guidance for EPS to be $0.04 to $0.05 lower and FFO per share to be $0.09 to $0.10 lower than each of the low and high ends of its previous guidance ranges.
Acadia Realty Trust Reporting Supplement June 30, 2009
Income Statements - Fee income by Opportunity Fund - -------------------------------------------------- (in thousands) Fund I Fund II Fund III Other Total ------------------------------------------------------ Period ended June 30, 2009 Asset and property management fees $ - $ 1,988 $ 3,149 $ 560 $ 5,697 Transactional fees 49 3,552 536 641 4,778 ------------------------------------------------------ 49 5,540 3,685 1,201 10,475 Priority distributions (Asset and property management fees) 224 - - - 224 ------------------------------------------------------ Total management fees and priority distributions $ 273 $ 5,540 $ 3,685 $ 1,201 $ 10,699 ====================================================== Fund I Fund II Fund III Other Total ------------------------------------------------------ Three months ended December 31, 2009 Asset and property management fees $ - $ - $ - $ - $ - Transactional fees - ------------------------------------------------------ - - - - - Priority distributions (Asset and property management fees) - ------------------------------------------------------ Total management fees and priority distributions $ - $ - $ - $ - $ - ====================================================== Fund I Fund II Fund III Other Total ------------------------------------------------------ Three months ended September 30, 2009 Asset and property management fees $ - $ - $ - $ - $ - Transactional fees - ------------------------------------------------------ - - - - - Priority distributions (Asset and property management fees) - ------------------------------------------------------ Total management fees and priority distributions $ - $ - $ - $ - $ - ====================================================== Fund I Fund II Fund III Other Total ------------------------------------------------------ Three months ended June 30, 2009 Asset and property management fees $ - $ 1,006 $ 1,638 $ 260 $ 2,904 Transactional fees 14 2,247 165 184 2,610 ------------------------------------------------------ 14 3,253 1,803 444 5,514 Priority distributions (Asset and property management fees) 113 113 ------------------------------------------------------ Total management fees and priority distributions $ 127 $ 3,253 $ 1,803 $ 444 $ 5,627 ====================================================== Fund I Fund II Fund III Other Total ------------------------------------------------------ Three months ended March 31, 2009 Asset and property management fees $ - $ 982 $ 1,511 $ 300 $ 2,793 Transactional fees 35 1,305 371 457 2,168 ------------------------------------------------------ 35 2,287 1,882 757 4,961 Priority distributions (Asset and property management fees) 111 - - - 111 ------------------------------------------------------ Total management fees and priority distributions $ 146 $ 2,287 $ 1,882 $ 757 $ 5,072 ======================================================
Acadia Realty Trust Reporting Supplement June 30, 2009
Income Statements -Opportunity Funds (1) ---------------------------------------- Year-to-Date ------------ (in thousands) ---------------------------------------------------------------------------------------- Year-to-Date Period ended June 30, 2009 ---------------------------------------------------------------------------------------- Continuing Discontinued Operations Operations Fund I Fund I Fund I AKR AKR Pro- AKR Pro- AKR Continuing Discontinued Consolidated Promote rata share rata share Mervyns Promote Operations Operations Operations 20.00% 22.22% 22.22% I 20.00% ---------- ------------ ------------ ------- ---------- ------------ -------- ---------- PROPERTY REVENUES Minimum rents $ 4,089 $ 82 $ 4,171 $ 834 $ 723 $ 18 $ - $ - Percentage rents - - - - - - - - Expense reimbursements - CAM 107 - 107 21 19 - - - Expense reimbursements - Taxes 151 - 151 30 27 - - - Other property income 544 - 544 0 121 - - - ---------- ------------ ------------ ------- ---------- ------------ -------- ---------- 4,891 82 4,973 886 890 18 - - ---------- ------------ ------------ ------- ---------- ------------ -------- ---------- PROPERTY EXPENSES Property operating - CAM 214 3 217 43 38 1 - - Other property operating 180 - 180 36 32 - - - Real estate taxes 226 - 226 45 40 - - - ---------- ------------ ------------ ------- ---------- ------------ -------- ---------- 620 3 623 125 110 1 - - ---------- ------------ ------------ ------- ---------- ------------ -------- ---------- NET OPERATING INCOME - PROPERTIES (3) 4,271 79 4,350 762 780 17 - - OTHER INCOME (EXPENSE) Interest income 29 - 29 6 5 - - - Straight-line rent income (296) 106 (190) (38) (57) 24 - - Straight-line rents written off (120) - (120) (24) (21) - - - FAS 141 rent (4) - (4) (1) (1) - - - Interest expense (363) (7) (370) (74) (64) (2) - - FAS 141 interest - - - - - - - - Property management expense (4) - (4) (1) (1) - - - Promote expense (891) - (891) - - - 332 - Reserve for pre-acquisition costs - - - - - - - - Reserve for notes receivable - - - - - - - - ---------- ------------ ------------ ------- ---------- ------------ -------- ---------- OPPORTUNITY FUND INCOME 2,622 178 2,800 630 641 39 332 - FEE INCOME Asset and property management fees - - - - - - - - Priority distributions - - - - - - - - Transactional fees - - - - - - - - Loan defeasance - - - - - - - - Provision for income taxes - - - - - - 1 0 ---------- ------------ ------------ ------- ---------- ------------ -------- ---------- FEE INCOME - - - - - - 1 0 PROMOTE, RCP AND OTHER INCOME Equity in earnings from RCP investments - - - - - - (1,656) - Promote income - RCP - - - - - - - (331) Promote income - Fund capital transactions - - - 108 (24) - - - Equity in earnings of unconsolidated properties (49) - (49) (10) (9) - - - Receipt of forfeited deposit - - - - - - - - Lease termination income - - - - - - - - Gain on extinguishment of debt - - - - - - - - Provision for income taxes (64) - (64) (13) (11) - (2) (0) ---------- ------------ ------------ ------- ---------- ------------ -------- ---------- PROMOTE, RCP AND OTHER INCOME (113) - (113) 86 (44) - (1,658) (331) ---------- ------------ ------------ ------- ---------- ------------ -------- ---------- GENERAL AND ADMINISTRATIVE (322) - (322) (64) (57) - (1) (0) Depreciation and amortization (2,300) - (2,300) (460) (409) - - - FAS 141 amortization (2) - (2) (0) (0) - - - Gain on sale of properties - 5,637 5,637 1,127 (251) 1,253 - - ---------- ------------ ------------ ------- ---------- ------------ -------- ---------- Income before noncontrolling interest (115) 5,815 5,700 1,318 (120) 1,292 (1,326) (331) Noncontrolling interest - OP - - - - - - - - Noncontrolling interests (320) (1,454) (1,774) (355) 8 (323) - - ---------- ------------ ------------ ------- ---------- ------------ -------- ---------- NET INCOME $ (435) $ 4,361 $ 3,926 $ 963 $ (113) $ 969 $(1,326) $ (331) ========== ============ ============ ======= ========== ============ ======== ========== ---------------------------------------------------------------------------------------- AKR Pro- AKR Pro- AKR Pro- AKR Pro- Total rata share rata share Mervyns rata share rata share AKR Pro- 22.22% Fund II 20.00% II 20.00% Fund III 19.9005% rata share ---------------------------------------------------------------------------------------- PROPERTY REVENUES Minimum rents $ - $ 8,699 $ 1,740 $ - $ - $ 10,614 $ 2,114 $ 5,429 Percentage rents - - - - - - - - Expense reimbursements - CAM - 1,165 233 - - 536 107 380 Expense reimbursements - Taxes - 285 57 - - 919 182 296 Other property income - 53 10 - - 507 101 232 ---------- ------------ ------------ ------- ---------- ------------ -------- ---------- - 10,202 2,040 - - 12,576 2,504 6,338 ---------- ------------ ------------ ------- ---------- ------------ -------- ---------- PROPERTY EXPENSES Property operating - CAM - 1,170 234 - - 548 109 425 Other property operating - 2,417 484 - - 3,110 619 1,171 Real estate taxes - 948 190 - - 2,059 410 685 ---------- ------------ ------------ ------- ---------- ------------ -------- ---------- - 4,535 908 - - 5,717 1,138 2,281 ---------- ------------ ------------ ------- ---------- ------------ -------- ---------- NET OPERATING INCOME - PROPERTIES (3) - 5,667 1,132 - - 6,859 1,366 4,057 OTHER INCOME (EXPENSE) Interest income - 4 1 1 - 659 131 143 Straight-line rent income - 1,109 222 - - 125 25 175 Straight-line rents written off - 142 28 - - - - (17) FAS 141 rent - (130) (26) - - (4,069) (810) (838) Interest expense - (2,277) (456) - - (2,932) (583) (1,179) FAS 141 interest - - - - - - - - Property management expense - (2,615) - - - (4,402) - (2) Promote expense - - - - - - - - Reserve for pre-acquisition costs - - - - - (2,415) (481) (481) Reserve for notes receivable - - - - - - - - ---------- ------------ ------------ ------- ---------- ------------ -------- ---------- OPPORTUNITY FUND INCOME - 1,900 901 1 - (6,175) (352) 1,859 FEE INCOME Asset and property management fees - - - - - - - - Priority distributions - - - - - - - - Transactional fees - - - - - - - - Loan defeasance - - - - - - - - Provision for income taxes 0 - - - - - - 0 ---------- ------------ ------------ ------- ---------- ------------ -------- ---------- FEE INCOME 0 - - - - - - 0 PROMOTE, RCP AND OTHER INCOME Equity in earnings from RCP investments (294) (10) (2) (1,921) (384) - - (680) Promote income - RCP - - - - - - - (331) Promote income - Fund capital transactions - - - - - - - 84 Equity in earnings of unconsolidated properties - - - - - - - (19) Receipt of forfeited deposit - - - - - - - - Lease termination income - - - - - - - - Gain on extinguishment of debt - - - - - - - - Provision for income taxes (0) - - (4) (1) (3) - (26) ---------- ------------ ------------ ------- ---------- ------------ -------- ---------- PROMOTE, RCP AND OTHER INCOME (295) (10) (2) (1,925) (385) (3) - (972) ---------- ------------ ------------ ------- ---------- ------------ -------- ---------- GENERAL AND ADMINISTRATIVE (0) (521) (104) (27) (5) (189) (37) (268) Depreciation and amortization - (3,882) (776) - - (2,912) (579) (2,224) FAS 141 amortization - (138) (28) - - (607) (121) (150) Gain on sale of properties - - - - - - - 2,129 ---------- ------------ ------------ ------- ---------- ------------ -------- ---------- Income before noncontrolling interest (295) (2,651) (9) (1,951) (390) (9,886) (1,089) 375 Noncontrolling interest - OP - - - - - - - - Noncontrolling interests - (57) (12) - - 278 55 (627) ---------- ------------ ------------ ------- ---------- ------------ -------- ---------- NET INCOME $ (295) $ (2,708) $ (21) $(1,951)$ (390) $ (9,608) $(1,034) $ (252) ========== ============ ============ ======= ========== ============ ======== ========== (1) Quarterly results are unaudited, although they reflect all adjustments, which in the opinion of management, are necessary for a fair presentation of operating results for the interim periods. The Company's investments in consolidated and unconsolidated joint ventures are reflected separately for revenues and expenses by calculating it's pro-rata share for each of the above line items. In total, net income agrees with net income as reported in the Company's Form 10Q's and 10K for the corresponding periods. The Company currently invests in Funds I. II & III and Mervyn's which are consolidated with the Company's financial statements. (2) Funds I, II & III and the Mervyn's investments pay various fees to the Company. As it is the recipient of such fees, the Company does not recognize its pro-rata share of these expenses. (3) Includes majority-owned affiliates of which the noncontrolling share of NOI for the Kroger/Safeway Portfolio amounts to $961 for the six months ended June 30, 2009.
Reporting Supplement June 30, 2009 Income Statements -Opportunity Funds (1) - --------------------------------------------------- Current Quarter - --------------------------------------------------- (in thousands) Current Quarter Period ended June 30, 2009 ---------------------------------------------------------------------------------------- Continuing Discontinued Operations Operatiosn AKR Fund I Fund I Fund I AKR AKR Pro- AKR Pro- Pro- Dis- Con- rata rata AKR rata Continuingcontinued solidated Promote share share Promote share OperationsOperationsOperations 20.00% 22.22% 22.22% Mervyns I 20.00% 22.22 % ---------------------------------------------------------------------------------------- PROPERTY REVENUES Minimum rents $ 2,019 $ -$ 2,019 $ 404 $ 359 $ - $ - $ - $ - Percentage rents - - - - - - - - - Expense reimbursements - CAM 43 - 43 9 8 - - - - Expense reimbursements - Taxes 71 - 71 14 13 - - - - Other property income 542 - 542 - 120 - - - - ---------------------------------------------------------------------------------------- 2,675 - 2,675 427 500 - - - - ---------------------------------------------------------------------------------------- PROPERTY EXPENSES Property operating - CAM 89 - 89 18 16 - - - - Other property operating 110 - 110 22 20 - - - - Real estate taxes 114 - 114 23 20 - - - - ---------------------------------------------------------------------------------------- 313 - 313 63 56 - - - - ---------------------------------------------------------------------------------------- NET OPERATING INCOME - PROPERTIES (3) 2,362 - 2,362 364 444 - - - - OTHER INCOME (EXPENSE) Interest income 14 - 14 3 2 - - - - Straight-line rent income (149) - (149) (30) (26) - - - - Straight-line rents written off (120) - (120) (24) (21) - - - - FAS 141 rent (2) - (2) (0) (0) - - - - Interest expense (196) - (196) (39) (35) - - - - FAS 141 interest - - - - - - - - - Asset and property management expense (2) - (2) (0) (0) - - - - Promote expense (1) - (1) - - - 332 - - Reserve for pre-acquisition costs - - - - - - - - - Reserve for notes receivable - - - - - - - - - ---------------------------------------------------------------------------------------- OPPORTUNITY FUND INCOME 1,906 - 1,906 273 363 - 332 - - FEE INCOME Asset and property management fees - - - - - - - - - Priority distributions - - - - - - - - - Transactional fees - - - Loan defeasance - - - - - - - - - Provision for income taxes - - - - - - - - - ---------------------------------------------------------------------------------------- FEE INCOME - - - - - - - - - PROMOTE, RCP AND OTHER INCOME Equity in earnings from RCP investments - - - - - - (91) - 53 Promote income - RCP - - - - - - - (331) - Promote income - Fund capital transactions - - - 108 (24) - - - - Equity in earnings of unconsolidated properties (22) - (22) (4) (4) - - - - Receipt of forfeited deposit - - - - - - - - - Lease termination income - - - - - - - - - Gain on extinguishment of debt - - - - - - - - - Provision for income taxes (64) - (64) (13) (11) - (2) (0) (0) ---------------------------------------------------------------------------------------- PROMOTE, RCP AND OTHER INCOME (86) - (86) 91 (39) - (93) (331) 53 ---------------------------------------------------------------------------------------- GENERAL AND ADMINISTRATIVE (277) - (277) (55) (49) - (1) (0) (0) Depreciation and amortization (1,151) - (1,151) (230) (205) - - - - FAS 141 amortization (1) - (1) (0) (0) - - - - Gain on sale of properties - - - - - - - - - ---------------------------------------------------------------------------------------- Income before noncontrolling interest 391 - 391 78 70 - 238 (331) 53 Noncontrolling interest - OP - - - - - - - - - Noncontrolling interests (205) - (205) (41) (36) - - - - ---------------------------------------------------------------------------------------- NET INCOME $ 186 $ -$ 186 $ 37 $ 33 $ - $ 238 $ (331)$ 53 ======================================================================================== Reporting Supplement June 30, 2009 Income Statements -Opportunity Funds (1) - --------------------------------------------------- Current Quarter - --------------------------------------------------- (in thousands) Current Quarter Period ended June 30, 2009 ------------------------------------------------------------------------- AKR Pro- AKR Pro- AKR Pro- AKR Pro- Total rata share rata share rata share rata share AKR Pro- Fund II 20.00 %Mervyns II 20.00 % Fund III 19.9005 %rata share ------------------------------------------------------------------------- PROPERTY REVENUES Minimum rents $ 4,675 $ 935 $ - $ - $ 5,657 $ 1,127 $ 2,825 Percentage rents - - - - - - - Expense reimbursements - CAM 652 130 - - 300 60 206 Expense reimbursements - Taxes 145 29 - - 570 113 169 Other property income 26 5 - - 259 52 177 ------------------------------------------------------------------------- 5,498 1,099 - - 6,786 1,352 3,377 ------------------------------------------------------------------------- PROPERTY EXPENSES Property operating - CAM 625 125 - - 312 62 221 Other property operating 1,103 221 - - 1,439 286 549 Real estate taxes 565 113 - - 1,139 227 383 ------------------------------------------------------------------------- 2,293 459 - - 2,890 575 1,152 ------------------------------------------------------------------------- NET OPERATING INCOME - PROPERTIES (3) 3,205 640 - - 3,896 777 2,225 OTHER INCOME (EXPENSE) Interest income 1 - - - 332 66 71 Straight-line rent income 961 192 - - 81 16 152 Straight-line rents written off (130) (26) - - - - (71) FAS 141 rent (65) (13) - - (1,777) (354) (368) Interest expense (1,383) (277) - - (1,328) (264) (615) FAS 141 interest - - - - - - - Asset and property management expense (1,323) - - - (2,240) - (1) Promote expense - - - - - - - Reserve for pre-acquisition costs - - - - (2,415) (481) (481) Reserve for notes receivable - - - - - - - ------------------------------------------------------------------------- OPPORTUNITY FUND INCOME 1,266 516 - - (3,451) (240) 912 FEE INCOME Asset and property management fees - - - - - - - Priority distributions - - - - - - - Transactional fees - Loan defeasance - - - - - - - Provision for income taxes - - - - - - - ------------------------------------------------------------------------- FEE INCOME - - - - - - - PROMOTE, RCP AND OTHER INCOME Equity in earnings from RCP investments - - (105) (21) - - 32 Promote income - RCP - - - - - - (331) Promote income - Fund capital transactions - - - - - - 84 Equity in earnings of unconsolidated properties - - - - - - (8) Receipt of forfeited deposit - - - - - - - Lease termination income - - - - - - - Gain on extinguishment of debt - - - - - - - Provision for income taxes - - (4) (1) (3) - (26) ------------------------------------------------------------------------- PROMOTE, RCP AND OTHER INCOME - - (109) (22) (3) - (249) ------------------------------------------------------------------------- GENERAL AND ADMINISTRATIVE (462) (92) (27) (5) (152) (30) (232) Depreciation and amortization (2,226) (445) - - (1,705) (339) (1,219) FAS 141 amortization (69) (14) - - (252) (50) (64) Gain on sale of properties - - - - - - - ------------------------------------------------------------------------- Income before noncontrolling interest (1,491) (35) (136) (27) (5,563) (659) (852) Noncontrolling interest - OP - - - - - - - Noncontrolling interests (99) (20) - - 126 25 (72) ------------------------------------------------------------------------- NET INCOME $ (1,590)$ (55)$ (136)$ (27)$ (5,437)$ (634)$ (924) =========================================================================
(1) Quarterly results are unaudited, although they reflect all adjustments, which in the opinion of management, are necessary for a fair presentation of operating results for the interim periods. The Company's investments in consolidated and unconsolidated joint ventures are reflected separately for revenues and expenses by calculating it's pro-rata share for each of the above line items. In total, net income agrees with net income as reported in the Company's Form 10Q's and 10K for the corresponding periods. The Company currently invests in Funds I. II & III and Mervyn's which are consolidated with the Company's financial statements. (2) Funds I, II & III and the Mervyn's investments pay various fees to the Company. As it is the recipient of such fees, the Company does not recognize its pro-rata share of these expenses. (3) Includes majority-owned affiliates of which the noncontrolling share of NOI for the Kroger/Safeway Portfolio amounts to $533 for the three months ended June 30, (2009.)
Reporting Supplement March 31, 2009 Income Statements -Opportunity Funds (1) - -------------------------------------------- Prior Quarter - -------------------------------------------- (in thousands) Prior Quarter Period ended March 31, 2009 ---------------------------------------------------------------------------------------- Dis- Continuingcontinued OperationsOperations Fund I Fund I Fund I AKR AKR Pro- AKR Pro- AKR AKR Pro- Dis- Con- rata Continuingcontinued solidated Promote rata sharerata share Promote share OperationsOperationsOperations 20.00% 22.22% 22.22% Mervyns I 20.00% 22.22% ---------------------------------------------------------------------------------------- PROPERTY REVENUES Minimum rents $ 2,070 $ 82 $ 2,152 $ 430 $ 364 $ 18 $ - $ - $ - Percentage rents - - - - - - - - - Expense reimbursements - CAM 64 - 64 13 11 - - - - Expense reimbursements - Taxes 80 - 80 16 14 - - - - Other property income 2 - 2 0 0 - - - - ---------------------------------------------------------------------------------------- 2,216 82 2,298 460 390 18 - - - ---------------------------------------------------------------------------------------- PROPERTY EXPENSES Property operating - CAM 125 3 128 26 22 1 - - - Other property operating 70 - 70 14 12 - - - - Real estate taxes 112 - 112 22 20 - - - - ---------------------------------------------------------------------------------------- 307 3 310 62 54 1 - - - ---------------------------------------------------------------------------------------- NET OPERATING INCOME - PROPERTIES (3) 1,909 79 1,988 398 336 17 - - - OTHER INCOME (EXPENSE) Interest income 15 - 15 3 3 - - - - Straight-line rent income (147) 106 (41) (8) (31) 24 - - - Straight-line rents written off - - - - - - - - - FAS 141 rent (2) - (2) (0) (0) - - - - Interest expense (167) (7) (174) (35) (29) (2) - - - FAS 141 interest - - - - - - - - - Asset and property management expense (2) - (2) (0) (0) - - - - Promote expense (890) - (890) - - - - - - Reserve for pre-acquisition costs - - - - - - - - - Reserve for notes receivable - - - - - - - - - ---------------------------------------------------------------------------------------- OPPORTUNITY FUND INCOME 716 178 894 357 278 39 - - - FEE INCOME Asset and property management fees - - - - - - - - - Priority distributions - - - - - - - - - Transactional fees - - - Loan defeasance - - - - - - - - - Provision for income taxes - - - - - - 1 0 0 ---------------------------------------------------------------------------------------- FEE INCOME - - - - - - 1 0 0 PROMOTE, RCP AND OTHER INCOME Equity in earnings from RCP investments - - - - - - (1,565) - (348) Promote income - RCP - - - - - - - - - Promote income - Fund capital transactions - - - - - - - Equity in earnings of unconsolidated properties (27) - (27) (5) (5) - - - - Receipt of forfeited deposit - - - - - - - - - Lease termination income - - - - - - - - - Gain on extinguishment of debt - - - - - - - - - Provision for income taxes - - - - - - - - - ---------------------------------------------------------------------------------------- PROMOTE, RCP AND OTHER INCOME (27) - (27) (5) (5) - (1,565) - (348) ---------------------------------------------------------------------------------------- GENERAL AND ADMINISTRATIVE (45) - (45) (9) (8) - - - - Depreciation and amortization (1,149) - (1,149) (230) (204) - - - - FAS 141 amortization (1) - (1) (0) (0) - - - - Gain on sale of properties - 5,637 5,637 1,127 (251) 1,253 - - - ---------------------------------------------------------------------------------------- Income before noncontrolling interest (506) 5,815 5,309 1,240 (190) 1,292 (1,564) 0 (348) Noncontrolling interest - OP - - - - - - - - - Noncontrolling interests (115) (1,454) (1,569) (314) 44 (323) - - - ---------------------------------------------------------------------------------------- NET INCOME $ (621)$ 4,361 $ 3,740 $ 926 $ (146)$ 969 $ (1,564)$ 0 $ (348) ======================================================================================== AKR Pro- AKR Pro- AKR Pro- Total rata share rata share rata share AKR Pro- Fund II 20.00% Mervyns II 20.00% Fund III 19.9005% rata share ---------------------------------------------------------------------- PROPERTY REVENUES Minimum rents $ 4,024 $ 805 $ - $ - $ 4,957 $ 987 $ 2,605 Percentage rents - - - - - - - Expense reimbursements - CAM 513 103 - - 236 47 174 Expense reimbursements - Taxes 140 28 - - 349 69 127 Other property income 27 5 - - 248 49 55 ---------------------------------------------------------------------- 4,704 941 - - 5,790 1,152 2,961 ---------------------------------------------------------------------- PROPERTY EXPENSES Property operating - CAM 545 109 - - 236 47 204 Other property operating 1,314 263 - - 1,671 333 622 Real estate taxes 383 77 - - 920 183 302 ---------------------------------------------------------------------- 2,242 449 - - 2,827 563 1,129 ---------------------------------------------------------------------- NET OPERATING INCOME - PROPERTIES (3) 2,462 492 - - 2,963 589 1,832 OTHER INCOME (EXPENSE) Interest income 3 1 1 - 327 65 72 Straight-line rent income 148 30 - - 44 9 24 Straight-line rents written off 272 54 - - - - 54 FAS 141 rent (65) (13) - - (2,292) (456) (470) Interest expense (894) (179) - - (1,604) (319) (564) FAS 141 interest - - - - - - - Asset and property management expense (1,292) - - - (2,162) - (1) Promote expense - - - - - - - Reserve for pre-acquisition costs - - - - - - - Reserve for notes receivable - - - - - - - ---------------------------------------------------------------------- OPPORTUNITY FUND INCOME 634 385 1 - (2,724) (112) 947 FEE INCOME Asset and property management fees - - - - - - - Priority distributions - - - - - - - Transactional fees - Loan defeasance - - - - - - - Provision for income taxes - - - - - - 0 ---------------------------------------------------------------------- FEE INCOME - - - - - - 0 PROMOTE, RCP AND OTHER INCOME Equity in earnings from RCP investments (10) (2) (1,816) (363) - - (713) Promote income - RCP - - - - - - - Promote income - Fund capital transactions - - - - - - - Equity in earnings of unconsolidated properties - - - - - - (10) Receipt of forfeited deposit - - - - - - - Lease termination income - - - - - - - Gain on extinguishment of debt - - - - - - - Provision for income taxes - - - - - - - ---------------------------------------------------------------------- PROMOTE, RCP AND OTHER INCOME (10) (2) (1,816) (363) - - (723) ---------------------------------------------------------------------- GENERAL AND ADMINISTRATIVE (59) (12) - - (37) (7) (36) Depreciation and amortization (1,656) (331) - - (1,207) (240) (1,005) FAS 141 amortization (69) (14) - - (355) (71) (85) Gain on sale of properties - - - - - - 2,129 ---------------------------------------------------------------------- Income before noncontrolling interest (1,160) 26 (1,815) (363) (4,323) (430) 1,227 Noncontrolling interest - OP - - - - - - - Noncontrolling interests 42 8 - - 152 30 (555) ---------------------------------------------------------------------- NET INCOME $ (1,118)$ 34 $ (1,815)$ (363)$ (4,171)$ (400)$ 672 ======================================================================
(1) Quarterly results are unaudited, although they reflect all adjustments, which in the opinion of management, are necessary for a fair presentation of operating results for the interim periods. The Company's investments in consolidated and unconsolidated joint ventures are reflected separately for revenues and expenses by calculating it's pro-rata share for each of the above line items. In total, net income agrees with net income as reported in the Company's Form 10Q's and 10K for the corresponding periods. The Company currently invests in Funds I. II & III and Mervyn's which are consolidated with the Company's financial statements. (2) Funds I, II & III and the Mervyn's investments pay various fees to the Company. As it is the recipient of such fees, the Company does not recognize its pro- rata share of these expenses. (3) Includes majority-owned affiliates of which the noncontrolling share of NOI for the Kroger/Safeway Portfolio amounts to $428 for the three months ended March 31, 2009. Reporting Supplement June 30, 2009 Income Statements - Joint Ventures (1) - ------------------------------------ Current Quarter and Year-to-Date - ------------------------------------ ------------------------------------------- (in thousands) Year-to-Date Period Ended June 30, 2009 ------------------------------------------- Joint Ventures - Core Retail ------------------------------------------- AKR AKR Pro- Pro- Total rata rata share share AKR Pro- rata Brandywine 22.22 %Crossroads 49.00% share ------------------------------------------- PROPERTY REVENUES Minimum rents $ 7,995 $ 1,776 $ 2,948 $1,444 $ 3,220 Percentage rents 89 20 - - 20 Expense reimbursements - CAM 1,067 237 504 247 484 Expense reimbursements - Taxes 515 114 907 445 559 Other property income 1 - - - - ------------------------------------------- 9,667 2,147 4,359 2,136 4,283 ------------------------------------------- PROPERTY EXPENSES Property operating - CAM 1,517 338 405 198 536 Other property operating 587 130 14 6 136 Real estate taxes 580 128 987 483 611 ------------------------------------------- 2,684 596 1,406 687 1,283 ------------------------------------------- NET OPERATING INCOME - PROPERTIES 6,983 1,551 2,953 1,449 3,000 OTHER INCOME (EXPENSE) Interest income 3 - 6 3 3 Straight-line rent income 83 18 (40) (20) (2) Straight-line rents written off - - - - - FAS 141 rent 314 70 - - 70 Interest expense (5,037) (1,033) (1,699) (833) (1,866) FAS 141 interest - - - - - Property management expense (490) - - - - Promote expense - - - - - Reserve for pre-acquisition costs - - - - - Reserve for notes receivable - - - - - ------------------------------------------- CORE PORTFOLIO AND OPPORTUNITY FUND INCOME 1,856 606 1,220 599 1,205 FEE INCOME Asset and property management fees - - - - - Priority distributions - - - - - Transactional fees - - - - - Loan defeasance - - - - - Provision for income taxes - - - - - ------------------------------------------- FEE INCOME - - - - - PROMOTE, RCP AND OTHER INCOME Equity in earnings from RCP investments - - - - - Promote income - RCP - - - - - Promote income - Fund capital transactions - - - - - Equity in earnings of unconsolidated properties - - - - - Receipt of forfeited deposit - - - - - Lease termination income - - 2 1 1 Gain on extinguishment of debt - - - - - Provision for income taxes - - - - - ------------------------------------------- PROMOTE, RCP AND OTHER INCOME - - 2 1 1 GENERAL AND ADMINISTRATIVE 23 5 - - 5 Depreciation and amortization (1,806) (401) (283) (335) (736) FAS 141 amortization - - - - - Gain on sale of properties - - - - - ------------------------------------------- Income before noncontrolling interest 73 210 939 265 475 Noncontrolling interest - OP - - - - - Noncontrolling interests - - - - - ------------------------------------------- NET INCOME $ 73 $ 210 $ 939 $ 265 $ 475 =========================================== Current Quarter 3 months Ended June 30, 2009 ----------------------------------------- Joint Ventures - Core Retail ------------------------------------------- AKR AKR Pro- Pro- Total rata rata AKR share share Pro- Brandywine rata JV 22.22%Crossroads 49.00% share ------------------------------------------- PROPERTY REVENUES Minimum rents $ 3,993 $ 887 $1,464 $ 717 $1,604 Percentage rents 50 11 - - 11 Expense reimbursements - CAM 464 103 272 133 236 Expense reimbursements - Taxes 261 58 508 249 307 Other property income 1 - - - - ----------------------------------------- 4,769 1,059 2,244 1,099 2,158 ----------------------------------------- PROPERTY EXPENSES Property operating - CAM 601 134 174 85 219 Other property operating 333 74 (50) (25) 49 Real estate taxes 290 64 509 249 313 ----------------------------------------- 1,224 272 633 309 581 ----------------------------------------- NET OPERATING INCOME - PROPERTIES 3,545 787 1,611 790 1,577 OTHER INCOME (EXPENSE) Interest income 1 - 2 1 1 Straight-line rent income 36 8 (28) (14) (6) Straight-line rents written off - - - - - FAS 141 rent 157 35 - - 35 Interest expense (2,519) (517) (853) (418) (935) FAS 141 interest - - - - - Property management expense (229) - - - - Promote expense - - - - - Reserve for pre-acquisition costs - - - - - Reserve for notes receivable - - - - - ----------------------------------------- CORE PORTFOLIO AND OPPORTUNITY FUND INCOME 991 313 732 359 672 FEE INCOME Asset and property management fees - - - - - Priority distributions - - - - - Transactional fees Loan defeasance - - - - - Provision for income taxes - - - - - ----------------------------------------- FEE INCOME - - - - - PROMOTE, RCP AND OTHER INCOME Equity in earnings from RCP investments - - - - - Promote income - RCP - - - - - Promote income - Fund capital transactions - - - - - Equity in earnings of unconsolidated properties - - - - - Receipt of forfeited deposit - - - - - Lease termination income - - - - - Gain on extinguishment of debt - - - - - Provision for income taxes - - - - - ----------------------------------------- PROMOTE, RCP AND OTHER INCOME - - - - - GENERAL AND ADMINISTRATIVE 23 5 - - 5 - Depreciation and amortization (902) (200) (135) (164) (364) FAS 141 amortization - - - - - Gain on sale of properties - - - - - ----------------------------------------- Income before noncontrolling interest 112 118 597 195 313 Noncontrolling interest - OP - - - - - Noncontrolling interests - - - - - ----------------------------------------- NET INCOME $ 112 $ 118 $ 597 $ 195 $ 313 ========================================= Prior Quarter 3 months Ended March 31, 2009 ----------------------------------------- Joint Ventures - Core Retail ----------------------------------------- AKR AKR Total Pro- Pro- rata rata AKR share share Pro- Brandywine rata JV 22.22%Crossroads 49.00% share ----------------------------------------- PROPERTY REVENUES Minimum rents $ 4,002 $ 889 $1,484 $ 727 $1,616 Percentage rents 39 9 - - 9 Expense reimbursements - CAM 603 134 232 114 248 Expense reimbursements - Taxes 254 56 399 196 252 Other property income - - - - - ----------------------------------------- 4,898 1,088 2,115 1,037 2,125 ----------------------------------------- PROPERTY EXPENSES Property operating - CAM 916 204 231 113 317 Other property operating 254 56 64 31 87 Real estate taxes 290 64 478 234 298 ----------------------------------------- 1,460 324 773 378 702 ----------------------------------------- NET OPERATING INCOME - PROPERTIES 3,438 764 1,342 659 1,423 OTHER INCOME (EXPENSE) Interest income 2 - 4 2 2 Straight-line rent income 47 10 (12) (6) 4 Straight-line rents written off - - - - - FAS 141 rent 157 35 - - 35 Interest expense (2,518) (516) (846) (415) (931) FAS 141 interest - - - - - Property management expense (261) - - - - Promote expense - - - - - Reserve for pre-acquisition costs - - - - - Reserve for notes receivable - - - - - ----------------------------------------- CORE PORTFOLIO AND OPPORTUNITY FUND INCOME 865 293 488 240 533 FEE INCOME Asset and property management fees - - - - - Priority distributions - - - - - Transactional fees Loan defeasance - - - - - Provision for income taxes - - - - - ----------------------------------------- FEE INCOME - - - - - PROMOTE, RCP AND OTHER INCOME Equity in earnings from RCP investments - - - - - Promote income - RCP - - - - - Promote income - Fund capital transactions - - - - - Equity in earnings of unconsolidated properties - - - - - Receipt of forfeited deposit - - - - - Lease termination income - - 2 1 1 Gain on extinguishment of debt - - - - - Provision for income taxes - - - - - ----------------------------------------- PROMOTE, RCP AND OTHER INCOME - - 2 1 1 GENERAL AND ADMINISTRATIVE - - - - - Depreciation and amortization (904) (201) (148) (171) (372) FAS 141 amortization - - - - - Gain on sale of properties - - - - - ----------------------------------------- Income before noncontrolling interest (39) 92 342 70 162 Noncontrolling interest - OP - - - - - Noncontrolling interests - - - - - ----------------------------------------- NET INCOME $ (39)$ 92 $ 342 $ 70 $ 162 ========================================= (1) The Company has a 22.2% interest in the Brandywine Portfolio and a 49% interest in the Crossroads Shopping Center ("Crossroads") which are accounted for as unconsolidated investments in the Company's financial statements. (2) In addition to its pro-rata share of depreciation, the Company recognizes depreciation on its stepped-up basis in Crossroads.
Reporting Supplement June 30, 2009 Income Statements - Current v. Prior Year (1) - ----------------------------- (in thousands) Current Quarter 3 months ended June 30, 2009 --------------------------------------------------- Core Opportunity Retail Funds CORE PORTFOLIO AND OPPORTUNITY FUND INCOME Core DiscontinuedOpportunityDiscontinued Retail Operations Funds Operations Total --------------------------------------------------- PROPERTY REVENUES Minimum rents $13,947 $- $ 2,825 $-$16,772 Percentage rents 138 - - - 138 Expense reimbursements - CAM 1,516 - 206 - 1,722 Expense reimbursements - Taxes 2,187 - 169 - 2,356 Other property income 61 - 177 - 238 --------------------------------------------------- 17,849 - 3,377 - 21,226 --------------------------------------------------- PROPERTY EXPENSES Property operating - CAM 1,819 - 221 - 2,040 Other property operating 1,171 - 549 - 1,720 Real estate taxes 2,643 - 383 - 3,026 --------------------------------------------------- 5,633 - 1,152 - 6,785 --------------------------------------------------- NET OPERATING INCOME - PROPERTIES (3) 12,216 - 2,225 - 14,441 OTHER INCOME (EXPENSE) Interest income 4,682 - 71 - 4,753 Straight-line rent income 117 - 152 - 269 Straight-line rents written off (369) - (71) - (440) FAS 141 rent 39 - (368) - (329) Interest expense (5,668) - (615) - (6,283) FAS 141 interest 9 - - - 9 Property management expense (32) - (1) - (33) Promote expense - - - - - Reserve for pre-acquisition costs - - (481) - (481) Reserve for notes receivable (1,734) - - - (1,734) --------------------------------------------------- CORE PORTFOLIO AND OPPORTUNITY FUND INCOME 9,260 - 912 - 10,172 FEE INCOME Asset and property management fees 2,904 - - - 2,904 Priority distributions 113 - - - 113 Transactional fees 2,610 2,610 Loan defeasance - - - - - Provision for income taxes (1,045) - - - (1,045) --------------------------------------------------- FEE INCOME 4,582 - - - 4,582 PROMOTE, RCP AND OTHER INCOME Equity in earnings from RCP investments - - 32 - 32 Promote income - RCP - - (331) - (331) Promote income - Fund capital transactions - - 63 - 63 Equity in earnings of unconsolidated properties - - (8) - (8) Receipt of forfeited deposit - - - - - Lease termination income 21 - - - 21 Gain on extinguishment of debt 3,895 - - - 3,895 Provision for income taxes 21 - (26) - (5) --------------------------------------------------- PROMOTE, RCP AND OTHER INCOME 3,937 - (269) - 3,668 GENERAL AND ADMINISTRATIVE (5,207) - (232) - (5,439) --------------------------------------------------- Depreciation and amortization (4,226) - (1,219) - (5,445) FAS 141 amortization (224) - (64) - (288) Gain on sale of properties - - - - - --------------------------------------------------- Income before noncontrolling interest 8,122 - (872) - 7,250 Noncontrolling interest - OP (45) - (15) - (60) Noncontrolling interests (3) - (51) - (54) --------------------------------------------------- NET INCOME $ 8,074 $- $ (939) $-$ 7,135 =================================================== Prior Year Quarter 3 months ended June 30, 2008 ----------------------------------------------------------------------------- Core Opportunity Retail Funds Residential CORE PORTFOLIO AND OPPORTUNITY FUND INCOME Core Discontinued Opportunity Discontinued Discontinued Retail Operations Funds Operations Operations Total ----------------------------------------------------------------------------- PROPERTY REVENUES Minimum rents $ 14,058 $ -$ 1,927 $ 557 $ 285 $ 16,827 Percentage rents 62 - - - - 62 Expense reimbursements - CAM 1,522 - 60 - - 1,582 Expense reimbursements - Taxes 2,061 - 27 - - 2,088 Other property income 39 - 28 - 34 101 ----------------------------------------------------------------------------- 17,742 - 2,042 557 319 20,660 ----------------------------------------------------------------------------- PROPERTY EXPENSES Property operating - CAM 1,858 - 123 5 - 1,986 Other property operating 806 - 471 3 215 1,495 Real estate taxes 2,586 - 210 - 15 2,811 ----------------------------------------------------------------------------- 5,250 - 804 8 230 6,292 ----------------------------------------------------------------------------- NET OPERATING INCOME - PROPERTIES (3) 12,492 - 1,238 549 89 14,368 OTHER INCOME (EXPENSE) Interest income 1,840 - 20 - 3 1,863 Straight-line rent income 273 - (33) 8 - 248 Straight-line rents written off - - . - - - FAS 141 rent (92) - (9) - - (101) Interest expense (5,718) - (559) (22) - (6,299) FAS 141 interest 20 - - - 20 Property management expense (32) - (1) - (9) (42) Promote expense - - - - - - Reserve for pre-acquisition costs - - - - - - Reserve for notes receivable - - - - - - ----------------------------------------------------------------------------- CORE PORTFOLIO AND OPPORTUNITY FUND INCOME 8,783 - 656 535 83 10,057 FEE INCOME Asset and property management fees 2,886 - - - - 2,886 Priority distributions 118 - - - - 118 Transactional fees 2,082 2,082 Loan defeasance - - - - - Provision for income taxes - - - - - - ----------------------------------------------------------------------------- FEE INCOME 5,086 - - - - 5,086 PROMOTE, RCP AND OTHER INCOME Equity in earnings from RCP investments - - 200 - - 200 Promote income - RCP - - 96 - - 96 Promote income - Fund capital transactions 1,044 - 117 - - 1,161 Equity in earnings of unconsolidated properties - - 1,467 - - 1,467 Receipt of forfeited deposit - - - - - - Lease termination income - - 4,900 - - 4,900 Gain on extinguishment of debt - - - - - - Provision for income taxes (349) - - - - (349) ----------------------------------------------------------------------------- PROMOTE, RCP AND OTHER INCOME 695 - 6,780 - - 7,475 GENERAL AND ADMINISTRATIVE (6,572) - (70) - - (6,642) ----------------------------------------------------------------------------- Depreciation and amortization (4,457) - (641) (378) - (5,476) FAS 141 amortization (239) (15) - - (254) Gain on sale of properties 763 - - - 7,182 7,945 ----------------------------------------------------------------------------- Income before noncontrolling interest 4,059 - 6,710 157 7,265 18,191 Noncontrolling interest - OP (220) - - - (142) (362) Noncontrolling interests (7) - (293) (131) - (431) ----------------------------------------------------------------------------- NET INCOME $ 3,832 $ -$ 6,417 $ 26 $ 7,123 $ 17,398 =============================================================================
(1) Quarterly results are unaudited, although they reflect all adjustments, which in the opinion of management, are necessary for a fair presentation of operating results for the interim periods. The Company's investments in consolidated and unconsolidated joint ventures are reflected separately for revenues and expenses by calculating it's pro-rata share for each of the above line items. In total, net income agrees with net income as reported in the Company's Form 10Q's and 10K for the corresponding periods. The Company currently invests in Funds I, II & III and Mervyn's which are consolidated with the Company's financial statements. The Company also has a 22.2% investment in the Brandywine Portfolio and has a 49% JV interest in the Crossroads Shopping Center ("Crossroads") which are accounted for as unconsolidated investments in the Company's financial statements.
Reporting Supplement June 30, 2009 Income Statements - Current v. Prior Year (1) - --------------------------- (in thousands) Current Year-to-Date Period ended June 30, 2009 ----------------------------------------------------- Core Opportunity Retail Funds CORE PORTFOLIO AND OPPORTUNITY FUND INCOME Core DiscontinuedOpportunityDiscontinued Retail Operations Funds Operations Total ----------------------------------------------------- PROPERTY REVENUES Minimum rents $ 28,119 $- $ 5,411 $ 18 $ 33,548 Percentage rents 348 - - - 348 Expense reimbursements - CAM 3,927 - 380 - 4,307 Expense reimbursements - Taxes 4,377 - 296 - 4,673 Other property income 86 - 232 - 318 ----------------------------------------------------- 36,857 - 6,320 18 43,195 ----------------------------------------------------- PROPERTY EXPENSES Property operating - CAM 4,913 - 425 - 5,338 Other property operating 1,805 - 1,170 1 2,976 Real estate taxes 5,242 - 685 - 5,927 ----------------------------------------------------- 11,960 - 2,281 1 14,241 ----------------------------------------------------- NET OPERATING INCOME - PROPERTIES (3) 24,897 - 4,039 17 28,954 OTHER INCOME (EXPENSE) Interest income 9,481 - 143 - 9,624 Straight-line rent income 246 - 175 - 421 Straight-line rents written off (369) - (41) 24 (386) FAS 141 rent (22) - (838) - (860) Interest expense (11,765) - (1,179) - (12,944) FAS 141 interest 18 - 2 (2) 18 Property management expense (64) - (2) - (66) Promote expense - - - - - Reserve for pre- acquisition costs - - (481) - (481) Reserve for notes receivable (1,734) - - - (1,734) ----------------------------------------------------- CORE PORTFOLIO AND OPPORTUNITY FUND INCOME 20,688 - 1,819 39 22,547 FEE INCOME Asset and property management fees 5,697 - - - 5,697 Priority distributions 225 - - - 225 Transactional fees 4,778 - - - 4,778 Loan defeasance - - - - - Provision for income taxes (1,849) - 0 - (1,849) ----------------------------------------------------- FEE INCOME 8,851 - 0 - 8,851 PROMOTE, RCP AND OTHER INCOME Equity in earnings from RCP investments - - (680) - (680) Promote income - RCP - - (331) - (331) Promote income - Fund capital transactions - - 909 - 909 Equity in earnings of unconsolidated properties - - (19) - (19) Receipt of forfeited deposit 1,730 - - - 1,730 Lease termination income 227 - - - 227 Gain on extinguishment of debt 7,045 - - - 7,045 Provision for income taxes 298 - (26) - 272 ----------------------------------------------------- PROMOTE, RCP AND OTHER INCOME 9,300 - (147) - 9,153 GENERAL AND ADMINISTRATIVE (11,953) - (268) - (12,221) ----------------------------------------------------- Depreciation and amortization (8,526) - (2,224) - (10,750) FAS 141 amortization (451) - (150) - (601) Gain on sale of properties - - - 1,002 1,002 ----------------------------------------------------- Income before noncontrolling interest 17,909 - (969) 1,041 17,981 Noncontrolling interest - OP (177) - (15) (19) (211) Noncontrolling interests (12) - (1) (323) (336) ----------------------------------------------------- NET INCOME $ 17,720 $- $ (985) $ 699 $ 17,434 ===================================================== Prior Year-to-Date Period ended June 30, 2008 -------------------------------------------------------------------------------- Core Opportunity Retail Funds Residential CORE PORTFOLIO AND OPPORTUNITY FUND INCOME Core Discontinued Opportunity Discontinued Discontinued Retail Operations Funds Operations Operations Total -------------------------------------------------------------------------------- PROPERTY REVENUES Minimum rents $ 28,282 $ -$ 4,062 $ 1,130 $ 1,203 $ 34,677 Percentage rents 267 - - - - 267 Expense reimbursements - CAM 3,941 - 127 - - 4,068 Expense reimbursements - Taxes 4,347 - 76 - - 4,423 Other property income 180 - 117 - 109 406 -------------------------------------------------------------------------------- 37,017 - 4,382 1,130 1,312 43,841 -------------------------------------------------------------------------------- PROPERTY EXPENSES Property operating - CAM 4,675 - 316 10 - 5,001 Other property operating 1,586 - 642 13 631 2,872 Real estate taxes 5,153 - 356 - 65 5,574 -------------------------------------------------------------------------------- 11,414 - 1,314 23 696 13,447 -------------------------------------------------------------------------------- NET OPERATING INCOME - PROPERTIES (3) 25,603 - 3,068 1,107 616 30,394 OTHER INCOME (EXPENSE) Interest income 4,145 - 174 - 11 4,330 Straight-line rent income 553 - (176) 3 - 380 Straight-line rents written off (61) - - - - (61) FAS 141 rent (170) - (33) - - (203) Interest expense (11,444) - (1,049) (52) - (12,545) FAS 141 interest 40 - - - 40 Property management expense (64) - (3) - (23) (90) Promote expense - - - - - - Reserve for pre-acquisition costs - - - - - - Reserve for notes receivable - - - - - - -------------------------------------------------------------------------------- CORE PORTFOLIO AND OPPORTUNITY FUND INCOME 18,602 - 1,981 1,058 604 22,245 FEE INCOME Asset and property management fees 5,910 - - - - 5,910 Priority distributions 253 - - - - 253 Transactional fees 5,764 5,764 Loan defeasance - - - - - Provision for income taxes - - - - - - -------------------------------------------------------------------------------- FEE INCOME 11,927 - - - - 11,927 PROMOTE, RCP AND OTHER INCOME Equity in earnings from RCP investments - - 2,733 - - 2,733 Promote income - RCP - - 1,288 - - 1,288 Promote income - Fund capital transactions 1,044 - 117 - - 1,161 Equity in earnings of unconsolidated properties 21 - 1,450 - - 1,471 Receipt of forfeited deposit - - - - - - Lease termination income - - 4,808 92 - 4,900 Gain on extinguishment of debt - - - - - - Provision for income taxes (2,192) - (9) - - (2,201) -------------------------------------------------------------------------------- PROMOTE, RCP AND OTHER INCOME (1,127) - 10,387 92 - 9,352 GENERAL AND ADMINISTRATIVE (13,180) - (174) - - (13,354) -------------------------------------------------------------------------------- Depreciation and amortization (8,614) - (1,592) (768) - (10,974) FAS 141 amortization (494) (33) - - (527) Gain on sale of properties 763 - - - 7,182 7,945 -------------------------------------------------------------------------------- Income before noncontrolling interest 7,877 - 10,569 382 7,786 26,614 Noncontrolling interest - OP (391) - - - (152) (543) Noncontrolling interests 85 - (200) (320) - (435) -------------------------------------------------------------------------------- NET INCOME $ 7,571 $ -$ 10,369 $ 62 $ 7,634 $ 25,636 ================================================================================
Reporting Supplement June 30, 2009 Net Operating Income (NOI) - Same Property Performance (1) - -------------------------------------- (in thousands) Growth in Same Growth in Same Property NOI - Property NOI - Continuing Current Historical Continuing Operations Operations Notes: Current Historical Favorable Year-to-Date Year-to-Date Favorable Quarter Quarter (unfavorable) (unfavorable) ---------------------------------------------------------------------------------------------- Three Three months months Period Period ended ended ended ended Reconciliation of total NOI to same June 30, June 30, June 30, June 30, property NOI: 2009 2008 2009 2008 ----------------------------- ---------------------------- NOI - Core Retail properties $ 12,216 $ 12,492 $ 24,897 $ 25,603 NOI - Opportunity Fund properties 2,225 1,238 4,039 3,068 NOI - Discontinued Operations - 638 17 1,723 Adjustment to reflect 2006 increase in Fund I ownership percentage 2 - (204) - (1,092) ----------------------------- ---------------------------- Total NOI 14,441 14,164 28,954 29,302 NOI - Properties Acquired (1,890) (1,058) (4,022) (2,231) NOI - Discontinued Operations - (638) (17) (1,723) ----------------------------- ---------------------------- $ 12,551 $ 12,468 0.7% $ 24,914 $ 25,348 -1.7% ============================================= ========================================== Same property NOI by portfolio component and revenues/expenses: Core Retail Properties Core Retail Properties ----------------------------- ---------------------------- Revenues$ 16,222$ 16,008 1.3% $ 33,225$ 33,196 0.1% Expenses 4,761 4,521 -5.3% 10,417 9,814 -6.1% --------------------------------------------- ------------------------------------------ Core Retail Properties 11,461 11,487 -0.2% 22,808 23,382 -2.5% --------------------------------------------- ------------------------------------------ Opportunity Fund Properties Opportunity Fund Properties ----------------------------- ---------------------------- Revenues 1,394 1,303 7.0% 2,824 2,642 6.9% Expenses 304 322 5.6% 718 676 -6.2% --------------------------------------------- ------------------------------------------ Opportunity Fund Properties 1,090 981 11.0% 2,106 1,966 7.1% --------------------------------------------- ------------------------------------------ Total Core Retail and Opportunity Funds NOI$ 12,551$ 12,468 0.7% $ 24,914$ 25,348 -1.7% ============================================= ============================
(1) The above amounts includes the pro- rata activity related to the Company's consolidated and unconsolidated joint ventures. (2) As a result of the recapitalization of the Brandywine Portfolio which enabled the Fund I investors to receive all of their invested capital and preferred return, the Company is entitled to receive a 20% promote interest. Accordingly, Acadia's effective ownership interest is now 38% (20% + (80% x 22%)). The Company was entitled to $7.2 million Promote on future Fund I earnings and received 100% of Fund I income until it was repaid. The balance was repaid in the second quarter of 2008 and the Company's share returned to 38%. 2008 NOI from Fund I have been adjusted from 100% down to 38% for comparability. Reporting Supplement June 30, 2009 Consolidated Balance Sheets - --------------------------- (in thousands) December June 30, 31, 2009 2008 ----------- ----------- ASSETS Real estate Land $ 309,806 $ 294,132 Buildings and improvements 795,118 729,159 Construction in progress 84,647 70,423 ----------- ----------- 1,189,571 1,093,714 Less: accumulated depreciation (179,370) (165,803) ----------- ----------- Net real estate 1,010,201 927,911 Cash and cash equivalents 107,739 86,691 Cash in escrow 7,344 6,794 Investments in and advances to unconsolidated affiliates 52,967 54,978 Rents receivable, net of $6,539 and $4,726 allowance, respectively 13,655 12,660 Notes Receivable 84,500 85,587 Preferred Equity Investment 40,000 40,000 Deferred charges, net 24,511 21,899 Prepaid expenses and other assets, net 27,478 31,735 Acquired lease intangibles, net 26,899 19,476 Net assets of discontinued operations - 3,652 ----------- ----------- $1,395,294 $1,291,383 =========== =========== LIABILITIES AND SHAREHOLDERS' EQUITY Mortgage notes payable $ 753,269 $ 653,543 Notes payable 47,549 100,403 Acquired lease intangibles, net 8,964 6,506 Accounts payable and accrued expenses 23,132 22,193 Dividends and distributions payable 7,361 25,514 Share of losses in excess of investment in unconsolidated affiliates 20,781 20,633 Other liabilities 17,229 18,912 Net liabilities of discontinued operations - 1,451 ----------- ----------- Total liabilities 878,285 849,155 ----------- ----------- Shareholders' equity: Common shares 40 32 Additional paid-in capital 298,706 218,527 Accumulated other comprehensive loss (3,227) (4,508) Retained earnings 16,784 13,671 ----------- ----------- Total controlling interest 312,303 227,722 Non-controlling interest in subsidiary 204,706 214,506 ----------- ----------- Total shareholders equity 517,009 442,228 ----------- ----------- $1,395,294 $1,291,383 =========== ===========
Quarterly Supplemental Disclosure June 30, 2009 Pro-Rata Consolidated Balance Sheet - ----------------------------------- (in thousands) Consolidated Noncontrolling Company's Pro-Rata Balance Interest in Interest in Consolidated Sheet Consolidated Unconsolidated Balance As Reported (1) Subsidiaries Subsidiaries Sheet (2) ------------------------------------------------------------ ASSETS Real estate Land $ 309,806 $ (171,643) $ 6,830 $ 144,993 Buildings and improvements 795,118 (332,798) 49,668 511,988 Construction in progress 84,647 (66,344) 1,098 19,401 -------------- -------------- --------------- -------------- 1,189,571 (570,785) 57,596 676,382 Less: accumulated depreciation (179,370) 31,798 (8,380) (155,952) -------------- -------------- --------------- -------------- Net real estate 1,010,201 (538,987) 49,216 520,430 Cash and cash equivalents 107,739 (27,883) 1,274 81,130 Cash in escrow 7,344 (2,538) 710 5,516 Investments in and advances to unconsolidated affiliates 52,967 (39,358) (8,336) 5,274 Rents receivable, net 4,991 (1,224) (246) 3,521 Straight-line rents receivable, net 8,664 (2,064) 1,527 8,127 Intercompany - - - - Notes Receivable 84,500 (8,392) - 76,108 Preferred equity investment 40,000 - - 40,000 Deferred charges, net 24,511 (13,979) 7,432 17,964 Prepaid expenses and other assets 27,478 23,683 810 51,971 Acquired lease intangibles 26,899 (14,007) 4 12,896 Assets of discontinued operations - - - - -------------- -------------- --------------- -------------- Total Assets $ 1,395,294 $ (624,749) $ 52,391 $ 822,937 ============== ============== =============== ============== LIABILITIES AND SHAREHOLDERS' EQUITY Mortgage notes payable $ 753,148 $ (409,703) $ 70,433 $ 413,879 Notes payable 47,549 - - 47,549 Valuation of debt at acquisition, net of amortization 121 (48) 1,203 1,276 Acquired lease intangibles 8,964 (2,943) - 6,021 Accounts payable and accrued expenses 23,132 (8,747) 536 14,921 Dividends and distributions payable 7,361 - - 7,361 Due to related parties - - - - Share of losses in excess of inv. in unconsolidated affiliates 20,781 - (20,781) - Other liabilities 17,229 (6,222) 1,000 12,007 Liabilities of discontinued operations - - - - -------------- -------------- --------------- -------------- Total liabilities 878,285 (427,663) 52,391 503,014 Shareholders' equity: Common shares 40 - - 40 Additional paid-in capital 298,706 - - 298,706 Accumulated other comprehensive income (3,227) - - (3,227) Retained earnings 16,784 - - 16,784 -------------- -------------- --------------- -------------- Total controlling interest 312,303 - - 312,303 Non-controlling interest in subsidiary 204,706 (197,086) - 7,620 ------------------------------------------------------------ Total shareholders' equity 517,009 (197,086) - 319,923 -------------- -------------- --------------- -------------- Total Liabilities and Shareholders' Equity $ 1,395,294 $ (624,749) $ 52,391 $ 822,937 ============== ============== =============== ==============
Notes (1) The interim consolidated balance sheet is unaudited, although it reflect all adjustments, which in the opinion of management, are necessary for the fair presentation of the consolidated balance sheet for the interim period. (2) The Company currently invests in Funds I, II & III and Mervyns I & II which are consolidated with the Company's financial statements. To provide investors with supplemental information, the Company's investments in these joint ventures are reflected above on a pro-rata basis by calculating its ownership percentage for each of the above asset and liability line items. Similiarly, the above presentation also includes the Company's share of assets and liaiblities for unconsolidated investments which are accounted for under the equity method of accounting pursuant to GAAP.
Reporting Supplement June 30, 2009 Notes Receivable (1) - ------------------------------ (amounts in thousands) - --------------------------------------------------------------------------------------------------------- -------------------------- At June 30, 2009 Stated Effective Extension Accrued Interest interest Maturity options Underlying third-party first mortgage Investment Principal interest Total rate rate (2) date (years) Amount (3) Maturity dates - --------------------------------------------------------------------------------------------------------- -------------------------- 2008 Investments - ------------------------------ Georgetown - 5 property 2 x 1 year 2009 through portfolio $ 8,000 $ 998 $ 8,998 9.75% 10.25% 11/2010 $ 8,576 2012 Georgetown - 18 property 2 x 1 year $100 million in portfolio 2016, balance 40,000 3,854 43,854 13.00% 13.50% 6/2010 115,020 in 2011 --------------------------------------------------- ---------- Sub-total - Georgetown 48,000 4,852 52,852 12.46% 12.96% 123,596 72nd Street 1 year 2011 w/ 1 year 38,355 2,377 40,732 13.00% 20.85% 7/2011 185,000 extension Total 2008 preferred equity & mezzanine - --------------------------------------------------------------------------------- ---------- loan Investments 86,355 7,229 93,584 12.70% 16.46% 308,596 Earlier Investments - ------------------------------ First mortgage notes 15,943 2,479 18,422 10.11% 10.53% 2009/2010 0.4 years n/a n/a Other mezzanine notes 11,724 1,236 12,960 12.67% 13.86% 2011 - - 2012 --------------------------------------------------- Total earlier investments 27,667 3,715 31,382 11.19% 11.94% --------------------------------------------------- ---------- Total notes receivable $ 114,022 $ 10,944 $ 124,966 12.33% 15.37% $ 308,596 =================================================== ==========
(1) The above activity does not include a $10,000 Fund III first mortgage investment and other non- real estate loans of $478. (2) The effective rate includes upfront points and exit fees (3) The first mortgage amount for 72nd street represents the construction loan when fully drawn
Reporting Supplement June 30, 2009 Portfolio Debt - Summary Reconciliation from Pro-Rata Share of Debt to GAAP Debt (amounts in thousands) Reconcoliation to Consolidated Debt as Acadia Pro-Rata Share of Debt (2) Reported -------------------------------------------------------------- ---------------------------------------- Add: Less: Noncontrolling Pro-rata Acadia Interest Share Consolidated Core Portfolio Opportunity Funds Total Fixed Share of of ----------------- ----------------------------- Principal Interest Principal Interest PrincipalInterest vs Consolidated Unconsolidated Debt Mortgage Notes Payable Balance Rate Balance Rate Balance Rate Variable Debt (3) Debt (4) As Reported - ---------------------------------------------- ------------------ --------------------------------------- ------------- ------------ Fixed-Rate Debt (1) $366,736 5.3% $ 31,292 6.0% $398,028 5.4% 86% $ 134,479 $ (67,674) $ 464,833 Variable-Rate Debt (1) (7,543) 1.6% 70,942 1.9% 63,399 1.7% 14% 275,224 (2,759) 335,864 ----------------- ------------------ ------------------------- ------------- ------------- ------------ Total $359,193 5.4% $ 102,235 3.0% $461,428 4.9% 100% $ 409,703 $ (70,433) 800,697 ================= ================== ========================= ============= ============= FAS 141 purchase price debt allocation 121 ------------ Total debt as reported $ 800,818 ============
Notes - ----- (1) Fixed-rate debt includes notional principal fixed through swap transactions. Conversely, variable-rate debt excludes this amount. (2) Represents the Company's economic pro- rata share of debt. (3) Represents the Minority Interest pro-rata share of consolidated partnership debt based on its percent ownership. (4) Represents the Company's pro-rata share of unconsolidated partnership debt based on percent ownership.
Reporting Supplement June 30, 2009 Debt Analysis (amounts in thousands) Principal Acadia's Pro-rata Balance at share InterestMaturity Extension ------------------ Property Notes Entity Lender/Originator June 30, 2009 Percent Amount Rate Date Options - ---------------------------------------- ------------------------------------------------------------------------------------------ CORE PORTFOLIO - -------------- Fixed-Rate Debt - --------------- Acadia Realty Trust 10 Acadia 3.75% Convertible Notes $47,549 100.0% $47,549 3.75%12/20/2011 None Chestnut Hill Acadia Column Financial, Inc. 9,572 100.0% 9,572 5.45% 6/11/2013 None New Loudon Center Acadia RBS Greenwich Capital 14,449 100.0% 14,449 5.64% 9/6/2014 None Crossroads Shopping Crossroads JV JP Morgan Chase Bank, None Center N.A. 62,737 49.0% 30,741 5.37% 12/1/2014 Crescent Plaza Acadia RBS Greenwich Capital 17,600 100.0% 17,600 4.98% 9/6/2015 None Pacesetter Park Acadia RBS Greenwich Capital None Shopping Center 12,400 100.0% 12,400 5.12% 11/6/2015 Elmwood Park Acadia Bear Stearns Commercial None Shopping Center Mortgage, Inc. 34,600 100.0% 34,600 5.53% 1/1/2016 Gateway Shopping Acadia Bear Stearns Commercial None Center Mortgage, Inc. 20,500 100.0% 20,500 5.44% 3/1/2016 Acadia Brandywine Brandywine JV Bear Stearns Commercial None Subsidiary Mortgage, Inc. 61,375 22.2% 13,639 5.99% 7/1/2016 Acadia Brandywine Brandywine JV Bear Stearns Commercial None Town Center Mortgage, Inc. 31,550 22.2% 7,011 5.99% 7/1/2016 Acadia Market Square Brandywine JV Bear Stearns Commercial None Shopping Center Mortgage, Inc. 24,375 22.2% 5,417 5.99% 7/1/2016 Acadia Brandywine Brandywine JV Bear Stearns Commercial None Condominium Mortgage, Inc. 22,650 22.2% 5,033 5.99% 7/1/2016 Acadia Brandywine Brandywine JV Bear Stearns Commercial None Holdings Mortgage, Inc. 26,250 22.2% 5,833 5.99% 7/1/2016 Walnut Hill Plaza Acadia Merrill Lynch Mortgage None Lending, Inc. 23,500 100.0% 23,500 6.06% 10/1/2016 Clark Diversey Acadia American United Life None Insurance Company 4,800 100.0% 4,800 6.35% 7/1/2014 239 Greenwich Avenue Acadia Wachovia 26,000 75.0% 19,500 5.42% 2/11/2017 None Merrillville Plaza Acadia Bear Stearns Commercial None Mortgage, Inc. 26,250 100.0% 26,250 5.88% 8/1/2017 Boonton Acadia J.P. Morgan Chase None Commercial Mortgage Securities Corp. 8,252 60.0% 4,951 6.40% 11/1/2032 Interest rate swaps 1 Acadia Bank of America, N.A. 63,391 100.0% 63,391 5.38% Various -------------- ---------- -------- Sub-Total Fixed-Rate Debt 537,800 366,736 5.34% -------------- ---------- -------- Variable-Rate Debt - -------------------- Various Acadia Bank of America, N.A. Libor (2) 12 2 30,000 100.0% 30,000 + 125 12/1/2010 mos. Branch Plaza Acadia Bank of America, N.A. Libor (1) 12 14,303 100.0% 14,303 + 130 12/1/2011 mos. Village Commons Acadia Bank of America, N.A. Libor Shopping Center 3 9,545 100.0% 9,545 + 140 6/29/2012 Ledgewood Mall Acadia JP Morgan Chase Bank, Libor 4 N.A. 2,000 100.0% 2,000 + 125 3/29/2010 Interest rate swaps 1 Acadia Bank of America, N.A. (63,391) 100.0% (63,391) -------------- ---------- Sub-Total Variable- Libor Rate Debt (7,543) (7,543) + 129 -------------- ------------------------ Total Core Portfolio Debt $530,257 $359,193 5.42% ============== ========== ========
Reporting Supplement June 30, 2009 Debt Analysis (amounts in thousands) Principal Acadia's Pro- rata Balance at share InterestMaturity Extension ------------------ Property Notes Entity Lender/Originator June 30, 2009 Percent Amount Rate Date Options - ---------------------------------------- ------------------------------------------------------------------------------------------ OPPORTUNITY FUNDS - ----------------- Fixed-Rate Debt - --------------- Storage Post - Fund III GEMSA Loan Services, LP None Suffern $4,881 18.9% $923 5.37% 12/1/2009 Storage Post - Fund III Wachovia None Various 6, 11 33,897 18.9% 6,408 5.86% 6/11/2009 Storage Post - Fund III GEMSA Loan Services, LP (2) 12 Various 7 41,500 18.9% 7,846 5.30% 3/16/2011 mos. 216th Street 5 Fund II Bank of America, N.A. 25,500 19.8% 5,038 5.80% 10/1/2017 None Pelham Manor 5 Fund II Bear Sterns Commercial 30,953 19.8% 6,116 7.18% 1/1/2020 None Atlantic Avenue Fund II Bear Sterns Commercial 9,439 13.3% 1,259 7.14% 1/1/2020 None Interest rate swap 1 Fund I Bank of America, N.A. 9,800 37.8% 3,702 5.91%10/29/2010 -------------- ---------- -------- Sub-Total Fixed-Rate Debt 155,970 31,292 6.01% -------------- ---------- -------- Variable-Rate Debt - ------------------ CityPoint Fund II Bank of America, N.A. Libor (2) 6 7,994 19.8% 1,580 + 250 8/13/2009 mos. Acadia Strategic Fund II Bank of America, N.A. / Libor None Opportunity Fund Bank of New York + II, LLC 8 53,681 20.0% 10,736 250 3/1/2010 Sherman Plaza Fund II Bank of America Libor None 5 19,000 19.8% 3,754 + 150 1/15/2010 161(st) Street Fund II RBS Greenwich Capital Libor (1) 12 5 30,000 19.8% 5,927 + 140 4/1/2010 mos. Liberty Avenue Fund II PNC Bank, National Libor (2) 12 5, 12 Association 11,414 19.8% 2,255 + 165 7/18/2009 mos. Fordham Plaza Fund II Eurohypo AG Libor (3) 6 5 86,062 19.8% 17,004 + 175 10/4/2009 mos. Sterling Heights Fund I JP Morgan Chase Bank, Libor None Shopping Center N.A. 3,121 37.8% 1,179 + 185 8/23/2010 Acadia Strategic Fund III Bank of America, N.A. Comm None Opportunity Fund Paper III, LLC 9 143,250 19.9% 28,507 +50 10/9/2011 Tarrytown Shopping Fund I Anglo Irish Bank Libor (2) 12 Center Corporation 9,800 37.8% 3,702 + 16510/30/2010 mos. Interest rate swap 1 Fund I Bank of America, N.A. (9,800) 37.8% (3,702) 10/29/2010 -------------- ---------- Sub-Total Variable- Libor Rate Debt 354,522 70,942 + 158 -------------- ------------------------ Total Opportunity Funds Portfolio Debt $510,492 $102,234 3.02% ============== ========== ========
Reporting Supplement June 30, 2009 Debt Analysis - Notes - --------------------------------------------------------------------------------------------------- (1) The Company has hedged a portion of it's variable-rate debt with variable to fixed-rate swap agreements as follows: Average Maturity Notional All-in principal Spread Swap rate Rate Date ----------------------------------------------------- ------------------ $4,429 1.44% 4.71% 6.15% 1/1/2010 10,847 1.44% 4.90% 6.33% 10/1/2011 8,115 1.44% 5.14% 6.58% 3/1/2012 15,000 1.44% 3.79% 5.23% 11/30/2012 15,000 1.44% 3.41% 4.85% 11/30/2012 10,000 1.44% 2.65% 4.09% 11/30/2012 ------------- -------------------------------------- -------- Core Portfolio $63,391 1.44% 3.95% 5.38% ============= ====================================== ======== Opportunity Funds $9,800 1.44% 4.47% 5.91% 10/29/2010 ============= ====================================== ======== Total Core Portfolio and Opportunity Funds $73,191 1.44% 4.02% 5.45% ============= ====================================== ========
(2) This is a revolving facility for up to $72,250 and is collateralized by Bloomfield Town Square, Hobson West Plaza, Marketplace of Absecon, Abington Towne Center, Methuen Shopping Center and Town Line Plaza. During the 2nd quarter 2009, the Company paid down $18.9 million on this facility. (3) There is an additional $1,600 available under this facility based on certain income hurdles. (4) During the 2nd quarter 2009, the Company paid down $23 million on this facility. (5) Fund II is a 98.9% joint venture partner on this investment. As such, Acadia's pro- rata share of the above debt is 98.9% x 20%, or 19.8%. (6) The loan is collateralized by Storage Post locations - Starr Avenue, New Rochelle, Yonkers and Bruckner Blvd. The Company is currently in discussions with the lender to extend the maturity date of this loan. (7) The loan is collateralized by Storage Post locations - Linden, Webster Avenue, Jersey City, Fordham Road and Lawrence. (8) This is a revolving facility for up to $70,000. (9) This is a line of credit with a capacity of $245,000. (10) Convertible notes balance pursuant to FSP 14- 1. The actual face amount of the convertible notes at June 30, 2009 is $50,159. (11) The loan matures on June 11, 2009. The Company is currently discussing an extension of the maturity date with the special servicer. (12) During July 2009, this loan was amended. The loan was reduced to $10,450 and has a new maturity date of July 19, 2009 with a one year extension option and bears interest at LIBOR plus 325 basis points.
Reporting Supplement June 30, 2009 Future Debt Maturities - -------------------------- (in thousands) Core Portfolio Acadia's Pro-rata Share Weighted Average Interest Rate of Maturing Debt -------------------------------- ------------------------------------- Scheduled Scheduled Fixed-Rate Variable-Rate Year Amortization Maturities Total Amortization Maturities Total Total Debt Debt Debt - ------------------------------------------------- ----------- -------------------------------- ------------------------------------- 2009 $ 1,046 $ - $ 1,046 $ 792$ -$ 792 n/a n/a n/a 2010 2,669 32,000 34,669 2,135 32,000 34,135 1.56% n/a 1.56% 2011 3,045 61,254 64,299 2,481 61,254 63,735 3.27% 3.75% 1.61% 2011 (1) - 2,610 2,610 - 2,610 2,610 3.75% 3.75% n/a 2012 3,219 9,060 12,279 2,628 9,060 11,688 1.71% n/a 1.71% 2013 3,391 8,777 12,168 2,761 8,777 11,538 5.45% 5.45% n/a Thereafter 12,637 393,159 405,796 9,280 228,025 237,305 5.62% 5.62% n/a ----------------------- ----------- -------------------------------- $ 26,007 $ 506,860 $ 532,867 $ 20,077$ 341,726$361,803 ======================= ======================= Less: additional convertible notes balance (2,610) (2,610) ----------- --------- Balance per Portfolio Debt Detail $ 530,257 $359,193 =========== ========= Weighted Average Interest Rate of Pro- rata Share of Maturing Debt -------------------------------------- Opportunity Funds Total Debt Fixed-Rate Variable-Rate Debt Debt ------------------------------------- 2009 $ 100 $ 144,185 $ 144,285 $ 26$ 28,159$ 28,185 3.07% 5.80% 2.10% 2010 76 115,489 115,565 29 25,255 25,284 2.25% n/a 2.25% 2011 - 184,750 184,750 - 36,353 36,353 1.88% 5.30% 0.94% 2012 79 - 79 16 - 16 n/a n/a n/a 2013 955 - 955 189 - 189 n/a n/a n/a Thereafter 11,177 53,681 64,858 2,208 10,000 12,208 6.48% 6.48% n/a ----------------------- ----------- -------------------------------- $ 12,387 $ 498,105 $ 510,492 $ 2,468$ 99,767$102,235 ======================= =========== ================================ (1) Reflects additional convertible notes balance maturing in 2011.
Reporting Supplement June 30, 2009 Future Debt Maturities Including Extension Options - -------------------------------------------------- (in thousands) Core Portfolio Weighted Average Interest Acadia's Pro-rata Share Rate of Maturing Debt ------------------------------------ --------------------------- Fixed- Scheduled Scheduled Total Rate Variable- Year Amortization Maturities Total Amortization Maturities Total Debt Debt Rate Debt - ------------------------------------------------- -------------- ------------------------------------ --------------------------- 2009 $ 1,046 $ - $ 1,046 $ 792 $ - $ 792 n/a n/a n/a 2010 2,669 2,000 4,669 2,135 2,000 4,135 1.56% n/a 1.56% 2011 3,065 47,549 50,614 2,501 47,549 50,050 3.75% 3.75% n/a 2011 (1) - 2,610 2,610 - 2,610 2,610 3.75% 3.75% n/a 2012 3,446 52,518 55,964 2,855 52,518 55,373 1.60% n/a 1.60% 2013 3,391 8,777 12,168 2,761 8,777 11,538 5.45% 5.45% n/a Thereafter 12,637 393,159 405,796 9,281 228,024 237,305 5.58% 5.58% n/a --------------------------- -------------- ------------------------------------ $ 26,254 $ 506,613 $ 532,867 $ 20,325 $ 341,478 $361,803 =========================== ========================== Less: additional convertible notes balance (2,610) (2,610) -------------- ---------- Balance per Portfolio Debt Detail $ 530,257 $359,193 ============== ========== Weighted Average Interest Rate of Pro-rata Share of Maturing Debt ---------------------------- Opportunity Funds Total Fixed- Variable- Debt Rate Rate Debt Debt --------------------------- 2009 $ 100 $ 38,715 $ 38,815 $ 38 $ 7,308 $ 7,346 5.80% 5.80% n/a 2010 76 83,683 83,759 29 17,207 17,236 2.55% n/a 2.55% 2011 - 270,726 270,726 - 53,693 53,693 1.42% n/a 1.42% 2012 79 9,800 9,879 16 3,702 3,718 1.96% n/a 1.96% 2013 955 41,500 42,455 189 7,846 8,035 5.30% 5.30% n/a Thereafter 11,177 53,681 64,858 2,207 10,000 12,207 6.48% 6.48% n/a --------------------------- -------------- ------------------------------------ $ 12,387 $ 498,105 $ 510,492 $ 2,479 $ 99,756 $102,235 =========================== ============== ==================================== (1) Reflects additional convertible notes balance maturing in 2011.
Reporting Supplement June 30, 2009 Selected Operating Ratios Three months ended June 30, Six months ended June 30, 2009 2008 2009 2008 --------- --------- --------- --------- Coverage Ratios (1) - ----------------------------- Interest Coverage Ratio EBIDTA $ 20,307 $ 22,604 $ 42,832 $ 44,876 Divided by Interest expense 6,283 6,299 12,944 12,545 --------- --------- --------- --------- 3.23 x 3.59 x 3.31 x 3.58 x Fixed Charge Coverage Ratio EBIDTA $ 20,307 $ 22,604 $ 42,832 $ 44,876 Divided by (Interest expense 6,283 6,299 12,944 12,545 + Preferred Dividends) (2) 5 5 10 10 --------- --------- --------- --------- 3.23 x 3.59 x 3.31 x 3.57 x Debt Service Coverage Ratio EBIDTA $ 20,307 $ 22,604 $ 42,832 $ 44,876 Divided by (Interest expense 6,283 6,299 12,944 12,545 + Principal Amortization) 378 679 776 1,390 --------- --------- --------- --------- 3.05 x 3.24 x 3.12 x 3.22 x Payout Ratios - ----------------------------- FFO Payout Ratio Dividends (Shares) & Distributions (O.P. Units) paid $ 7,361 $ 7,049 $ 14,737 $ 14,080 FFO 11,992 13,349 26,260 25,737 --------- --------- --------- --------- 61% 53% 56% 55% AFFO Payout Ratio Dividends (Shares) & Distributions (O.P. Units) paid $ 7,361 $ 7,049 $ 14,737 $ 14,080 AFFO 11,843 13,344 25,689 25,982 --------- --------- --------- --------- 62% 53% 57% 54% FAD Payout Ratio Dividends (Shares) & Distributions (O.P. Units) paid $ 7,361 $ 7,049 $ 14,737 $ 14,080 FAD 11,465 12,665 24,913 24,592 --------- --------- --------- --------- 64% 56% 59% 57% Leverage Ratios - ----------------------------- Debt/Total Market Capitalization Debt (3)$461,428 $461,428 Total Market Capitalization 988,309 988,309 --------- --------- 47% 47% Debt + Preferred Equity (Preferred O.P. Units) (3)$461,755 $461,428 Total Market Capitalization 988,309 988,309 --------- --------- 47% 47% Debt/EBIDTA - Core Portfolio Debt $359,193 $359,193 EBIDTA (Annualized) 77,021 80,367 --------- --------- 4.66 x 4.47 x Debt/EBIDTA - Core Portfolio and Opportunity Funds Debt $461,428 $461,428 EBIDTA (Annualized) 81,228 85,665 --------- --------- 5.68 x 5.39 x Debt Yield - Core Portfolio NOI (Annualized) $ 48,864 $ 49,794 Debt 359,193 359,193 --------- --------- 13.6% 13.9% Net Debt Yield - Core Portfolio (4) NOI (Annualized) $ 48,864 $ 49,794 Debt 288,603 288,603 --------- --------- 16.9% 17.3% Debt Yield - Core Portfolio and Opportunity Funds NOI (Annualized) $ 57,764 $ 57,907 Debt 461,428 461,428 --------- --------- 12.5% 12.5% Net Debt Yield - Core Portfolio and Opportunity Funds (5) NOI (Annualized) $ 57,764 $ 57,907 Debt 380,298 380,298 --------- --------- 15.2% 15.2%
Notes: (1) Quarterly results for 2009 and 2008 are unaudited, although they reflect all adjustments, which in the opinion of management, are necessary for a fair presentation of operating results for the interim periods. The coverage ratios include the Company's pro-rata share of EBIDTA, interest expense and principal amortization related to both the Company's consolidated and unconsolidated investments in joint ventures. (2) Represents preferred distributions on Preferred Operating partnership Units. (3) Includes the Company's pro-rata share of consolidated and unconsolidated joint venture debt and principal amortization. (4) Reflects debt net of the current Core Portfolio cash balance as of 6/30/09. (5) Reflects debt net of the current Core Portfolio and pro-rata share of the Opportunity Funds cash balance as of 6/30/09.
Reporting Supplement June 30, 2009 Acadia Strategic Opportunity Fund, LP ("Fund I") - Overview - ------------------------------------------------------------------------------------------------------------------------------------ Item Description - ------------------------------------------------------------------------------------------------------------------------------------ Date formed September 2001 Capital commitment $90 million Funding All invested capital has been returned with the proceeds from the Brandywine recapitalization as discussed below. Acadia and its investors still own approximately 1.3 million square feet of properties in Fund I. Partnership structure Equity Contribution: 22.22% - Acadia 77.78% - Four institutional investors Cash flow distribution: 22.22% - Acadia 77.78% - Four institutional investors Promote: 20% to Acadia once all partners (including Acadia) have received 9% preferred return and return of equity Remaining 80% is distributed to all the partners (including Acadia). In January 4, 2006, the Brandywine portfolio was recapitalized through the conversion of the 77.8% interest previously held by the institutional investors in Fund I to GDC Properties. Acadia has retained its existing 22.2% interest. Due to this transaction, Fund I investors received a return of all of their invested capital and preferred return, thus triggering Acadia's additional 20% interest (promote) in all future Fund I distributions. Fees to Acadia Priority distribution fee equal to 1.5% of implied capital Priority distribution fee equal to 4% of gross property revenues Market rate leasing fees Market rate construction/project management fees
Reporting Supplement June 30, 2009 Fund I Portfolio Detail - ---------------- Ownership Gross Leasable Area Occupancy Annualized Base Rent --------------------------------------------------------------------------------------- Anchors % Anchors Shops Total Anchors Shops Total Anchors Shops Total ---------------------------------------------------------------------------------------------------------------- Midwest - -------------------- Michigan - -------------------- Sterling Heights Burlington Coat Shopping Center Factory, Rite (Michigan) Aid 50% 90,400 64,435 154,835 100.00% 4.81% 60.39% $526,600 $36,300 $562,900 Ohio - -------------------- Granville Centre Lifestyle Family Fitness, Inc. 100% 90,047 44,950 134,997 38.81% 28.92% 35.52% 450,336 147,682 598,018 --------------------------------------------------------------------------------------- Total Midwest 180,447 109,385 289,832 69.46% 14.72% 48.80% 976,936 183,982 1,160,918 New York - -------------------- New York - -------------------- Tarrytown Shopping Walgreen's Center 100% 15,497 19,794 35,291 100.00% 82.33% 90.09% 475,000 506,063 981,063 Various - -------------------- Kroger/Safeway Kroger/Safeway Portfolio (18 Properties) 75% 709,400 - 709,400 100.00% 0.00% 100.00% 6,492,215 - 6,492,215 --------------------------------------------------------------------------------------- Grand Total 905,344 129,179 1,034,523 93.91% 25.08% 85.32% $7,944,151 $690,045 $8,634,196 =======================================================================================
General note - The above occupancy and rent amounts do not include space which is currently leased, but for which rent payment has not yet commenced.
Reporting Supplement June 30, 2009 Fund I Lease Expirations - ----------------- Gross Leased Area Annualized Base Rent -------------------------------------------- ------------------------------------------ Number of Percent Percent Average Leases Square of of per Expiring Footage Total Amount Total Sq. Ft. -------------------------------------------- ------------------------------------------ Anchor Tenant Expirations 2011 18 709,400 83.44% $ 6,492,215 81.73% $ 9.15 2017 1 34,951 4.11% 450,336 5.67% 12.88 2024 1 70,400 8.28% 281,600 3.54% 4.00 2026 1 20,000 2.35% 245,000 3.08% 12.25 2080 1 15,497 1.82% 475,000 5.98% 30.65 -------------------------------------------- ------------------------------------------ Total Occupied 22 850,248 100.00% $ 7,944,151 100.00% $ 9.34 ============================================ ========================================== Total Vacant 55,096 ---------------- Total Square Feet 905,344 ================ Shop Tenant Expirations Month to Month 5 10,104 31.19% $ 100,518 14.57% $ 9.95 2010 1 2,547 7.86% 83,516 12.10% 32.79 2011 2 3,465 10.70% 67,574 9.79% 19.50 2012 2 2,920 9.01% 61,344 8.89% 21.01 2014 2 4,341 13.40% 146,596 21.24% 33.77 2018 2 3,861 11.92% 79,655 11.54% 20.63 2020 1 5,157 15.92% 150,842 21.86% 29.25 -------------------------------------------- ------------------------------------------ Total Occupied 15 32,395 100.00% $ 690,045 100.00% $ 21.30 ============================================ ========================================== Total Vacant 96,784 ---------------- Total Square Feet 129,179 ================ Total Anchor and Shop Tenant Expirations Month to Month 5 10,104 1.14% $ 100,518 1.16% $ 9.95 2010 1 2,547 0.29% 83,516 0.97% 32.79 2011 20 712,865 80.76% 6,559,789 75.97% 9.20 2012 2 2,920 0.33% 61,344 0.71% 21.01 2014 2 4,341 0.49% 146,596 1.70% 33.77 2017 1 34,951 3.96% 450,336 5.22% 12.88 2018 2 3,861 0.44% 79,655 0.92% 20.63 2020 1 5,157 0.58% 150,842 1.75% 29.25 2024 1 70,400 7.98% 281,600 3.26% 4.00 2026 1 20,000 2.27% 245,000 2.84% 12.25 2080 1 15,497 1.76% 475,000 5.50% - -------------------------------------------- ------------------------------------------ Total Occupied 37 882,643 100.00% $ 8,634,196 100.00% $ 9.78 ============================================ ========================================== Total Vacant 151,880 ---------------- Total Square Feet 1,034,523 ================
Reporting Supplement As of June 30, 2009 (1) Fund I - Valuation -------------------------------------------------------------- (in millions, except per share amounts) Total ------------- Gross asset value $ 35 Debt (12) ------------- Net asset value 23 Additional Mervyn's return (Original capital already returned) 6 ------------- Total Value Subject to Promote 29 General Partner (Acadia) Promote on Fund I assets x 20% 6 ------------- Remaining value to be allocated pro-rata to Fund I investors (including Acadia) 23 Acadia's share x 22.22% 5 ------------- Value of Acadia's interest in remaining Fund I assets $ 11 ============= Notes: - -------- Fund I valuation is based on September 30, 2008 property 1 appraisals, adjusted for 2009 Kroger/Safeway dispositions.
Reporting Supplement June 30, 2009 Acadia Strategic Opportunity Fund II, LLC ("Fund II") - Overview - ---------------------------------------------------------------- Item Description - ---------------------------------------------------------------- Date formed June 2004 Capital commitment $300 million Funding $192.0 million funded through June 30, 2009 Partnership structure Equity Contribution: 20% - Acadia 80% - Six institutional investors Cash flow distribution: 20% - Acadia 80% - Six institutional investors Promote: 20% to Acadia once all partners (including Acadia) have received 8% preferred return and return of equity Remaining 80% is distributed to all the partners (including Acadia). Fees to Acadia Asset management fee equal to 1.5% of total committed capital Property management fee equal to 4% of gross property revenues Market rate leasing fees Market rate construction/project management fees
Reporting Supplement June 30, 2009 Fund II Portfolio Detail - -------------------------- Gross Leasable Area Occupancy Annualized Base Rent ------------------------------------------------------------------------------------- Anchors Ownership % Anchors Shops Total Anchors Shops Total Anchors Shops Total ---------------------------------------------------------------------------------------------------------------- Midwest - -------------------- Illinois - -------------------- Oakbrook Neiman Marcus 100% 112,000 - 112,000 100.00% 0.00%100.00% $ 825,000 $ - $ 825,000 New York - -------------------- New York - -------------------- Pelham Plaza BJ's Discount Club, Michaels 98.8% 149,878 100,102 249,980 100.00% 20.07% 67.99% 3,873,244 846,102 4,719,346 Fordham Place Sears, Best Buy 98.8% 74,899 44,547 119,446 100.00% 94.96% 98.12% 2,873,228 2,431,012 5,304,240 Liberty Avenue CVS 98.8% 10,880 15,245 26,125 100.00% 100.00%100.00% 394,944 501,139 896,083 New York Dept of 216th Street Citywide Admin. Services 98.8% 60,000 - 60,000 100.00% 0.00%100.00% 2,340,000 225,000 2,565,000 161st Street (1) The City of New York 98.8% 137,334 86,187 223,521 100.00% 66.58% 87.11% 3,337,222 1,193,501 4,530,723 ------------------------------------------------------------------------------------- Total New York 432,991 246,081 679,072 100.00% 54.87% 83.65% 12,818,638 5,196,754 18,015,392 ------------------------------------------------------------------------------------- Grand Total 544,991 246,081 791,072 100.00% 54.87% 85.96% $13,643,638 $5,196,754 $18,840,392 =====================================================================================
General note - The above occupancy and rent amounts do not include space which is currently leased, but for which rent payment has not yet commenced. The following Fund II properties are currently undergoing redevelopment or are in the design phase as further detailed under Redevelopment Projects. New York Ownership % - ------------------------------------ Sherman Avenue 98.8% CityPoint 23% Canarsie Plaza 98.8% (1) Currently operating, but will be redeveloped in the future.
Reporting Supplement June 30, 2009 Fund II Lease Expirations - ----------------------- Gross Leased Area Annualized Base Rent ----------------------------------------------------- Number of Percent Percent Average Leases Square of of per Expiring Footage Total Amount Total Sq. Ft. ---------------------------- ----------------------------- Anchor Tenant Expirations 2011 2 249,334 45.74% $ 4,162,222 30.52% $ 16.69 2013 1 20,473 3.76% 573,244 4.20% 28.00 2019 1 39,705 7.29% 1,747,020 12.80% 44.00 2023 1 35,194 6.46% 1,126,208 8.25% 32.00 2027 1 60,000 11.01% 2,340,000 17.15% 39.00 2032 1 10,880 2.00% 394,944 2.89% 36.30 2033 1 129,405 23.74% 3,300,000 24.19% 25.50 ---------------------------- ----------------------------- Total Occupied 8 544,991 100.00% $13,643,638 100.00% $ 25.03 ============================ ============================= Total Vacant - ----------- Total Square Feet 544,991 =========== Shop Tenant Expirations Month to Month 1 6,109 4.52% $ 35,520 0.68% $ 5.81 2011 3 24,065 17.82% 584,773 11.25% 24.30 2012 3 27,205 20.15% 573,208 11.03% 21.07 2013 1 4,462 3.30% 167,994 3.23% 37.65 2014 2 7,081 5.24% 279,078 5.37% 39.41 2018 4 13,013 9.64% 567,024 10.91% 43.57 2019 2 5,460 4.04% 215,244 4.14% 39.42 2022 1 - 0.00% 225,000 4.33% - 2023 1 31,417 23.28% 1,131,012 21.76% 36.00 2027 1 6,208 4.60% 217,901 4.19% 35.10 2048 1 10,000 7.41% 1,200,000 23.09% 120.00 ---------------------------- ----------------------------- Total Occupied 20 135,020 100.00% $ 5,196,754 100.00% $ 38.49 ============================ ============================= Total Vacant 111,061 ----------- Total Square Feet 246,081 =========== Total Anchor and Shop Tenant Expirations Month to Month 1 6,109 0.90% $ 35,520 0.19% $ 5.81 2011 5 273,399 40.20% 4,746,995 25.19% 17.36 2012 3 27,205 4.00% 573,208 3.04% 21.07 2013 2 24,935 3.67% 741,238 3.93% 29.73 2014 2 7,081 1.04% 279,078 1.48% 39.41 2018 4 13,013 1.91% 567,024 3.01% 43.57 2019 3 45,165 6.64% 1,962,264 10.42% 43.45 2023 2 66,611 9.80% 2,257,220 11.98% 33.89 2027 2 66,208 9.74% 2,557,901 13.58% 38.63 2022 1 - 0.00% 225,000 1.19% - 2032 1 10,880 1.60% 394,944 2.10% 36.30 2033 1 129,405 19.03% 3,300,000 17.52% 25.50 2048 1 10,000 1.47% 1,200,000 6.37% 120.00 ---------------------------- ----------------------------- Total Occupied 28 680,011 100.00% $18,840,392 100.00% $ 27.71 ============================ ============================= Total Vacant 111,061 ----------- Total Square Feet 791,072 ===========
Reporting Supplement June 30, 2009 Acadia Strategic Opportunity Fund III, LLC ("Fund III") - Overview - ------------------------------------------------------------------ Item Description - ------------------------------------------------------------------ Date formed May 2007 Capital commitment $503 million Funding $96.5 millionfunded through June 30, 2009 Partnership structure Equity Contribution: 20% - Acadia 80% - 14 institutional investors Cash flow distribution: 20% - Acadia 80% - 14 institutional investors Promote: 20% to Acadia once all partners (including Acadia) have received 6% preferred return and return of equity Remaining 80% is distributed to all the partners (including Acadia). Fees to Acadia Asset management fee equal to 1.5% of total committed capital Development fee equal to 3% of total project cost Property management fee equal to 4% of gross property revenues Market rate leasing fees Market rate construction/project management fees Reporting Supplement June 30, 2009 Fund III Portfolio Detail
Gross Leasable Area Occupancy Annualized Base Rent ---------------------------------------------------------------------------------- Anchors Ownership % Anchors Shops Total Anchors Shops Total Anchors Shops Total ------------------------------------------------------------------------------------------------------------------ New York - ------------------ Cortlandt Towne Wal Mart, A&P, United Center Artists Theatre 100.0% 510,538 131,259 641,797 83.79% 84.14% 83.86% $ 6,007,613 $ 2,450,024 $ 8,457,637 ==================================================================================
General note - The above occupancy and rent amounts do not include space which is currently leased, but for which rent payment has not yet commenced. Reporting Supplement June 30, 2009 Fund III Storage Post Property Detail - ------------------------------ Net Rentable Square Operating Properties Location Feet Occupancy - -------------------------------------------------------------------------------- Stabilized - ------------------------------ New Rochelle Westchester, New York 42,300 Suffern Suffern, New York 78,950 Yonkers Westchester, New York 100,518 Jersey City Jersey City, New Jersey 76,720 --------------- Subtotal Stabilized 298,488 86.8% ------------------------- Currently in Lease-up - ------------------------------ Bruckner Blvd Bronx, New York 89,448 Fordham Road Bronx, New York 84,505 Webster Ave Bronx, New York 36,736 Lawrence Lawrence, New York 97,643 Long Island City Queens, New York 134,046 Linden Linden, New Jersey 84,035 --------------- Subtotal in Lease-up 526,413 71.2% ------------------------- Total Operating Properties 824,901 76.9% ========== Completing development - ------------------------------ Ridgewood Queens, New York 88,650 4.1% ---------------========== Total Storage Post Portfolio 913,551 =============== June 30, 2009 Storage Post Property Locations and Acadia Redevelopment Properties with a Self-Storage Component Storage Post Properties Location ------------------------------ New York: Bruckner Blvd (Bronx) Fordham Road (Bronx) Webster Ave (Bronx) Lawrence Long Island City (Queens) New Rochelle (Westchester) Ridgewood (Queens) Suffern Yonkers (Westchester) New Jersey: Jersey City Linden ------------------------------ ------------------------------ Acadia properties with a self storage component Location ------------------------------ Liberty (Queens) Canarsie (Brooklyn) Atlantic Ave. (Brooklyn) Pelham Manor (Westchester)
Reporting Supplement June 30, 2009 New York Urban/Infill: Development costs - Construction Complete Estimated Total cost Estimated square to date Estimated Total Debt as of completion footage upon (including future project June 30, Property Anchors/Tenants of Construction completion acquisition cost) cost cost 2009 % Leased (2) - ------------------------------------------------------------------------------------------------------------------------------------ Fund II ($ in millions) - -------------------- ------------------ Construction complete - -------------------- Retail - 100% Fordham Place Sears, Walgreens, Best Completed Office - 34% Buy, 24 Hour Fitness 276,000 $ 120.2 $ 9.8 $ 130.0 $ 86.1 Pelham Manor BJ's Wholesale Club Completed Shopping Plaza (1) 320,000 60.5 4.5 65.0 31.0 74% 216th Street City of New York Dept of Completed General Services 60,000 27.7 - 27.7 25.5 100% Liberty Avenue (1) CVS, Storage Post Completed 125,000 14.9 - 14.9 11.4 100% 161st Street (3) Various New York City To be and State Agencies determined 232,000 53.8 11.2 65.0 30.0 87% Atlantic Avenue Storage Post Completed 110,000 19.5 3.5 23.0 9.4 ----------------------------------------------------------- Retail - 84% Total 1,123,000 $ 296.6 $ 29.0 $ 325.6 $ 193.4Office - 71% ----------------------------------------------------------- (1) Fund II acquired a ground lease interest at this property. (2) Percentage leased excludes the storage component at Pelham Manor and Liberty Avenue. (3) 161st Street is currently cash flowing with an occupancy rate of 87%. Redevelopment plans for this property are to be determined.
Reporting Supplement June 30, 2009 New York Urban/Infill: Development costs - Construction/Design Estimated Total cost Estimated square to date Estimated Total Debt as of completion footage upon (including future project June 30, Property Anchors/Tenants of Construction completion acquisition cost) cost cost 2009 - ------------------------------------------------------------------------------------------------------------------------------- Fund II ($ in millions) - ------------------------- --------------------- Under Construction - ------------------------- Canarsie Plaza (1) BJ's Wholesale Club 1st half 2011 265,000 $ 18.7 $ 58.3 $ 77.0 0 ------------------------------------------------------------------- Total Construction 265,000 $ 18.7 $ 58.3 $ 77.0 0 ------------------------------------------------------------------- In Design - ------------------------- Sherman Plaza TBD TBD TBD 33.1 TBD TBD 0 CityPoint (2) TBD TBD TBD 43.4 TBD TBD 7.9 ------------------------------------------------------------------- Total Design - $ 76.5 - - 7.9 ------------------------------------------------------------------- Fund III - ------------------------- In Design - ------------------------- Sheepshead Bay TBD TBD TBD $ 22.6 TBD TBD 0 ------------------------------------------------------------------- 125 Main Street TBD TBD (Westport, CT) 30,000 $ 17.4 $ 5.6 $ 23.0 0 ------------------------------------------------------------------- (1) Cost to date is net of lease termination income from Home Depot. (2) Fund II, along with P/A Associates, Washington Square Partner and MacFarlane Partners are co-developing the retail and office components at CityPoint. Amounts represent Fund II's pro-rata share. (3) Sherman Plaza debt balance of $19.0 million at June 30, 2009 is 100% cash collateralized.
Reporting Supplement June 30, 2009 Retailer Controlled Property ("RCP") Venture - Overview - -------------------------------------------------------------------------------- *** Note - The RCP Venture is not a separate AKR Fund, rather it is a venture in which AKR, Funds I and II are anticipated to invest a total of $60 million equity. *** Item Description - -------------------------------------------------------------------------------- Date formed January 2004 Targeted investments The Venture has been formed to invest in surplus or distressed properties owned or controlled by retailers Current Investments Mervyns Department Stores - All capital has been returned Albertson's - All capital has been returned ShopKo - All capital has been returned Rex, Marsh Supermarkets, four Albertsons add-on investments, Newkirk, Camellia, Colorado Springs and Visalia. three Marsh add-on investments, Ameristop, Lil Cricket and C-Stores and a Mervyns add-on, Napa, CA. Partnership structure Equity Contribution: Up to $300 million of total equity Up to 20% ($60 million) - AKR Fund I ($20 million) and Fund II ($40 million) 80% - Klaff Realty LP and Lubert-Adler Cash flow distribution: 20% - AKR Funds 80% - Four institutional investors Promote: 20% to Klaff once all partners (including Klaff) have received 10% preferred return and return of equity (50% of first $40 million of AKR Fund equity is not subject to this promote) Remaining 80% is distributed to all the partners (including Klaff). Fees to Acadia Property management fees Market rate leasing fees and construction/project management Disposition fees
Reporting Supplement June 30, 2009 Retailer Controlled Property ("RCP") Venture - Investments - ---------------------------------------------------------- The following table summarizes the RCP Venture investments from inception through June 30, 2009 Year Invested Equity Investor Investment acquired capital Distributions Multiple - ------------------------------ ---------------------------- ------------ ------------- ------------------- ---------------- Mervyns I and Mervyns II Mervyns 2004 $ 25,348 $ 45,966 1.8X Mervyns II Mervyns Realco 2007 2,155 - - Mervyns I and Mervyns II Mervyns add-on investments 2005 3,445 1,703 0.5X Mervyns II Albertson's 2006 20,717 63,833 3.1X Mervyns II Albertson's add-on X investments 2006/2007 2,409 466 0.2 Fund II Shopko 2006 1,100 1,100 1.0X Fund II Marsh 2006 667 639 1.0X Fund II Marsh add-on investments 2008 2,000 2,000 1.0X Mervyns II Rex 2007 2,701 - - ------------- ------------------- -------------- Total $ 60,542 $ 115,707 1.9X ============= =================== ==============
In connection with its RCP Venture, in September 2004, Acadia Mervyns Investors I, LLC ("Mervyns I") and Acadia Mervyns Investors II, LLC ("Mervyns II") participated in the acquisition of the Mervyns Department Store chain consisting of 262 stores ("REALCO") and its retail operation ("OPCO") from Target Corporation for a total price of $1.2 billion. Mervyns I and II invested $23.2 million for approximately a 5.2% interest in REALCO and a 2.5% interest in OPCO, equally split between Mervyns I and II. To date, through a series of transactions, REALCO has disposed of a significant portion of the portfolio. Furthermore, during November 2007, Mervyns I and II sold their interest in OPCO and, as a result, have no further direct OPCO exposure.
QUARTERLY SUPPLEMENTAL DISCLOSURE June 30, 2009 Core Portfolio Retail Properties - Detail - ------------------------------------------- Acadia's Gross Leasable Area Occupancy Annualized Base Rent -------------------------------------------------------------------------------------- Anchors interest Anchors Shops Total Anchors Shops Total Anchors Shops Total ---------------------------------------------------------------------------------------------------------------- New York - -------------------- Connecticut - -------------------- 239 Greenwich Restoration Avenue( 1) Hardware, Coach 75.0% 16,834 - 16,834 100.00% - 100.00%$ 1,397,621$ -$ 1,397,621 -------------------------------------------------------------------------------------- New Jersey - -------------------- Elmwood Park Walgreens, Shopping Center Pathmark (A&P) 100.0% 62,610 86,881 149,491 100.00% 85.93% 91.82% 1,390,460 1,887,820 3,278,280 A & P Shopping Plaza A&P 60.0% 49,463 13,445 62,908 100.00% 100.00% 100.00% 900,000 364,457 1,264,457 -------------------------------------------------------------------------------------- Total - New Jersey 112,073 100,326 212,399 100.00% 87.82% 94.24% 2,290,460 2,252,277 4,542,737 -------------------------------------------------------------------------------------- New York - -------------------- Village Commons Shopping Center - 100.0% 3,891 83,346 87,237 0.00% 82.05% 78.39% - 2,104,524 2,104,524 Branch Plaza A&P, CVS 100.0% 74,050 51,701 125,751 100.00% 100.00% 100.00% 1,222,619 1,482,248 2,704,867 Amboy Center King Kullen, Duane Reade 100.0% 46,964 16,326 63,290 100.00% 85.30% 96.21% 1,052,068 728,601 1,780,669 Bartow Avenue - 100.0% - 14,676 14,676 0.00% 76.29% 76.29% - 336,665 336,665 Pacesetter Park Stop & Shop Shopping Center 100.0% 52,052 44,301 96,353 100.00% 78.34% 90.04% 383,168 717,168 1,100,336 LA Fitness LA Fitness 100.0% 55,000 - 55,000 100.00% - 100.00% 1,265,000 - 1,265,000 West 54th Street Stage Deli 100.0% 4,211 5,466 9,677 100.00% 100.00% 100.00% 1,152,000 1,534,089 2,686,089 East 17th Street Barnes & Noble 100.0% 19,622 - 19,622 100.00% 0.00% 100.00% 625,000 - 625,000 Crossroads Shopping Center 49.0% 210,114 100,708 310,822 100.00% 81.38% 93.97% 2,546,429 3,327,769 5,874,198 -------------------------------------------------------------------------------------- Total - New York 465,904 316,524 782,428 99.16% 84.46% 93.22% 8,246,284 10,231,064 18,477,348 -------------------------------------------------------------------------------------- Total New York 594,811 416,850 1,011,661 99.35% 85.27% 93.54% 11,934,365 12,483,341 24,417,706 -------------------------------------------------------------------------------------- New England - -------------------- Connecticut - -------------------- Town Line Plaza( 2) Wal Mart, Super Stop & Shop 100.0% 163,159 43,187 206,346 100.00% 100.00% 100.00% 937,000 733,620 1,670,620 -------------------------------------------------------------------------------------- Massachusetts - -------------------- Methuen Shopping Wal Mart, Center Demoulas Super Markets 100.0% 120,004 10,017 130,021 100.00% 100.00% 100.00% 736,464 222,225 958,689 Crescent Plaza Home Depot, Supervalu 100.0% 156,985 61,156 218,141 100.00% 69.14% 91.35% 1,178,872 426,757 1,605,629 -------------------------------------------------------------------------------------- Total - Massachusetts 276,989 71,173 348,162 100.00% 73.48% 94.58% 1,915,336 648,982 2,564,318 -------------------------------------------------------------------------------------- New York - -------------------- Bon Ton, Marshalls, Price Chopper, New Loudon Center A.C. Moore, Raymours Furniture Co. 100.0% 251,211 4,615 255,826 100.00% 100.00% 100.00% 1,641,431 126,310 1,767,741 -------------------------------------------------------------------------------------- Rhode Island - -------------------- Walnut Hill Plaza Sears, Supervalu, CVS 100.0% 121,892 162,825 284,717 100.00% 92.56% 95.75% 1,005,500 1,399,290 2,404,790 -------------------------------------------------------------------------------------- Vermont - -------------------- The Gateway ShoppingSupervalu Center 100.0% 73,184 28,600 101,784 100.00% 84.38% 95.61% 1,353,904 523,252 1,877,156 -------------------------------------------------------------------------------------- Total New England 886,435 310,400 1,196,835 100.00% 88.58% 97.04% 6,853,171 3,431,454 10,284,625 --------------------------------------------------------------------------------------
General note - The above occupancy and rent amounts do not include space which is currently leased, but for which rent payment has not yet commenced. (1) 239 Greenwich Avenue contains 16,834 square feet of retail GLA and 21 residential units encompassing 14,434 square feet. Residential activities are not included above. (2 )Anchor GLA includes a 97,300 square foot Wal- Mart store which is not owned by the Company. This square footage has been excluded for calculating annualized base rent per square foot.
Core Portfolio Acadia's (continued): interest -------- Midwest - -------------------- Illinois - -------------------- Hobson West Plaza Garden Fresh Markets 100.0% 51,692 47,434 99,126 100.00% 85.58% 93.10%$ 225,436$ 811,609$ 1,037,045 Clark Diversey - 100.0% - 19,265 19,265 - 100.00% 100.00% - 883,130 883,130 -------------------------------------------------------------------------------------- Total - Illinois 51,692 66,699 118,391 100.00% 89.74% 94.22% 225,436 1,694,739 1,920,175 Indiana - -------------------- JC Penney, Office Max, TJ Maxx, Merrillville Plaza David's Bridal, Pier I 100.0% 145,266 89,760 235,026 100.00% 85.48% 94.45% 1,615,642 1,279,158 2,894,800 Michigan - -------------------- Home Goods, TJ Maxx, Marshalls, Bloomfield Towne Officemax Square 100.0% 152,944 79,237 232,181 82.04% 96.39% 86.94% 1,015,349 1,402,961 2,418,310 Ohio - -------------------- Mad River Station Babies 'R' Is, (1) Office Depot, Pier I 100.0% 68,296 57,687 125,983 100.00% 78.16% 90.00% 802,719 627,538 1,430,257 -------------------------------------------------------------------------------------- Total Midwest 418,198 293,383 711,581 93.43% 87.96% 91.17% 3,659,146 5,004,396 8,663,542 -------------------------------------------------------------------------------------- Mid-Atlantic - -------------------- New Jersey - -------------------- Marketplace of Supervalu, Rite Absecon Aid 100.0% 58,031 46,687 104,718 100.00% 93.27% 97.00% 984,014 662,008 1,646,022 -------------------------------------------------------------------------------------- Total - New Jersey 58,031 46,687 104,718 100.00% 93.27% 97.00% 984,014 662,008 1,646,022 -------------------------------------------------------------------------------------- Delaware - -------------------- Lowes, Target, Bed, Bath & Beyond, Brandywine Town Dicks Sporting Center Goods 22.2% 839,624 35,284 874,908 98.93% 87.91% 98.49% 12,706,931 559,980 13,266,910 Market Square TJ Maxx, Trader Shopping Center Joe's 22.2% 42,850 59,197 102,047 100.00% 89.02% 93.63% 671,888 1,553,239 2,225,127 Naamans Road - 22.2% - 19,970 19,970 0.00% 54.94% 54.94% - 558,340 558,340 -------------------------------------------------------------------------------------- Total - Delaware 882,474 114,451 996,925 98.98% 82.73% 97.12% 13,378,819 2,671,559 16,050,377 -------------------------------------------------------------------------------------- Pennsylvania - -------------------- Blackman Plaza Kmart, Rite Aid 100.0% 112,051 13,213 125,264 100.00% 28.97% 92.51% 268,519 20,400 288,919 Mark Plaza Kmart, Redner's Market 100.0% 157,595 58,806 216,401 100.00% 49.48% 86.27% 652,095 220,106 872,201 Plaza 422 Home Depot, Dunham's 100.0% 139,968 16,311 156,279 100.00% 25.32% 92.21% 643,503 75,000 718,503 Route 6 Plaza Kmart, Fashion Bug, Rite Aid 100.0% 146,498 29,021 175,519 100.00% 100.00% 100.00% 806,351 328,842 1,135,193 Chestnut Hill (2) Borders Books 100.0% 31,420 9,150 40,570 59.00% 100.00% 68.25% 482,000 325,483 807,483 Abington Towne Target, TJ Maxx Center (3) 100.0% 184,616 31,742 216,358 100.00% 89.80% 98.50% 270,000 693,103 963,103 -------------------------------------------------------------------------------------- Total - Pennsylvania 772,148 158,243 930,391 98.33% 65.55% 92.76% 3,122,468 1,662,934 4,785,402 -------------------------------------------------------------------------------------- Total Mid-Atlantic 1,712,653 319,381 2,032,034 98.72% 75.76% 95.12% 17,485,301 4,996,501 22,481,801 -------------------------------------------------------------------------------------- Total Core Properties 3,612,0971,340,014 4,952,111 98.53% 84.36% 94.69%$39,931,983$25,915,692$65,847,674 ====================================================================================== Total Core Properties - weighted based on ownership interest(4) 2,794,5571,194,255 3,988,812 98.35% 84.54% 94.21% 27,517,854 21,994,808 49,512,662 ======================================================================================
General note - The above occupancy and rent amounts do not include space which is currently leased, but for which rent payment has not yet commenced. (1) The GLA for this property excludes 29,857 square feet of office space. (2) This consists of two separate buildings. (3) Anchor GLA includes a 157,616 square foot Target store which is not owned by the Company. This square footage has been excluded for calculating annualized base rent per square foot. (4) Weighted based on Acadia's ownership interest in the properties.
Reporting Supplement June 30, 2009 Core Portfolio Retail Properties by State - Summary - --------------------------------------------------- Gross Leasable Area Occupancy Annualized Base Rent ---------------------------------------------------------------------------------- Ownership Percent of Number of % base rent (1) properties Anchors(2) Shops Total Anchors Shops Total Anchors Shops Total --------------------------------------------------------------------------------------------------------------------- Connecticut 75.0% 5.5% 2 179,993 43,187 223,180100.00%100.00%100.00%$ 2,334,621 $ 733,620$ 3,068,241 Delaware 22.2% 7.0% 3 882,474 114,451 996,925 98.98% 82.73% 97.12% 13,378,819 2,671,559 16,050,377 Illinois 100.0% 3.9% 2 51,692 66,699 118,391100.00% 89.74% 94.22% 225,436 1,694,739 1,920,175 Indiana 100.0% 5.8% 1 145,266 89,760 235,026100.00% 85.48% 94.45% 1,615,642 1,279,158 2,894,800 Massachusetts 100.0% 5.2% 2 276,989 71,173 348,162100.00% 73.48% 94.58% 1,915,336 648,982 2,564,318 Michigan 100.0% 4.9% 1 152,944 79,237 232,181 82.04% 96.39% 86.94% 1,015,349 1,402,961 2,418,310 New Jersey 88.9% 11.5% 3 170,104 147,013 317,117100.00% 89.55% 95.15% 3,274,474 2,914,285 6,188,759 New York 83.8% 35.0% 10 717,115 321,1391,038,254 99.46% 84.68% 94.89% 9,887,715 10,357,374 20,245,089 Ohio 100.0% 2.9% 1 68,296 57,687 125,983100.00% 78.16% 90.00% 802,719 627,538 1,430,257 Pennsylvania 100.0% 9.8% 6 772,148 158,243 930,391 98.33% 65.55% 92.76% 3,122,468 1,662,934 4,785,402 Rhode Island 100.0% 4.9% 1 121,892 162,825 284,717100.00% 92.56% 95.75% 1,005,500 1,399,290 2,404,790 Vermont 100.0% 3.8% 1 73,184 28,600 101,784100.00% 84.38% 95.61% 1,353,904 523,252 1,877,156 ----------------------------------------------------------------------------------------------------------- Total - Core Portfolio 100.0% 333,612,0971,340,0144,952,111 98.53% 84.36% 94.69%$39,931,983 $25,915,692$65,847,674 ===========================================================================================================
General note - The above occupancy and rent amounts do not include space which is currently leased, but for which rent payment has not yet commenced. (1) The Company's pro-rata share of base rent from joint venture properties has been included for the purpose of calculating percentage of base rent by state. (2) Anchor GLA includes a total of 254,916 square feet which is not owned by the Company. This square footage has been excluded for calculating annualized base rent per square foot.
Reporting Supplement June 30, 2009 Core Portfolio Top Tenants - Ranked by Annualized Base Rent (2) Percentage of Total Joint Represented by Wholly Owned Ventures Combined Retail Tenant Number of -------------------------------------------------------------------------------------------------- stores in Retail combined Total Annualized Base Total Annualized Base Total Annualized Base Total Annualized Base Ranking Tenant portfolio GLA Rent (1) GLA Rent (1) GLA Rent (1) Portfolio GLA(2) Rent (1) - ------------------------------------------------------------------------------------------------------------------------------------ 1 A&P 5 197,502 $ 3,613,840 18,722 $ 246,960 216,224 $ 3,860,800 5.4% 7.8% -- A&P 3 112,463 1,913,060 18,722 $ 246,960 131,185 2,160,020 3.3% 4.4% -- Pathmark 1 47,773 955,460 - - 47,773 955,460 1.2% 1.9% -- King Kullen 1 37,266 745,320 - - 37,266 745,320 0.9% 1.5% Supervalu 2 (Shaws) 4 220,625 3,075,684 - - 220,625 3,075,684 5.5% 6.2% 3 TJX Companies 8 193,482 1,451,600 19,144 344,750 212,626 1,796,350 5.3% 3.6% -- T.J. Maxx 4 88,200 759,600 6,927 88,189 95,127 847,789 2.4% 1.7% -- Marshalls 2 65,636 384,743 - - 65,636 384,743 1.6% 0.8% -- Homegoods 2 39,646 307,257 12,217 256,561 51,863 563,818 1.3% 1.1% 4 Sears 5 390,270 1,355,279 49,355 277,463 439,625 1,632,742 11.0% 3.3% -- Kmart 4 329,570 1,097,279 49,355 277,463 378,925 1,374,742 9.5% 2.8% -- Sears 1 60,700 258,000 - - 60,700 258,000 1.5% 0.5% 5 Stage Deli 1 4,211 1,152,000 - - 4,211 1,152,000 0.1% 2.3% Ahold (Stop and 6 Shop) 2 117,911 1,320,168 - - 117,911 1,320,168 3.0% 2.7% 7 L.A. Fitness 1 55,000 1,265,000 - - 55,000 1,265,000 1.4% 2.6% 8 Home Depot 2 211,003 1,099,996 - - 211,003 1,099,996 5.3% 2.2% Restoration 9 Hardware 1 12,293 1,041,152 - - 12,293 1,041,152 0.3% 2.1% 10 Sleepy's 5 40,119 847,674 - - 40,119 847,674 1.0% 1.7% 11 Barnes & Noble 2 19,622 625,000 6,091 194,902 25,713 819,902 0.6% 1.7% 12 Price Chopper 1 77,450 802,105 - - 77,450 802,105 1.9% 1.6% 13 Walgreens 2 14,837 435,000 7,594 232,750 22,431 667,750 0.6% 1.3% 14 Wal-Mart 2 89,544 626,808 - - 89,544 626,808 2.2% 1.3% 15 Pier 1 Imports 3 19,254 400,754 4,321 170,802 23,575 571,556 0.6% 1.2% 16 JC Penney 1 50,000 544,500 - - 50,000 544,500 1.3% 1.1% 17 Rite Aid 3 32,142 511,565 - - 32,142 511,565 0.8% 1.0% 18 The Avenue 4 17,236 342,869 4,043 160,406 21,279 503,275 0.5% 1.0% 19 CVS 2 34,300 498,990 - - 34,300 498,990 0.9% 1.0% 20 Border's 1 18,538 482,000 - - 18,538 482,000 0.5% 1.0% Payless 21 Shoesource 7 22,225 424,013 1,514 52,994 23,739 477,007 0.6% 1.0% 22 Lowes 1 - - 31,108 470,509 31,108 470,509 0.8% 1.0% 23 Redner's Markets 1 52,639 447,432 - - 52,639 447,432 1.3% 0.9% 24 OfficeMax 2 47,657 428,913 - - 47,657 428,913 1.2% 0.9% 25 Drexel Heritage 2 13,315 332,875 4,850 91,034 18,165 423,909 0.5% 0.9% 26 Citibank 3 5,486 263,328 2,797 135,311 8,283 398,639 0.2% 0.8% JP Morgan Chase 27 Bank 2 15,013 395,342 - - 15,013 395,342 0.4% 0.8% Big Apple 28 Souvenirs 1 920 381,684 - - 920 381,684 0.0% 0.8% 29 Hallmark Cards 4 22,022 369,029 - - 22,022 369,029 0.6% 0.7% 30 Access Group 1 - - 16,989 365,093 16,989 365,093 0.4% 0.7% The Vitamin 31 Shoppe 1 8,850 345,000 - - 8,850 345,000 0.2% 0.7% 32 Blockbuster 4 14,730 337,636 - - 14,730 337,636 0.4% 0.7% 54 Computer & 33 Camera 1 996 321,364 - - 996 321,364 0.0% 0.6% 34 Office Depot 1 25,038 315,479 - - 25,038 315,479 0.6% 0.6% 35 Dollar Tree 4 35,216 300,640 - - 35,216 300,640 0.9% 0.6% 36 Duane Reade 1 9,698 306,748 - - 9,698 306,748 0.2% 0.6% 37 Dots 4 17,698 297,358 - - 17,698 297,358 0.4% 0.6% 38 Bonton 1 65,365 274,533 - - 65,365 274,533 1.6% 0.6% K&G Fashion 39 Superstore 1 21,500 269,647 - - 21,500 269,647 0.5% 0.5% 40 Babies "R" Us 1 33,147 260,204 - - 33,147 260,204 0.8% 0.5% 41 Petco 1 17,578 259,275 - - 17,578 259,275 0.4% 0.5% 42 Target 1 - - 36,822 245,503 36,822 245,503 0.9% 0.5% A. C. Moore Arts 43 & Crafts 1 21,520 243,391 - - 21,520 243,391 0.5% 0.5% 44 TransUnion 1 - - 31,843 227,926 31,843 227,926 0.8% 0.5% Garden Fresh 45 Markets 1 51,692 225,436 - - 51,692 225,436 1.3% 0.5% 46 99 Cent Dreams 1 9,592 225,124 - - 9,592 225,124 0.2% 0.5% Electronics 47 Store 1 428 223,242 - - 428 223,242 0.0% 0.5% Bed, Bath & 48 Beyond 1 - - 11,327 212,311 11,327 212,311 0.3% 0.4% Pet Supplies 49 "Plus" 1 10,266 208,400 - - 10,266 208,400 0.3% 0.4% 50 Dunham's 1 35,725 205,419 - - 35,725 205,419 0.9% 0.4% ------------------------------------------------------------------------------------------------------------- Total 108 2,373,655 $29,153,496 246,520 $ 3,428,714 2,620,175 $32,582,210 65.7% 65.8% =============================================================================================================
(1) Base rents do not include percentage rents (except where noted), additional rents for property expense reimbursements, and contractual rent escalations due after the date of this report. (2) Represents total GLA and annualized base rent for the Company's retail properties including its pro-rata share of Brandywine and Crossroads. Reporting Supplement June 30, 2009 Core Portfolio Lease Expirations Gross Leased Area Annualized Base Rent ----------------------- ------------------------------- Number of Percent Percent Average Leases Square of of per Expiring Footage Total Amount Total Sq. Ft. --------------------------------- ------------------------------- Anchor Tenant Expirations 2009 3 224,447 6.79% 457,328 1.15% 2.04 2010 10 229,756 6.95% 2,565,455 6.42% 11.17 2011 9 195,917 5.93% 3,563,381 8.92% 18.19 2012 7 351,642 10.64% 3,185,790 7.98% 9.06 2013 8 355,254 10.75% 4,633,605 11.61% 13.04 2014 8 221,510 6.70% 3,052,689 7.64% 13.78 2015 7 265,869 8.05% 4,240,796 10.62% 15.95 2016 5 78,886 2.39% 1,022,342 2.56% 12.96 2017 4 158,877 4.81% 2,565,573 6.42% 16.15 2018 6 359,783 10.89% 5,040,525 12.62% 14.01 2019 5 122,539 3.71% 927,850 2.32% 7.57 2020 3 184,917 5.60% 1,400,429 3.51% 7.57 2021 1 106,760 3.23% 661,912 1.66% 6.20 2022 2 69,837 2.11% 1,700,000 4.26% 24.34 2024 3 188,506 5.71% 3,190,904 7.99% 16.93 2028 4 189,509 5.74% 1,723,404 4.32% 9.09 --------------------------------- ------------------------------- Total Occupied 85 3,304,009 100.00% $39,931,983 100.00% $ 12.09 ================================= =============================== Anchor GLA Owned by Tenants 254,916 Total Vacant 53,172 ------------ Total Square Feet 3,612,097 ============ Shop Tenant Expirations Month to Month 12 5,565 0.50% $ 251,927 0.97% $ 45.27 2009 40 110,957 9.90% 2,402,793 9.27% 21.66 2010 40 119,511 10.66% 2,023,423 7.81% 16.93 2011 45 162,329 14.45% 3,618,060 13.98% 22.29 2012 41 148,414 13.24% 2,903,847 11.20% 19.57 2013 45 145,188 12.95% 3,343,959 12.90% 23.03 2014 31 140,254 12.51% 3,056,752 11.79% 21.79 2015 17 74,892 6.68% 1,733,619 6.69% 23.15 2016 6 31,405 2.80% 763,197 2.94% 24.30 2017 16 49,631 4.43% 1,952,411 7.53% 39.34 2018 19 43,051 3.84% 1,709,690 6.60% 39.71 2019 7 14,073 1.26% 399,275 1.54% 28.37 2020 3 6,000 0.54% 146,070 0.56% 24.35 2021 3 30,270 2.70% 244,385 0.94% 8.07 2022 4 20,055 1.79% 522,555 2.02% 26.06 2023 2 7,362 0.66% 126,712 0.49% 17.21 2027 2 9,012 0.80% 442,017 1.71% 49.05 2028 1 3,200 0.29% 275,000 1.06% 85.94 --------------------------------- ------------------------------- Total Occupied 334 1,121,169 100.00% $25,915,692 100.00% $ 23.11 ================================= =============================== Total Vacant 218,845 ------------ Total Square Feet 1,340,014 ============ Gross Leased Area Annualized Base Rent ----------------------- ------------------------------- Number of Percent Percent Average Leases Square of of per Expiring Footage Total Amount Total Sq. Ft. --------------------------------- ------------------------------- Total Anchor and Shop Tenant Expirations Month to Month 12 $ 5,565 0.13% $ 251,927 0.38% $ 45.27 2009 43 335,404 7.58% 2,860,121 4.34% 8.53 2010 50 349,267 7.89% 4,588,878 6.97% 13.14 2011 54 358,246 8.10% 7,181,441 10.91% 20.05 2012 48 500,056 11.30% 6,089,637 9.25% 12.18 2013 53 500,442 11.31% 7,977,564 12.11% 15.94 2014 39 361,764 8.18% 6,109,441 9.28% 16.89 2015 24 340,761 7.70% 5,974,415 9.07% 17.53 2016 11 110,291 2.49% 1,785,539 2.71% 16.19 2017 20 208,508 4.71% 4,517,984 6.86% 21.67 2018 25 402,834 9.10% 6,750,215 10.25% 16.76 2019 12 136,612 3.09% 1,327,125 2.02% 9.71 2020 6 190,917 4.31% 1,546,499 2.35% 8.10 2021 4 137,030 3.10% 906,297 1.38% 6.61 2022 6 89,892 2.03% 2,222,555 3.38% 24.72 2023 2 7,362 0.17% 126,712 0.19% 17.21 2024 3 188,506 4.26% 3,190,904 4.85% 16.93 2027 2 9,012 0.20% 442,017 0.67% 49.05 2028 5 192,709 4.35% 1,998,403 3.03% 10.37 --------------------------------- ------------------------------- Total Occupied 419 $ 4,425,178 100.00% $65,847,674 100.00% $ 14.88 ================================= =============================== Anchor GLA Owned by Tenants 254,916 Total Vacant 272,017 ------------ Total Square Feet 4,952,111 ============
Reporting Supplement June 30, 2009 Core Portfolio Year-to-Date 3 months ended 3 months ended New and Renewal Rent Spreads (1) June 30, 2009 June 30, 2009 March 31, 2009 -------------------------------------------------------------------- --------------------- ----------------------- Cash (2) GAAP (3) Cash (2) GAAP (3) Cash (2) GAAP (3) -------------------- --------------------- ----------------------- New leases Number of new leases commencing 5 5 1 1 4 4 GLA 21,239 21,239 2,997 2,997 18,242 18,242 New base rent $ 13.82 $ 14.91 $ 14.39 $ 20.48 $ 13.73 $ 13.99 Previous base rent (and percentage rent) $ 21.57 $ 20.71 $ 25.99 $ 24.10 $ 20.84 $ 20.15 Percentage growth in base rent -35.9% -28.0% -44.6% -15.0% -34.1% -30.6% Average cost per square foot $ 15.31 $ 15.31 $ 0.00 $ 0.00 $ 17.83 $ 17.83 Renewal leases Number of renewal leases commencing 31 31 10 10 21 21 GLA expiring 275,714 275,714 69,431 69,431 206,283 206,283 Renewal percentage 68% 68% 79% 79% 64% 64% New base rent $ 14.57 $ 15.37 $ 14.75 $ 16.03 $ 14.49 $ 15.10 Expiring base rent (and percentage rent) $ 13.98 $ 13.62 $ 15.99 $ 15.47 $ 13.14 $ 12.84 Percentage growth in base rent 4.2% 12.9% -7.8% 3.6% 10.3% 17.6% Average cost per square foot $ 0.77 $ 0.77 $ 2.62 $ 2.62 $ 0.00 $ 0.00 Total new and renewal Leases Number of new and renewal leases commencing 36 36 11 11 25 25 GLA commencing 207,582 207,582 58,074 58,074 149,508 149,508 New base rent $ 14.49 $ 15.33 $ 14.73 $ 16.26 $ 14.40 $ 14.96 Expiring base rent (and percentage rent) $ 14.76 $ 14.34 $ 16.51 $ 15.92 $ 14.08 $ 13.73 Percentage growth in base rent -1.8% 6.9% -10.8% 2.2% 2.3% 9.0% Average cost per square foot $ 2.26 $ 2.26 $ 2.48 $ 2.48 $ 2.18 $ 2.18
(1) Does not include leased square footage and costs related to first generation space and the Company's major redevelopment projects. (2) Rents have not been calculated on a straight line basis. Previous/expiring rent is that as of time of expiration and includes any percentage rent paid as well. New rent is that which is paid at commencement. (3) Rents are calculated on a straight-line basis.
Reporting Supplement June 30, 2009 Core Portfolio Capital Expenditures - ------------------------------------ Year-to-Date Current Prior Quarter Quarter Period 3 months 3 months Year ended ended ended Ended June 30, 2009 June 30, 2009 March 31, 2009 December 31, 2008 ---------------- ---------------- ---------------- ------------------ Leasing Commissions: $ 259 $ 72 $ 187 $ 651 Tenant Improvements: 1,047 503 544 2,043 Capital Expenditures: 294 285 9 896 Redevelopments - - - - ---------------- ---------------- ---------------- ---------------- Total $ 1,600 $ 860 $ 740 $ 3,590 ================ ================ ================ ================
QUARTERLY SUPPLEMENTAL DISCLOSURE June 30, 2009 Property Demographics (1) - ---------------------------------- 3-Mile Radius(2) 5-Mile Radius ------------------------------- --------------------------------- Trade Cash (2) # Area Base Total Total House- Median Avg. HH Total Median Avg. HH holds HH # HH Classi- Property / JV City State(Miles) Rent GLA Pop. ("HH") Income Income Pop. HH Income Income fication Ownership % - ----------------------------------------------------------------- ------------------------------- --------------------------------- Core Brandywine Wilmington DE Town Center & Mkt Sq./22.22% 3 16,050,377 996,925 41,222 15,054$83,769$102,192 120,306 46,004$74,110 $93,425 Core Elmwood Park Elmwood Park NJ Shopping Ctr. 3 3,278,280 149,491 257,647 83,959 52,609 62,446 614,727 208,535 57,938 69,562 Core Chestnut Hill Philadelphia PA 3 807,483 40,570 148,084 59,791 53,526 65,990 399,921 157,197 52,171 65,291 Core Abington TowneAbington PA Center 3 963,103 216,358 91,293 34,692 66,882 82,491 304,127 117,213 59,851 70,401 Core Clark & Chicago IL Diversey 3 883,130 19,265 419,461213,740 58,803 81,579 969,623 410,327 51,138 67,593 Core Hobson West Naperville IL Plaza 3 1,037,045 99,126 98,083 34,231 94,977 114,120 241,153 82,668 93,969 113,986 Core Methuen Methuen MA Shopping Ctr. 5 958,689 130,021 89,957 31,569 41,619 49,981 201,503 72,943 47,894 56,306 Core Crossroads White Plains NY Shopping Ctr. / 49% 3 5,874,198 310,822 105,870 39,349 78,556 85,621 205,109 73,112 93,445 108,276 Core The Branch Smithtown NY Plaza 3 2,704,867 125,751 68,832 23,221 89,522 113,455 199,361 64,663 82,867 105,093 Core Amboy Road Staten NY Island 3 1,780,669 63,290 156,384 56,991 69,666 90,260 292,132 105,178 66,927 88,388 Core Village Smithtown NY Commons Shopping Ctr. 3 2,104,524 87,237 68,832 23,221 89,522 113,455 199,361 64,663 82,867 105,093 Core Bloomfield Bloomfield MI Town Square Hills 5 2,418,310 232,181 62,528 23,953 73,997 102,234 166,443 62,677 79,970 105,922 Core Crescent PlazaBrockton MA 3 1,605,629 218,141 99,649 34,369 46,062 56,826 168,246 58,789 46,062 56,826 Core 239 Greenwich Greenwich CT Avenue / 75% 5 1,397,621 16,834 67,165 24,889 97,270 125,159 142,822 51,210 94,119 119,232 Core Town Line Rocky Hill CT Plaza 3 1,670,620 206,346 45,606 19,067 65,917 75,855 153,302 61,023 57,724 68,679 Core New Loudon Latham NY Center 5 1,767,741 255,826 41,815 15,619 55,375 66,288 151,655 61,034 47,547 61,261 Core Pacesetter Pomona NY Park Shopping Ctr. 3 1,100,336 96,353 25,618 8,209 89,598 125,526 129,143 36,828 72,841 102,767 Core LA Fitness, Staten NY Staten Island Island 3 1,265,000 55,000 127,542 45,026 65,178 83,167 457,912 162,076 60,236 77,922 Core West 54th Manhattan NY Street 3 2,686,089 9,677 582,613325,406 80,037 96,770 2,424,8481,048,312 55,446 67,194 Core East 17th Manhattan NY Street 3 625,000 19,622 1,027,933495,157 64,629 116,133 2,512,4121,086,434 53,903 96,755 Core Mad River Dayton OH Station 5 1,430,257 125,983 58,692 25,428 58,119 67,529 135,000 56,693 60,560 71,601 Core Mark Plaza Edwardsville PA 5 872,201 216,401 87,986 37,409 31,982 39,628 124,868 52,566 34,683 43,184 Core Blackman PlazaWilkes-Barre PA 5 288,919 125,264 58,885 24,646 30,982 40,002 111,991 47,249 33,391 41,275 Core Bartow Avenue The Bronx NY 3 336,665 14,676 567,476209,231 40,253 47,643 1,435,467 511,796 30,552 43,522 Core Walnut Hill Woonsocket RI Plaza 5 2,404,790 284,717 60,322 22,861 42,715 47,867 95,320 35,238 50,142 56,573 Core A & P ShoppingBoonton NJ Plaza / 60% 5 1,264,457 62,908 49,442 18,288 87,533 113,042 101,266 36,438 86,509 106,011 Core Merrillville Hobart IN Plaza 5 2,894,800 235,026 26,118 10,066 56,556 64,248 87,796 32,151 54,709 62,531 Core The Gateway So. VT Shopping Ctr. Burlington 3 1,877,156 101,784 46,879 19,366 44,294 55,033 69,993 28,186 47,104 57,514 Core Marketplace ofAbsecon NJ Absecon 3 1,646,022 104,718 30,732 11,642 52,106 64,775 68,326 26,137 51,610 62,711 Core Plaza 422 Lebanon PA 3 718,503 156,279 43,975 17,347 36,874 47,144 61,197 23,615 41,055 51,545 Core Route 6 Plaza Honesdale PA 5 1,135,193 175,519 7,567 3,014 32,283 43,919 11,899 4,627 34,031 46,300 Fund I Granville Columbus OH Center / 37.78% 3 598,018 134,997 112,547 47,337 47,547 53,746 266,313 108,411 53,466 60,719 Fund I Sterling Sterling MI Heights Heights Shopping Center / 18.9% 3 562,900 154,835 99,813 36,587 66,886 77,416 264,560 103,403 63,816 74,661 Fund I Tarrytown Tarrytown NY Shopping Center / 37.78% 3 981,063 35,291 36,856 13,450 78,415 95,294 123,546 43,654 85,757 103,311 Fund II-400 East The Bronx NY Urban Fordham Road In-Fill / 19.2% 2 5,304,240 119,446 1,205,053412,674 30,252 38,298 1,997,909 698,322 33,259 40,957 Fund II-Sherman AvenueManhattan NY Urban / 19.2% In-Fill 2 - - 535,739175,108 29,260 36,324 2,049,516 721,521 34,366 42,608 Fund II-Pelham Manor Westchester NY Urban Shopping In-Fill Plaza / 19.2% 3 4,719,346 249,980 398,727147,238 48,697 56,116 1,109,022 403,897 44,956 53,542 Fund II-161st Street The Bronx NY Urban /19.2% In-Fill 2 4,530,723 223,521 1,274,483427,111 25,104 31,477 2,531,473 966,482 37,307 48,034 Fund II-Liberty AvenueQueens NY Urban / 19.2% In-Fill 3 896,083 26,125 613,457201,509 44,915 59,078 613,457 201,509 44,915 59,078 Fund II-216th Street /Manhattan NY Urban 19.2% In-Fill 2 2,565,000 60,000 536,119183,542 30,978 41,481 536,119 183,542 30,978 41,481 Fund II-Oakbrook/ 20% Oakbrook IL Other 3 825,000 112,000 77,560 29,487 77,130 108,955 288,932 108,039 75,456 97,126 Fund Cortlandt Mohegan Lake NY III- Towne Other Center/19.91% 3 8,457,637 641,797 50,899 17,257 83,556 96,323 85,373 28,902 88,363 103,198 - ------------------------------------------------------------------------------------------------------------------------------------ 95,287,6846,710,103 ------------------- TOTAL ------------------------------- --------------------------------- Weighted Average - Based on GLA 151,988 54,559$62,603 $76,115 328,378 122,105$62,304 $76,356 ------------------------------- --------------------------------- Weighted Average - Based on base rent( 1) 172,164 69,049$64,466 $79,647 408,206 157,608$59,949 $74,067 ------------------------------- --------------------------------- CORE ------------------------------- --------------------------------- Weighted Average - Based on GLA 74,690 28,542$63,374 $77,631 182,774 68,621$61,832 $76,492 ------------------------------- --------------------------------- Weighted Average - Based on base rent( 1) 128,576 55,279$65,813 $81,548 338,565 133,340$60,318 $74,724 ------------------------------- --------------------------------- FUND I ------------------------------- --------------------------------- Weighted Average - Based on GLA 98,267 38,539$60,108 $69,528 249,981 98,997$61,900 $71,982 ------------------------------- --------------------------------- Weighted Average - Based on base rent( 1) 70,711 27,843$66,749 $79,235 190,772 73,509$72,058 $85,286 ------------------------------- --------------------------------- FUND II -Urban In-fill ------------------------------- --------------------------------- Weighted Average - Based on GLA 849,218291,345$35,976 $43,693 1,663,898 613,608$39,144 $48,663 ------------------------------- --------------------------------- Weighted Average - Based on base rent( 1) 886,620303,644$34,622 $42,737 1,622,252 590,629$37,596 $47,010 ------------------------------- --------------------------------- FUND II -Other ------------------------------- --------------------------------- Weighted Average - Based on GLA 77,560 29,487$77,130$108,955 288,932 108,039$75,456 $97,126 ------------------------------- --------------------------------- Weighted Average - Based on base rent( 1) 77,560 29,487$77,130$108,955 288,932 108,039$75,456 $97,126 ------------------------------- --------------------------------- FUND III ------------------------------- --------------------------------- Weighted Average - Based on GLA 50,899 17,257$83,556 $96,323 85,373 28,902$88,363$103,198 ------------------------------- --------------------------------- Weighted Average - Based on base rent( 1) 50,899 17,257$83,556 $96,323 85,373 28,902$88,363$103,198 ------------------------------- --------------------------------- (1) Does not include the Kroger/Safeway Portfolio. Base rent for joint ventures has been pro-rated based on the Company's ownership % in the joint venture. (2) West 54th Street, Sherman 161st Street and 216th Street figures are for 2 mile radius
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