Acadia Realty Trust (AKR) 8-K Acadia Realty Trust Reports First Quarter 2011 Operating Results

Exhibit 99.2

ACADIA REALTY TRUST

Integrity  ●  Intensity  ●  Intelligence  ●Innovation

First Quarter 2011

Reporting Supplement

Table of Contents
First Quarter 2011
Section I - Financial Information		Section II - Opportunity Fund Information
Company Information	3	Opportunity Fund Overview	24
Total Market Capitalization	4	Opportunity Fund Properties	25
Operating Statements		Opportunity Fund Lease Expirations	26
Pro-rata Consolidation	5	Redevelopment Projects - Operating	29
Joint Ventures	6	Redevelopment Projects - Construction and Design	30
Opportunity Funds	7	RCP Venture Investments	31
Funds from Operations ("FFO"), Adjusted FFO ("AFFO")		Storage Portfolio	32
and Funds Available for Distribution ("FAD")	9
EBITDA	10
Same Property Net Operating Income	11	Section III - Core Portfolio Information
Fee Income	12
Balance Sheet - Pro-rata Consolidation	13	Core Properties	33
Notes Receivable	14	Core Portfolio by State	35
Other Information		Core Top Tenants	36
2011 Guidance	15	Core Lease Expirations	37
Net Asset Valuation	16	Core New and Renewal Rent Spreads	39
Selected Financial Ratios	17	Core Capital Expenditures	40
Debt Analysis		Portfolio Demographics	41
Summary	18	Important Notes	43
Detail	19
Maturities	22
Maturities with Extension Options	23

Visit www.acadiarealty.com for additional investor and portfolio information

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Company Information

Acadia Realty Trust, a fully-integrated equity real estate investment trust, is focused on the ownership, management and redevelopment of high-quality retail properties and urban/infill mixed-use properties with a strong retail component located primarily in high-barrier-to-entry, densely-populated metropolitan areas along the East Coast and in the Midwestern United States. Acadia owns, or has an ownership interest in, 83 properties through its core portfolio and three opportunistic/value-add investment funds. Additional information may be found on the Company’s website at www.acadiarealty.com.

Contact Information
	Corporate Headquarters	Investor Relations	New York Stock Exchange
	1311 Mamaroneck Avenue	Jon Grisham	SymbolAKR
	Suite 260	Senior Vice President,
	White Plains, NY 10605	Chief Accounting Officer
	www.acadiarealty.com	(914) 288-8142
		jgrisham@acadiarealty.com
Analyst Coverage
	Banc of America / Merrill Lynch	FBR Capital Markets	Keefe, Bruyette & Woods, Inc.
	Craig Schmidt - (646) 855-3640	Sri Nagarajan - (646) 885-5429	Sheila K. McGrath - (212) 887-7793
	craig_schmidt@ml.com	snagarajan@fbr.com	smcgrath@kbw.com
	Bank of Montreal	Green Street Advisors	KeyBanc Capital Markets, Inc.
	Paul Adornato, CFA - (212) 885-4170	Laura Clark - (949) 640-8780	Todd Thomas - (917) 368-2286
	paul.adornato@bmo.com	lclark@greenst.com	tthomas@keybanccm.com
	Citigroup - Smith Barney	Janney Montgomery Scott	Macquarie Capital (USA)
	Quentin Velleley, CFA - (212) 816-6981	Andrew T. DiZio, CFA - (215) 665-6439	Rob Stevenson - (212) 231-8068
	quentin.velleley@citi.com	adizio@jmsonline.com	rob.stevenson@macquarie.com
	Cowen and Company	J.P. Morgan Securities, Inc.	RBC Capital Markets
	Stephen Boyd - (646) 562-1382	Michael W. Mueller, CFA - (212) 622-6689	Rich Moore, CFA - (440) 715-2646
	Stephen.Boyd@cowen.com	michael.w.mueller@jpmorgan.com	rich.moore@rbccm.com
			UBS
			Christy McElroy - (203) 719-7831
			christy.mcelroy@ubs.com

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Total Market Capitalization
(including pro-rata share of Opportunity Fund debt, dollars in thousands)
									Capitalization
	Percent of		Total Market Capitalization						based on
	Total Equity		$			%			Net Debt1
Equity Capitalization
Total Common Shares Outstanding	98.8	%	$	40,322
Common Operating Partnership ("OP") Units	1.2	%		470
Combined Common Shares and OP Units				40,792
Share Price March 31, 2011				18.92
Equity Capitalization - Common Shares and OP Units				771,785
Preferred OP Units				474	2
Total Equity Capitalization				772,259			63	%		69	%
Debt Capitalization
Consolidated debt				893,027
Adjustment to reflect pro-rata share of debt				(441,745	)
Total Debt Capitalization				451,282			37	%		31	%
Total Market Capitalization			$	1,223,541			100	%		100	%
Weighted Average Outstanding Common Shares and OP Units
(in thousands)
			March 31, 2011						March 31, 2010
			Quarter			Year-to-date			Quarter			Year-to-date
Weighted average Common Shares - Basic EPS				40,318			40,318			39,981			39,981
Dilutive potential Common Shares				262			262			169			169
Weighted average Common Shares - Diluted EPS				40,580			40,580			40,150			40,150
OP Units				466			466			601			601
Dilutive potential OP Units				-			-			25			25
Weighted average Common Shares and OP Units - Diluted FFO				41,046			41,046			40,776			40,776
Notes:
1Reflects Debt net of Core Portfolio and pro-rata share of Opportunity Funds cash balance ("Net Debt"). Cash balance as of March 31, 2011 was $96,167
2Represents 188 Series A Preferred OP Units convertible into 25,067 Common OP units multiplied by the Common Share price at quarter end.
3Fixed-rate debt includes notional principal fixed through interest rate swap transactions.

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Income Statements - Pro-rata Consolidation1
Current Quarter and Year-to-Date
(in thousands)
	Period ended March 31, 2011																			Three months ended March 31, 2011
	Core Retail											Opportunity Funds					Total			Core Retail											Opportunity Funds					Total
							Total																			Total
	Wholly			Joint			Continuing			Discontinued		Continuing			Discontinued					Wholly			Joint			Continuing			Discontinued		Continuing			Discontinued
	Owned			Ventures			Operations			Operations		Operations			Operations					Owned			Ventures			Operations			Operations		Operations			Operations
CORE PORTFOLIO AND OPPORTUNITY FUND INCOME
PROPERTY REVENUES
Minimum rents	$	11,565		$	1,648		$	13,213		$	-	$	3,387		$	9	$	16,609		$	11,565		$	1,648		$	13,213		$	-	$	3,387		$	9	$	16,609
Percentage rents		207			7			214			-		-			-		214			207			7			214			-		-			-		214
Expense reimbursements - CAM		1,487			220			1,707			-		300			-		2,007			1,487			220			1,707			-		300			-		2,007
Expense reimbursements - Taxes		1,731			238			1,969			-		229			-		2,198			1,731			238			1,969			-		229			-		2,198
Other property income		5			2			7			-		80			-		87			5			2			7			-		80			-		87
Total Property Revenues		14,995			2,115			17,110			-		3,996			9		21,115			14,995			2,115			17,110			-		3,996			9		21,115
PROPERTY EXPENSES
Property operating - CAM		2,129			307			2,436			-		411			-		2,847			2,129			307			2,436			-		411			-		2,847
Other property operating (Non-CAM)		588			27			615			-		920			-		1,535			588			27			615			-		920			-		1,535
Real estate taxes		2,099			284			2,383			-		468			-		2,851			2,099			284			2,383			-		468			-		2,851
Total Property Expenses		4,816			618			5,434			-		1,799			-		7,233			4,816			618			5,434			-		1,799			-		7,233
NET OPERATING INCOME - PROPERTIES		10,179			1,497			11,676			-		2,197			9		13,882			10,179			1,497			11,676			-		2,197			9		13,882
OTHER INCOME (EXPENSE)
Mezzanine interest income		4,232			-			4,232			-		61			-		4,293			4,232			-			4,232			-		61			-		4,293
Other interest income		34			-			34			-		-			-		34			34			-			34			-		-			-		34
Straight-line rent income, net		108			10			118			-		339			-		457			108			10			118			-		339			-		457
Straight-line ground rent expense		-			-			-			-		(22	)		-		(22	)		-			-			-			-		(22	)		-		(22	)
FAS 141 rent, net		(138	)		35			(103	)		-		(35	)		-		(138	)		(138	)		35			(103	)		-		(35	)		-		(138	)
FAS 141 interest expense		5			-			5			-		-			-		5			5			-			5					-			-		5
Interest expense		(3,934	)		(914	)		(4,848	)		-		(901	)		-		(5,749	)		(3,934	)		(914	)		(4,848	)				(901	)		-		(5,749	)
Asset and property management expense		(10	)		-			(10	)		-		-			-		(10	)		(10	)		-			(10	)		-		-			-		(10	)
Promote expense		-			-			-			-		-			-		-			-			-			-			-		-			-		-
Other income		296			-			296			-		-			-		296			296			-			296			-		-			-		296
Equity in earnings of unconsolidated affiliate, net of taxes		-			-			-			-		-			-		-			-			-			-			-		-			-		-
CORE PORTFOLIO AND OPPORTUNITY FUND INCOME		10,772			628			11,400			-		1,639			9		13,048			10,772			628			11,400			-		1,639			9		13,048
FEE INCOME
Asset and property management fees and priority distributions		3,065			-			3,065			-		18			-		3,083			3,065			-			3,065			-		18			-		3,083
Transactional fees2		2,318			-			2,318			-		-			-		2,318			2,318						2,318			-		-			-		2,318
Provision for income taxes		(453	)		-			(453	)		-		42			-		(411	)		(453	)		-			(453	)		-		42			-		(411	)
FEE INCOME		4,930			-			4,930			-		60			-		4,990			4,930			-			4,930			-		60			-		4,990
PROMOTE, RCP AND OTHER INCOME
Equity in earnings from RCP investments		-			-			-			-		65			-		65			-			-			-			-		65			-		65
Promote income - RCP		-			-			-			-		(14	)		-		(14	)		-			-			-			-		(14	)		-		(14	)
Promote income - Fund capital transactions		-			-			-			-		-			-		-			-			-			-			-		-			-		-
Equity in earnings of unconsolidated properties		-			-			-			-		-			-		-			-			-			-			-		-			-		-
Lease termination income		-			-			-			-		7			-		7			-			-			-			-		7			-		7
Gain on extinguishment of debt		1,673			-			1,673			-		-			-		1,673			1,673			-			1,673					-			-		1,673
Gain from bargain purchase		-			-			-			-		-			-		-			-			-			-					-			-		-
Provision for income taxes (RCP)		(13	)		(1	)		(14	)		-		(3	)		-		(17	)		(13	)		(1	)		(14	)		-		(3	)		-		(17	)
Total Promote, RCP and Other Income		1,660			(1	)		1,659			-		55			-		1,714			1,660			(1	)		1,659			-		55			-		1,714
GENERAL AND ADMINISTRATIVE		(5,713	)		(5	)		(5,718	)		-		(94	)		-		(5,812	)		(5,713	)		(5	)		(5,718	)		-		(94	)		-		(5,812	)
Depreciation and amortization		(3,545	)		(365	)		(3,910	)		-		(1,185	)		-		(5,095	)		(3,545	)		(365	)		(3,910	)		-		(1,185	)		-		(5,095	)
FAS 141 amortization		33			-			33			-		(118	)		-		(85	)		33			-			33					(118	)		-		(85	)
Gain on sale of properties		-			-			-			-		-			784		784			-			-			-			-		-			784		784
Income before noncontrolling interests		8,137			257			8,394			-		357			793		9,544			8,137			257			8,394			-		357			793		9,544
Noncontrolling interest - OP		(120	)		-			(120	)		-		-			-		(120	)		(120	)		-			(120	)		-		-			-		(120	)
Noncontrolling interests		-			-			-			-		(1	)		-		(1	)		-			-			-			-		(1	)		-		(1	)
NET INCOME	$	8,017		$	257		$	8,274		$	-	$	356		$	793	$	9,423		$	8,017		$	257		$	8,274		$	-	$	356		$	793	$	9,423

Notes:

1Quarterly 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.

2Consists of development, construction, leasing and legal fees.

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Income Statements - Joint Ventures1
Current Quarter and Year-to-Date
(in thousands)
	Period ended March 31, 2011															Three months ended March 31, 2011
	Joint Ventures - Core Retail															Joint Ventures - Core Retail
				AKR Pro-rata						AKR Pro-rata			Total AKR						AKR Pro-rata						AKR Pro-rata			Total AKR
	Brandywine			Share 22.22%			Crossroads			Share 49.00%			Pro-rata Share			Brandywine			Share 22.22%			Crossroads			Share 49.00%			Pro-rata Share
PROPERTY REVENUES
Minimum rents	$	4,005		$	890		$	1,547		$	758		$	1,648		$	4,005		$	890		$	1,547		$	758		$	1,648
Percentage rents		32			7			-			-			7			32			7			-			-			7
Expense reimbursements - CAM		490			109			226			111			220			490			109			226			111			220
Expense reimbursements - Taxes		178			40			404			198			238			178			40			404			198			238
Other property income		7			2			-			-			2			7			2			-			-			2
Total Property Revenues		4,712			1,048			2,177			1,067			2,115			4,712			1,048			2,177			1,067			2,115
PROPERTY EXPENSES
Property operating - CAM		875			194			231			113			307			875			194			231			113			307
Other property operating (Non-CAM)		157			35			(17	)		(8	)		27			157			35			(17	)		(8	)		27
Real estate taxes		312			69			438			215			284			312			69			438			215			284
Total Property Expenses		1,344			298			652			320			618			1,344			298			652			320			618
NET OPERATING INCOME - PROPERTIES		3,368			750			1,525			747			1,497			3,368			750			1,525			747			1,497
OTHER INCOME (EXPENSE)
Mezzanine interest income		-			-			-			-			-			-			-			-			-			-
Other interest income		-			-			1			-			-			-			-			1			-			-
Straight-line rent income, net		6			1			19			9			10			6			1			19			9			10
Straight-line ground rent		-			-			-			-			-			-			-			-			-			-
FAS 141 rent, net		157			35			-			-			35			157			35			-			-			35
FAS 141 interest expense		-			-			-			-			-			-			-			-			-			-
Interest expense		(2,491	)		(511	)		(822	)		(403	)		(914	)		(2,491	)		(511	)		(822	)		(403	)		(914	)
Asset and property management expense		(236	)		-			-			-			-			(236	)		-			-			-			-
Promote expense		-			-			-			-			-			-			-			-			-			-
Other income		-			-			-			-			-															-
Equity in earnings of unconsolidated affiliate, net of taxes		-			-			-			-			-			-			-			-			-			-
CORE PORTFOLIO AND OPPORTUNITY FUND INCOME		804			275			723			353			628			804			275			723			353			628
FEE INCOME
Asset and property management fees and priority distributions		-			-			-			-			-			-			-			-			-			-
Transactional fees		-			-			-			-			-															-
Provision for income taxes		-			-			-			-			-			-			-			-			-			-
Total 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		-			-			-			-			-			-			-			-			-			-
Lease termination income		-			-			-			-			-			-			-			-			-			-
Gain on extinguishment of debt		-			-			-			-			-			-			-			-			-			-
Gain from bargain purchase		-			-			-			-			-															-
Provision for income taxes (RCP)		-			-			(3	)		(1	)		(1	)		-			-			(3	)		(1	)		(1	)
Total Promote, RCP and Other Income		-			-			(3	)		(1	)		(1	)		-			-			(3	)		(1	)		(1	)
GENERAL AND ADMINISTRATIVE		(19	)		(4	)		(2	)		(1	)		(5	)		(19	)		(4	)		(2	)		(1	)		(5	)
Depreciation and amortization2		(962	)		(214	)		(109	)		(151	)		(365	)		(962	)		(214	)		(109	)		(151	)		(365	)
FAS 141 amortization		-			-			-			-			-			-			-			-			-			-
Gain on sale of properties		-			-			-			-			-			-			-			-			-			-
Income before noncontrolling interest		(177	)		57			609			200			257			(177	)		57			609			200			257
Noncontrolling interest - OP		-			-			-			-			-			-			-			-			-			-
Noncontrolling interests		-			-			-			-			-			-			-			-			-			-
NET INCOME	$	(177	)	$	57		$	609		$	200		$	257		$	(177	)	$	57		$	609		$	200		$	257

Notes:

1The Company has a 22.2% interest in Brandywine Portfolio ("Brandywine") and a 49% interest in the Crossroads Shopping Center ("Crossroads")  which are accounted for as

  unconsolidated investments in the Company's financial statements.

2In addition to its pro-rata share of depreciation, the Company recognizes depreciation on its stepped-up basis in Crossroads.

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Income Statements - Opportunity Funds1
Year-to-Date
(in thousands)
	Period ended March 31, 2011
							Continuing										AKR											Continuing			Discontinued												Pro-rata						AKR			Total
							Operations										Pro-											Operations			Operations												share of						Pro-			AKR
	Fund I			AKR			AKR Pro-							AKR			rata			Fund II			Fund II		Fund II			AKR Pro-			AKR Pro-						AKR Pro-						Fund III						rata			Pro-
	Consolidated			Promote			rata share			Mervyns				Promote			share			Continuing			Discontinued		Consolidated			rata share			rata share		Mervyns				rata share						unconsolidated			Adjusted			share			rata
	Operations3			20.00%			22.22%				I			20.00%			22.22%			Operations			Operations		Operations			20.00%			20.00%			II				20.00%		Fund III			affiliates4			Fund III			19.90%			share
PROPERTY REVENUES
Minimum rents	$	1,005		$	201		$	180			$	-		$	-		$	-		$	7,118		$	44	$	7,162		$	1,423		$	9		$	-		$	-		$	6,482		$	1,468		$	7,950		$	1,582		$	3,395
Percentage rents		-			-			-				-			-			-			-			-		-			-			-			-			-			(2	)		2			-			-			-
Expense reimbursements - CAM		72			14			13				-			-			-			867			-		867			173			-			-			-			269			233			502			100			300
Expense reimbursements - Taxes		(68	)		(14	)		(12	)			-			-			-			496			-		496			99			-			-			-			733			51			784			156			229
Other property income		-			-			-				-			-			-			76			-		76			15			-			-			-			315			13			328			65			80
Total Property Revenues		1,009			202			180				-			-			-			8,557			44		8,601			1,710			9			-			-			7,797			1,767			9,564			1,903			4,004
PROPERTY EXPENSES
Property operating - CAM		110			22			20				-			-			-			1,237			1		1,238			247			-			-			-			390			222			612			122			411
Other property operating (Non-CAM)		230			46			41				-			-			-			1,416			-		1,416			283			-			-			-			1,747			1,017			2,764			550			920
Real estate taxes		(29	)		(6	)		(5	)			-			-			-			976			-		976			195			-			-			-			1,310			117			1,427			284			468
Total Property Expenses		311			62			55				-			-			-			3,629			1		3,630			725			-			-			-			3,447			1,356			4,803			956			1,799
NET OPERATING INCOME - PROPERTIES		698			140			125				-			-			-			4,928			43		4,971			985			9			-			-			4,350			411			4,761			947			2,205
OTHER INCOME (EXPENSE)
Mezzanine interest income		-			-			-				-			-			-			-			-		-			-			-			-			-			306			-			306			61			61
Other interest income		-			-			-				-			-			-			-			-		-			-			-			-			-			-			-			-			-			-
Straight-line rent income, net		97			19			17				-			-			-			1,382			-		1,382			276			-			-			-			67			62			129			26			339
Straight-line ground rent		-			-			-				-			-			-			(108	)		-		(108	)		(22	)		-			-			-			-			-			-			-			(22	)
FAS 141 rent, net		-			-			-				-			-			-			(65	)		-		(65	)		(13	)		-			-			-			(157	)		46			(111	)		(22	)		(35	)
FAS 141 interest expense		-			-			-				-			-			-			-			-		-			-			-			-			-			-			-			-			-			-
Interest expense		(41	)		(8	)		(7	)			-			-			-			(2,707	)		-		(2,707	)		(541	)		-			-			-			(1,195	)		(541	)		(1,736	)		(345	)		(901	)
Asset and property management expense 2		2			-			-				-			-			-			(1,289	)		-		(1,289	)		-			-			(143	)		-			(2,084	)		(66	)		(2,150	)		-			-
Promote expense2		(47	)		-			-				14			-			-			-			-		-			-			-			-			-			-			-			-			-			-
Other income		-			-			-				-			-			-			-			-		-			-			-			-			-			-			1			1			-			-
Equity in earnings of unconsolidated affiliate, net of taxes		-			-			-				-			-			-			-			-		-			-			-			-			-			(693	)		693			-			-			-
OPPORTUNITY FUND INCOME		709			151			135				14			-			-			2,141			43		2,184			685			9			(143	)		-			594			606			1,200			667			1,647
FEE INCOME
Asset and property management fees and priority distributions 2		-			-			-				-			-			-			-			-		-			-			-			-			-			-			92			92			18			18
Transactional fees		-			-			-				-			-			-			-			-		-			-			-			-			-			-			-			-			-			-
Provision for income taxes		-			-			-				-			-			-			(9	)		-		(9	)		(2	)		-			-			-			223			-			223			44			42
Total Fee Income		-			-			-				-			-			-			(9	)		-		(9	)		(2	)		-			-			-			223			92			315			62			60
PROMOTE, RCP AND OTHER INCOME
Equity in earnings from RCP investments		-			-			-				(66	)		-			(12	)		-			-		-			-			-			387			77			-			-			-			-			65
Promote income - RCP		-			-			-				-			(13	)		-			-			-		-			-			-			-			-			-			-			-			-			(13	)
Promote income - Fund capital transactions		-			-			-				-			-			-			-			-		-			-			-			-			-			-			-			-			-			-
Equity in earnings of unconsolidated properties		-			-			-				-			-			-			-			-		-			-			-			-			-			-			-			-			-			-
Lease termination income		-			-			-				-			-			-			-			-		-			-			-			-			-			-			34			34			7			7
Gain on extinguishment of debt		-			-			-				-			-			-			-			-		-			-			-			-			-			-			-			-			-			-
Gain from bargain purchase		-			-			-				-			-			-			-			-		-			-			-			-			-			-			-			-			-			-
Provision for income taxes (RCP)		(7	)		(1	)		(1	)			-			-			-			-			-		-			-			-			-			-			-			-			-			-			(3	)
Total Promote, RCP and Other Income		(7	)		(1	)		(1	)			(66	)		(13	)		(12	)		-			-		-			-			-			387			77			-			34			34			7			56
GENERAL AND ADMINISTRATIVE		(32	)		(6	)		(6	)			(3	)		(1	)		(1	)		(127	)		-		(127	)		(25	)		-			(26	)		(5	)		(248	)		(11	)		(259	)		(52	)		(95	)
Depreciation and amortization		(309	)		(62	)		(55	)			-			-			-			(3,025	)		-		(3,025	)		(605	)		-			-			-			(1,907	)		(413	)		(2,320	)		(462	)		(1,184	)
FAS 141 amortization		-			-			-				-			-			-			(69	)		-		(69	)		(14	)		-			-			-			(213	)		(308	)		(521	)		(104	)		(118	)
Gain on sale of properties		-			-			-				-			-			-			-			3,918		3,918			-			784			-			-			-			-			-			-			784
Income before noncontrolling interest		361			81			73				(55	)		(14	)		(12	)		(1,089	)		3,961		2,872			39			793			218			72			(1,551	)		-			(1,551	)		118			1,150
Noncontrolling interest - OP		-			-			-				-			-			-			-			-		-			-			-			-			-			-			-			-			-			-
Noncontrolling interests		-			-			-				-			-			-			(33	)		-		(33	)		(7	)		-			-			-			28			-			28			6			(1	)
NET INCOME	$	361		$	81		$	73			$	(55	)	$	(14	)	$	(12	)	$	(1,122	)	$	3,961	$	2,839		$	32		$	793		$	218		$	72		$	(1,523	)	$	-		$	(1,523	)	$	124		$	1,149

Notes:

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 entities pay various fees and promotes to the Company.  As it is the recipient of such fees, the Company does not recognize its pro-rata share of these expenses.

3 The 25% noncontrolling interest in the Kroger/Safeway Portfolio has been deducted from each of the income statement line items.

4 Represents Fund III's pro-rata share of the following unconsolidated investments: White City, White Oak, Lincoln Road. and Self-Storage Management.

- 7 -

Income Statements - Opportunity Funds1

Current Quarter

(in thousands)

	Three months ended March 31, 2011
							Continuing																				Continuing			Discontinued											Pro-rata						AKR			Total
							Operations																				Operations			Operations					AKR						share of						Pro-			AKR
	Fund I			AKR			AKR Pro-						AKR			AKR Pro-			Fund II			Fund II		Fund II			AKR Pro-			AKR Pro-					Pro-						Fund III						rata			Pro-
	Consolidated			Promote			rata share			Mervyns			Promote			rata share			Continuing			Discontinued		Consolidated			rata share			rata share		Mervyns			rata share						unconsolidated			Adjusted			share			rata
	Operations3			20.00%			22.22%			I			20.00%			22.22%			Operations			Operations		Operations			20.00%			20.00%		II			20.00%			Fund III			affiliates4			Fund III			19.90%			share
PROPERTY REVENUES
Minimum rents	$	1,005		$	201		$	180		$	-		$	-		$	-		$	7,118		$	44	$	7,162		$	1,423		$	9	$	-		$	-		$	6,482		$	1,468		$	7,950		$	1,582		$	3,395
Percentage rents		-			-			-			-			-			-			-					-			-			-		-			-			(2	)		2			-			-			-
Expense reimbursements - CAM		72			14			13			-			-			-			867					867			173			-		-			-			269			233			502			100			300
Expense reimbursements - Taxes		(68	)		(14	)		(12	)		-			-			-			496					496			99			-		-			-			733			51			784			156			229
Other property income		-			-			-			-			-			-			76			-		76			15			-		-			-			315			13			328			65			80
Total Property Revenues		1,009			202			180			-			-			-			8,557			44		8,601			1,710			9		-			-			7,797			1,767			9,564			1,903			4,004
PROPERTY EXPENSES
Property operating - CAM		110			22			20			-			-			-			1,237			1		1,238			247			-		-			-			390			222			612			122			411
Other property operating (Non-CAM)		230			46			41			-			-			-			1,416			-		1,416			283			-		-			-			1,747			1,017			2,764			550			920
Real estate taxes		(29	)		(6	)		(5	)		-			-			-			976			-		976			195			-		-			-			1,310			117			1,427			284			468
Total Property Expenses		311			62			55			-			-			-			3,629			1		3,630			725			-		-			-			3,447			1,356			4,803			956			1,799
NET OPERATING INCOME - PROPERTIES		698			140			125			-			-			-			4,928			43		4,971			985			9		-			-			4,350			411			4,761			947			2,205
OTHER INCOME (EXPENSE)
Mezzanine interest income		-			-			-			-			-			-			-					-			-			-		-			-			306			-			306			61			61
Other interest income		-			-			-			-			-			-			-					-			-			-		-			-			-			-			-			-			-
Straight-line rent income, net		97			19			17			-			-			-			1,382					1,382			276			-		-			-			67			62			129			26			339
Straight-line ground rent		-			-			-			-			-			-			(108	)				(108	)		(22	)		-		-			-			-			-			-			-			(22	)
FAS 141 rent, net		-			-			-			-			-			-			(65	)				(65	)		(13	)		-		-			-			(157	)		46			(111	)		(22	)		(35	)
FAS 141 interest expense		-			-			-			-			-			-			-					-			-			-		-			-			-			-			-			-			-
Interest expense		(41	)		(8	)		(7	)		-			-			-			(2,707	)				(2,707	)		(541	)		-		-			-			(1,195	)		(541	)		(1,736	)		(345	)		(901	)
Asset and property management expense2		2			-			-			-			-			-			(1,289	)				(1,289	)		-			-		(143	)		-			(2,084	)		(66	)		(2,150	)		-			-
Promote expense2		(47	)		-			-			14			-			-			-					-			-			-		-			-			-			-			-			-			-
Other income		-			-			-			-			-			-			-					-			-			-		-			-			-			1			1			-			-
Equity in earnings of unconsolidated affiliate, net of taxes		-			-			-						-			-			-					-			-			-		-			-			(693	)		693			-			-			-
OPPORTUNITY FUND INCOME		709			151			135			14			-			-			2,141			43		2,184			685			9		(143	)		-			594			606			1,200			667			1,647
FEE INCOME
Asset and property management fees and
priority distributions		-			-			-			-			-			-			-					-			-			-		-			-			-			92			92			18			18
Transactional fees		-			-			-			-			-			-			-					-			-			-		-			-			-			-			-			-			-
Provision for income taxes		-			-			-			-			-			-			(9	)		-		(9	)		(2	)		-		-			-			223			-			223			44			42
Total Fee Income		-			-			-			-			-			-			(9	)		-		(9	)		(2	)		-		-			-			223			92			315			62			60
PROMOTE, RCP AND OTHER INCOME
Equity in earnings from RCP investments		-			-			-			(66	)		-			(12	)		-					-			-			-		387			77			-			-			-			-			65
Promote income - RCP		-			-			-			-			(13	)		-			-					-			-			-		-			-			-			-			-			-			(13	)
Promote income - Fund capital transactions		-			-			-			-			-			-			-					-			-			-		-			-			-			-			-			-			-
Equity in earnings of unconsolidated properties		-			-			-			-			-			-			-					-			-			-		-			-			-			-			-			-			-
Lease termination income		-			-			-			-			-			-			-					-			-			-		-			-			-			34			34			7			7
Gain on extinguishment of debt		-			-			-			-			-			-			-					-			-			-		-			-			-			-			-			-			-
Gain from bargain purchase		-			-			-			-			-			-			-					-			-			-		-			-			-			-			-			-			-
Provision for income taxes (RCP)		(7	)		(1	)		(1	)		-			-			-			-			-		-			-			-		-			-			-			-			-			-			(3	)
Total Promote, RCP and Other Income		(7	)		(1	)		(1	)		(66	)		(13	)		(12	)		-			-		-			-			-		387			77			-			34			34			7			56
GENERAL AND ADMINISTRATIVE		(32	)		(6	)		(6	)		(3	)		(1	)		(1	)		(127	)				(127	)		(25	)		-		(26	)		(5	)		(248	)		(11	)		(259	)		(52	)		(95	)
																				.
Depreciation and amortization		(309	)		(62	)		(55	)		-			-			-			(3,025	)				(3,025	)		(605	)		-		-			-			(1,907	)		(413	)		(2,320	)		(462	)		(1,184	)
FAS 141 amortization		-			-			-			-			-			-			(69	)				(69	)		(14	)		-		-			-			(213	)		(308	)		(521	)		(104	)		(118	)
Gain on sale of properties		-			-			-			-			-			-			-			3,918		3,918			-			784		-			-			-			-			-			-			784
Income before noncontrolling interest		361			81			73			(55	)		(14	)		(12	)		(1,089	)		3,961		2,872			39			793		218			72			(1,551	)		-			(1,551	)		118			1,150
Noncontrolling interest - OP		-			-			-			-			-			-			-					-			-			-		-			-			-			-			-			-			-
Noncontrolling interests		-			-			-			-			-			-			(33	)		-		(33	)		(7	)		-		-			-			28			-			28			6			(1	)
NET INCOME	$	361		$	81		$	73		$	(55	)	$	(14	)	$	(12	)	$	(1,122	)	$	3,961	$	2,839		$	32		$	793	$	218		$	72		$	(1,523	)	$	-		$	(1,523	)	$	124		$	1,149

Notes:

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 entities pay various fees to and promotes the Company.  As it is the recipient of such fees, the Company does not recognize its pro-rata share of these expenses.

3 The 25% noncontrolling interest in the Kroger/Safeway Portfolio has been deducted from each of the income statement line items.

4 Represents Fund III's pro-rata share of the following unconsolidated investments: White City, White Oak, Lincoln Road. and Self-Storage Management.

- 8 -

Funds from Operations ("FFO") 1

(in thousands)

	2011							2010
	Current				Current			Historic			Historic
	Year-to-Date				Quarter			Year-to-Date			Quarter
	Period ended				3 months ended			Period ended			3 months ended
Funds from operations ("FFO"):	March 31, 2011				March 31, 2011			March 31, 2010			March 31, 2010
Net Income	$	9,423			$	9,423		$	5,130		$	5,130
Add back:
Depreciation of real estate and amortization of leasing costs:
(net of noncontrolling interest share)
Consolidated affiliates		4,458				4,458			4,588			4,588
Unconsolidated affiliates		353				353			358			358
Gain on sale of properties (net of noncontrolling interest share)
Consolidated affiliates		(784	)			(784	)		-			-
Income attributable to noncontrolling interests'
share in Operating Partnership		115				115			86			86
Distributions on Preferred OP Units		5		2		5			5			5
FFO	$	13,570			$	13,570		$	10,167		$	10,167
Adjusted Funds from operations ("AFFO"):
Diluted FFO	$	13,570			$	13,570		$	10,167		$	10,167
Straight line rent, net		(457	)			(457	)		(293	)		(293	)
Straight-line ground rent expense		22				22			22			22
FAS 141 rent, net		138				138			179			179
FAS 141 interest expense		(5	)			(5	)		(5	)		(5	)
Amortization of discount on convertible debt		269				269			255			255
Non real estate depreciation		116				116			142			142
Amortization of finance costs		260				260			329			329
Amortization of cost of management contracts		75				75			74			74
Tenant improvements		(1,237	)			(1,237	)		(1,230	)		(1,230	)
Leasing commissions		(475	)			(475	)		(101	)		(101	)
Capital expenditures		(218	)			(218	)		-			-
Gain from bargain purchase		-				-			-			-
Gain on extinguishment of debt		(1,673	)			(1,673	)		-			-
AFFO	$	10,385			$	10,385		$	9,539		$	9,539
Funds Available for Distribution ("FAD")
AFFO	$	10,385			$	10,385		$	9,539		$	9,539
Scheduled principal repayments		(632	)			(632	)		(519	)		(519	)
FAD	$	9,753			$	9,753		$	9,020		$	9,020
Total weighted average shares and OP Units:
Basic		40,784				40,784			40,581			40,581
Diluted		41,046				41,046			40,776			40,776
FFO per share:
FFO per share - Basic	$	0.33			$	0.33		$	0.25		$	0.25
FFO per share - Diluted	$	0.33			$	0.33		$	0.25		$	0.25
AFFO per share - Basic	$	0.25			$	0.25		$	0.23		$	0.23
AFFO per share - Diluted	$	0.25			$	0.25		$	0.23		$	0.23
FAD per share - Basic	$	0.24			$	0.24		$	0.22		$	0.22
FAD per share - Diluted	$	0.24			$	0.24		$	0.22		$	0.22

Notes:

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.

2 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.

- 9 -

Income Statements - EBITDA

Current Quarter and Year-to-Date

(in thousands)

	Year-to-Date																			Current Quarter
	Period ended March 31, 2011																			Three months ended March 31, 2011
	Core Retail										Opportunity Funds									Core Retail										Opportunity Funds
						Total								`											Total
	Wholly			Joint		Continuing			Discontinued		Continuing			Discontinued			TOTAL			Wholly			Joint		Continuing			Discontinued		Continuing			Discontinued			TOTAL
	Owned			Ventures		Operations			Operations		Operations			Operations						Owned			Ventures		Operations			Operations		Operations			Operations
NET INCOME	$	8,017		$	257	$	8,274		$	-	$	356		$	793		$	9,423		$	8,017		$	257	$	8,274		$	-	$	356		$	793		$	9,423
Add back:
Depreciation and amortization		3,545			365		3,910			-		1,185			-			5,095			3,545			365		3,910			-		1,185			-			5,095
FAS 141 amortization		(33	)		-		(33	)		-		118			-			85			(33	)		-		(33	)		-		118			-			85
Interest expense		3,934			914		4,848			-		901			-			5,749			3,934			914		4,848			-		901			-			5,749
FAS 141 interest expense		(5	)		-		(5	)		-		-			-			(5	)		(5	)		-		(5	)		-		-			-			(5	)
Gain on sale of properties		-			-		-			-					(784	)		(784	)		-			-		-			-		-			(784	)		(784	)
Provision for income taxes		466			1		467			-		(39	)		-			428			466			1		467			-		(39	)		-			428
Gain on extinguishment of debt		(1,673	)		-		(1,673	)		-		-			-			(1,673	)		(1,673	)		-		(1,673	)		-		-			-			(1,673	)
Noncontrolling interest - OP		120			-		120			-		-			-			120			120			-		120			-		-			-			120
Noncontrolling interests		-			-		-			-		1			-			1			-			-		-			-		1			-			1
EBITDA	$	14,371		$	1,537	$	15,908		$	-	$	2,522		$	9		$	18,439		$	14,371		$	1,537	$	15,908		$	-	$	2,522		$	9		$	18,439

- 10 -

Core Portfolio

Net Operating Income (NOI) - Same Property Performance 1

(in thousands)

	Quarter								Year-to-Date
							Growth in Same								Growth in Same
	Three months ended						Property NOI -		Period ended						Property NOI -
							Continuing Operations								Continuing Operations
	March 31, 2011			March 31, 2010			Favorable (unfavorable)		March 31, 2011			March 31, 2010			Favorable (unfavorable)
Reconciliation of total NOI to same property NOI:
NOI - Retail properties	$	11,676		$	11,676				$	11,676		$	11,676
NOI - Discontinued Operations		-			-					-			-
Total NOI		11,676			11,676					11,676			11,676
NOI - Properties in redevelopment		(675	)		(597	)				(675	)		(597	)
NOI - Discontinued Operations		-			-					-			-
Total	$	11,001		$	11,079			-0.7%	$	11,001		$	11,079			-0.7%
Same property NOI by revenues/expenses:
Revenues	$	15,804		$	16,286			-3.0%	$	15,804		$	16,286			-3.0%
Expenses		4,803			5,207			7.8%		4,803			5,207			7.8%
Total Core Portfolio	$	11,001		$	11,079			-0.7%	$	11,001		$	11,079			-0.7%
Notes:

1 The above amounts includes the pro-rata activity related to the Company's consolidated and unconsolidated joint ventures.

- 11 -

Income Statements - Fee income by Opportunity Fund

Current Quarter and Year-to-Date

(in thousands)

	Fund I		Fund II		Fund III		Other		Total
Period ended March 31, 2011
Asset and property management fees and priority distributions	$	108	$	1,054	$	1,658	$	263	$	3,083
Transactional fees		21		1,533		380		384		2,318
Total management fees and priority distributions	$	129	$	2,587	$	2,038	$	647	$	5,401
	Fund I		Fund II		Fund III		Other		Total
Current Quarter ended March 31, 2011
Asset and property management fees and priority distributions	$	108	$	1,054	$	1,658	$	263	$	3,083
Transactional fees		21		1,533		380		384		2,318
Total management fees and priority distributions	$	129	$	2,587	$	2,038	$	647	$	5,401

- 12 -

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				Notes
ASSETS
Real estate
Land	$	226,785		$	(114,919	)	$	11,708		$	123,574			1         The interim consolidated balance sheet is unaudited, although it
Buildings and improvements		930,334			(445,032	)		63,497			548,799			reflect all adjustments, which in the opinion of management,
Construction in progress		2,174			(437	)		-			1,737			are necessary for the fair presentation of the consolidated
		1,159,293			(560,388	)		75,205			674,110			balance sheet for the interim period.
Less: accumulated depreciation		(227,025	)		53,151			(10,065	)		(183,939	)
Net real estate		932,268			(507,237	)		65,140			490,171			2         The Company currently invests in Funds I, II & III and Mervyns I & II
														which are consolidated with the Company's financial statements.
Net real estate under development		240,352			(179,677	)		-			60,675			To provide investors with supplemental information, the Company's
														investments in these joint ventures are reflected above on a
Cash and cash equivalents		107,335			(14,992	)		3,824			96,167			pro-rata basis by calculating its ownership percentage for each
Cash in escrow		25,947			(16,975	)		1,065			10,037			of the above asset and liability line items. Similarly, the above
Investments in and advances to unconsolidated affiliates		70,613			(53,772	)		(13,122	)		3,720			presentation also includes the Company's share of assets and
Rents receivable, net		4,104			(613	)		7			3,498			liabilities for unconsolidated investments which are accounted
Straight-line rents receivable, net		15,801			(7,556	)		1,348			9,593			for under the equity method of accounting for the Company's
Intercompany		-			-			-			-			finanical statements.
Notes Receivable		92,417			(8,422	)		-			83,995
Preferred equity investment		-			-			-			-			3          The components of Net real estate under development are as follows:
Deferred charges, net		25,487			(20,051	)		1,017			6,453			Fund II	$	173,723
Prepaid expenses and other assets		28,986			13,916			(664	)		42,238		4	Fund III		44,532
Acquired lease intangibles		17,731			(9,014	)		758			9,475			Total Opportunity Funds		218,255
Assets of discontinued operations		-			-			-			-			Core Portfolio		22,097
														Total	$	240,352
Total Assets	$	1,561,041		$	(804,393	)	$	59,373		$	816,022
														4          The components of Prepaid expenses and other assets are as follows:
LIABILITIES AND SHAREHOLDERS' EQUITY														Due from Fund Investors	$	24,799
														Accrued interest on Notes   Receivable		8,300
Mortgage notes payable	$	844,045		$	(519,171	)	$	77,425		$	402,300			Prepaid expenses		4,956
Notes payable		48,982			-			-			48,982			Income tax receivables		885
Valuation of debt at acquisition, net of amortization		59			(24	)		-			35			Corporate assets		1,149
Acquired lease intangibles		5,483			(2,420	)		1,441			4,504			Other		2,149
Accounts payable and accrued expenses		24,019			(9,148	)		738			15,609			Total	$	42,238
Dividends and distributions payable		7,505			-			-			7,505
Due to related parties		-			-			-			-
Share of losses in excess of inv. in unconsolidated affiliates		21,040			-			(21,040	)		-
Other liabilities		17,142			(7,498	)		809			10,453
Liabilities of discontinued operations		-			-			-			-
Total liabilities		968,275			(538,261	)		59,373			489,388
Shareholders' equity:
Common shares		40			-			-			40
Additional paid-in capital		303,324			-			-			303,324
Accumulated other comprehensive income		(2,362	)		-			-			(2,362	)
Retained earnings		19,371			-			-			19,371
Total controlling interest		320,373			-			-			320,373
Non-controlling interest in subsidiary		272,393			(266,132	)		-			6,261
Total shareholders' equity		592,766			(266,132	)		-			326,634
Total Liabilities and Shareholders' Equity	$	1,561,041		$	(804,393	)	$	59,373		$	816,022

- 13 -

Notes Receivable 1

(in thousands)

	Balance at
	December 31,				Balance at																Underlying third-party
	2010		First		March 31, 2011						Stated			Effective							first mortgage
			Quarter				Accrued				Interest			Interest			Maturity		Extension
Investment	Principal		Activity		Principal		Interest		Total		Rate			Rate 2			Dates		Options		Amount		Maturity Dates
2008 Investments
Georgetown - 5 property portfolio	$	8,000	$	-	$	8,000	$	174	$	8,174		9.75	%		10.23	%		11/2011	1 year			9,410	2012 and 2020
72nd Street		46,715		285		47,000		6,991		53,991		13.00	%		20.85	%		7/2011	1 year			170,727	2011 w/ 1 year extension
Total 2008 investments		54,715		285		55,000		7,165		62,165		12.53	%		19.31	%
Other Investments
First mortgage and other notes		8,854		-		8,854		561		9,415		13.60	%		13.62	%		2011		-		n/a		n/a
Mezzanine notes		15,132		2,916		18,048		431		18,479		14.29	%		15.07	%	Various			-		272,289	2011 thru 2019
Total other investments		23,986		2,916		26,902		992		27,894		14.06	%		14.59	%
Total  notes receivable	$	78,701	$	3,201	$	81,902	$	8,157	$	90,059		13.03	%		17.76	%

Notes:

1 The above activity does not include a $10,000 Fund III first mortgage investment and other non-real estate loans of $515.

2 Inclusive of points and exit fees.

- 14 -

 2011 Guidance - Highlights

 (in millions except per share amounts, all per share amounts are fully diluted)

	Current
	2011 Guidance	2010 Actual
Overall:
Fully diluted Common Shares and OP Units	41,000	40,876
Full year Funds from Operations ("FFO")  per share	$0.94 to $1.05	$1.23
Earnings per Share ("EPS")	$0.44 to $0.55	$0.74
FFO Components:
Core and pro-rata share of opportunity Fund ("Fund") portfolio income1	$42.5 to $44.0	$48.2
Asset and property management fee income, net of TRS taxes	$11.0 to $11.5	$10.5
Transactional fee income, net of TRS taxes	$6.0 to $7.0	$5.7
Promote, RCP and other income, net of TRS taxes	$2.0 to $3.0	$1.9
Gain on bargain purchase	-	$6.4
General and administrative expense	$(23.0) to $(22.5)	$(22.2)
Total	$38.5 to $43.0	$50.5
1 Includes additional interest on the Company's convertible debt pursuant to
ASC Topic 470-20 "Debt with Conversion and Other Options" as follows:	$1.1	$1.0

- 15 -

Net Asset Valuation Information

 (in thousands)

	CORE		FUND I					FUND II									FUND III
			Fund Level	AKR pro-rata share				Fund Level				AKR Pro-rata Share					Fund Level				AKR pro-rata share
				%			$	Quarterly		Annualized (x4)		%			$		Quarterly		Annualized (x4)		%				$
Current NOI
Operating properties1	$	11,676			--			$	-	$	-		20.00	%	$	-	$	2,034	$	8,136		19.90	%	$	1,619
Operating properties - Unconsolidated Affiliates									-		-							411		1,644					327
Operating properties - Discontinued Operation2									43		172					34
Development Portfolio
Construction complete - Stabilized		-							1,891		7,564					1,513		-		-					-
Construction complete - Pre-stabilized		-							2,900		11,600					2,320		-		-					-
Storage portfolio		-							137		548					110		2,316		9,264					1,844
Total NOI	$	11,676						$	4,971	$	19,884				$	3,977	$	4,761	$	19,044				$	3,790
Cost to Date3
Construction complete (both stabilized and pre-stabilized)										$	398,100				$	79,620			$	-				$	-
Under construction											84,800					16,960				21,300					4,239
In-design											33,600					6,720				22,800					4,537
Storage portfolio											-					-				186,200					37,055
Costs to Complete3
Construction complete (both stabilized and pre-stabilized)										$	23,200				$	4,640			$	-				$	-
Under construction											115,200					23,040				4,300					856
In-design											-					-				-					-
Annual NOI Upon Stabilization (Mid-Point of Range)
Construction complete (both stabilized and pre-stabilized)										$	33,704				$	6,741			$	-				$	-
Storage portfolio											-					-				14,896					2,964
Under construction											16,000					3,200				2,048					408
Debt4	$	316,825	$       8,260							$	323,173				$	61,112			$	362,341				$	59,675
Gross asset value1			44,300
Net Asset Value			$     36,040		37.78	%	$  13,616
Notes:

1It is not recommended to apply a capitalization rate to current Fund I NOI as this NOI declines during 2011 due primarily to the structure of the Kroger/Safeway Portfolio leases.

 Fund I value is based on property appraisals.  Pro-rata share is 20% (AKR promote) + 22% x 80% ( AKR remaining share after promote) = 37.78%.

 Total future promote is approximatly $5,600  ($36,040 x 20% x 77.78%).

2Property was sold during the first quarter for $8.200.

3See detail on pages 25 and 26 of this supplement.

- 16 -

Selected Operating Ratios

(in thousands)

	Three months ended March 31,								Period ended March 31,									Three months ended
																		March 31,
	2011				2010				2011				2010					2011
COVERAGE RATIOS1																	LEVERAGE RATIOS
EBITDA2	$	18,439			$	17,004			$	18,439			$	17,004			Debt4	$	451,282
Divided by Interest expense		5,749				5,947				5,749				5,947			Total Market Capitalization		1,223,541
Interest Coverage Ratio		3.21		x		2.86		x		3.21		x		2.86		x	Debt/Total Market Capitalization		37	%
EBITDA	$	18,439			$	17,004			$	18,439			$	17,004			Debt + Preferred Equity (Preferred O.P. Units)	$	451,756
Divided by ( Interest expense		5,749				5,947				5,749				5,947			Total Market Capitalization		1,223,541
Plus: Preferred Dividends)3		5				5				5				5			Debt+Preferred Equity/Total Market Capitalization		37	%
Fixed Charge Coverage Ratio		3.20		x		2.86		x		3.20		x		2.86		x
																	Debt	$	316,825
EBITDA	$	18,439			$	17,004			$	18,439			$	17,004			EBITDA (Annualized)		63,632
Divided by ( Interest expense		5,749				5,947				5,749				5,947			Debt/EBITDA - Core Portfolio		4.98		x
Plus: Principal Amortization)		632				519				632				519
Debt Service Coverage Ratio		2.89		x		2.63		x		2.89		x		2.63		x	Debt5	$	230,678
																	EBITDA (Annualized)		63,632
Payout Ratios																	Net Debt/EBITDA - Core Portfolio		3.63		x
Dividends (Shares) & Distributions (O.P. Units) paid	$	7,505			$	7,423			$	7,505			$	7,423			Debt	$	451,282
FFO		13,570				10,167				13,570				10,167			EBITDA (Annualized)		73,755
FFO Payout Ratio		55	%			73	%			55	%			73	%		Debt/EBITDA - Core Portfolio and Opportunity Funds		6.12		x
Dividends (Shares) & Distributions (O.P. Units) paid	$	7,505			$	7,423			$	7,505			$	7,423			Debt6	$	355,115
AFFO		10,385				9,539				10,385				9,539			EBITDA (Annualized)		73,755
AFFO Payout Ratio		72	%			78	%			72	%			78	%		Net Debt/EBITDA - Core Portfolio and
																	Opportunity Funds		4.81		x
Dividends (Shares) & Distributions (O.P. Units) paid	$	7,505			$	7,423			$	7,505			$	7,423
FAD		9,753				9,020				9,753				9,020			NOI (Annualized)	$	46,704
FAD Payout Ratio		77	%			82	%			77	%			82	%		Debt		316,825
																	Debt Yield - Core Portfolio		14.7	%
																	NOI (Annualized)	$	46,704
																	Debt5		230,678
																	Net Debt Yield - Core Portfolio		20.2	%
																	NOI (Annualized)	$	55,528
																	Debt		451,282
																	Debt Yield - Core Portfolio and Opportunity Funds		12.3	%
																	NOI (Annualized)	$	55,528
																	Debt6		355,115
																	Net Debt Yield - Core Portfolio and Opportunity Funds		15.6	%
Notes:

1Quarterly results for 2011 and 2010 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 EBITDA, interest expense and principal amortization related to both the Company's  consolidated and unconsolidated investments in joint ventures.

2See page 10 for a calculation of EBITDA.

3Represents preferred distributions on Preferred Operating partnership Units.

4Includes the Company's pro-rata share of consolidated and unconsolidated joint venture debt.

5Reflects debt net of the current Core Portfolio cash balance as of March 31, 2011.

6Reflects debt net of the current Core Portfolio and pro-rata share of the Opportunity Funds  cash balance as of March 31, 2011.

- 17 -

Portfolio Debt - Summary

Reconciliation from Pro-Rata Share of Debt to GAAP Debt per Financial Statement

(in thousands)

	Acadia Pro-Rata Share of Debt 2																			Reconciliation to Consolidated Debt as Reported
																				Add:		Less:			Acadia
	Core Portfolio						Opportunity Funds					Total								Noncontrolling		Pro-rata Share of			Consolidated
	Principal			Interest			Principal		Interest			Principal		Interest			Fixed vs			Interest Share of		Unconsolidated			Debt
Mortgage Notes Payable	Balance			Rate			Balance		Rate			Balance		Rate			Variable			Consolidated Debt 3		Debt 4			As Reported
Fixed-Rate Debt 1	$	351,004			5.6	%	$	30,424		5.7	%	$	381,428		5.6	%		85	%	$	94,826	$	(70,761	)	$	405,493
Variable-Rate Debt 1		(34,179	)		1.6	%		104,032		2.3	%		69,853		3.2	%		15	%		424,345		(6,664	)		487,534
Total	$	316,825			6.1	%	$	134,457		3.4	%	$	451,282		5.3	%		100	%	$	519,171	$	(77,425	)		893,027
FAS 141 purchase price debt allocation																										59
Total debt as reported																									$	893,086
Notes

1 Fixed-rate debt includes notional principal fixed through swap transactions.

2 Represents the Company's pro-rata share of debt based on its percent ownership.

3 Represents the noncontrolling 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.

- 18 -

Debt Analysis

(in thousands)

		Principal Balance at			Acadia's Pro-rata Share						Interest			Maturity	Extension
Property	Entity	March 31, 2011			Percent			Amount			Rate			Date	Options
CORE PORTFOLIO
Fixed-Rate Debt
Acadia Realty Trust7	Acadia	$	48,982			100.0	%	$	48,982			6.03	%	12/20/2011	None
Clark Diversey	Acadia		4,592			100.0	%		4,592			6.35	%	7/1/2014	None
New Loudon Center	Acadia		14,058			100.0	%		14,058			5.64	%	9/6/2014	None
Crossroads Shopping Center	Crossroads JV		61,114			49.0	%		29,945			5.37	%	12/1/2014	None
Crescent Plaza	Acadia		17,474			100.0	%		17,474			4.98	%	9/6/2015	None
Pacesetter Park Shopping Center	Acadia		12,083			100.0	%		12,083			5.12	%	11/6/2015	None
Elmwood Park Shopping Center	Acadia		34,079			100.0	%		34,079			5.53	%	1/1/2016	None
Gateway Shopping Center	Acadia		20,500			100.0	%		20,500			5.44	%	3/1/2016	None
Acadia Brandywine	Brandywine JV		166,200			22.2	%		36,933			5.99	%	7/1/2016	None
Walnut Hill Plaza	Acadia		23,500			100.0	%		23,500			6.06	%	10/1/2016	None
239 Greenwich Avenue	Acadia		26,000			75.0	%		19,500			5.42	%	2/11/2017	None
Merrillville Plaza	Acadia		26,250			100.0	%		26,250			5.88	%	8/1/2017	None
Boonton	Acadia		7,993			60.0	%		4,796			6.40	%	11/1/2032	None
Interest rate swaps1	Acadia		58,312			100.0	%		58,312			5.22	%	Various
Sub-Total Fixed-Rate Debt			521,137						351,004			5.62	%
Variable-Rate Debt
Various2	Acadia		1,000			100.0	%		1,000		Libor + 125			12/1/2011	1 x 12 mos.
Branch Plaza	Acadia		13,870			100.0	%		13,870		Libor + 130			12/1/2011	1 x 12 mos.
Village Commons Shopping Center	Acadia		9,263			100.0	%		9,263		Libor + 140			6/29/2012
Interest rate swaps1	Acadia		(58,312	)		100.0	%		(58,312	)
Sub-Total Variable-Rate Debt			(34,179	)					(34,179	)	Libor + 134
Total Core Portfolio Debt		$	486,958					$	316,825			6.05	%

- 19 -

Debt Analysis (continued)

(in thousands)

		Principal Balance at			Acadia's Pro-rata Share						Interest			Maturity	Extension
Property	Entity	March 31, 2011			Percent			Amount			Rate			Date	Options
OPPORTUNITY FUNDS
Fixed-Rate Debt
Storage Post - Various4	Fund III	$	41,500			18.9	%	$	7,846			5.30	%	6/16/2011	2 x 12 mos.
Lincoln Road9	Fund III		20,535			18.9	%		3,883			6.14	%	8/11/2014	None
CityPoint	Fund II		20,000			18.8	%		3,766			7.25	%	11/1/2014	None
216th Street3	Fund II		25,500			19.8	%		5,054			5.80	%	10/1/2017	None
Atlantic Avenue	Fund II		11,540			13.3	%		1,539			7.34	%	1/1/2020	None
Interest rate swaps1	Funds I, II & III		43,034			19.4	%		8,336			4.83	%	Various
Sub-Total Fixed-Rate Debt			162,109						30,424			5.71	%
Variable-Rate Debt
Liberty Avenue	Fund II		10,000			19.8	%		1,982		Libor + 325			9/1/2011	1 x 12 mos.
Fordham Plaza3	Fund II		85,638			19.8	%		16,973		Libor + 350			10/4/2011	1 x 12 mos.
Acadia Strategic Opportunity Fund III, LLC6	Fund III		210,450			19.9	%		41,880		Libor + 60			10/9/2011	None
Tarrytown Shopping Center	Fund I		8,260			37.8	%		3,121		Libor + 165			10/30/2011	1 x 12 mos.
Canarsie Plaza	Fund II		46,945			15.9	%		7,443		Libor + 400			1/12/2012	1 x 36 mos.
161st Street3	Fund II		28,900			19.8	%		5,728		Libor + 400			4/1/2013	None
CityPoint	Fund II		20,650			18.8	%		3,888		Libor + 250			8/12/2013	2 x 12 mos.
Pelham Manor3	Fund II		34,000			19.8	%		6,739		Libor + 275			12/1/2013	None
Acadia Strategic Opportunity Fund II, LLC5	Fund II		40,000			20.0	%		8,000		Libor + 290			12/22/2014	None
Cortlandt Towne Center	Fund III		50,000			19.9	%		9,950		Libor + 190			10/26/2015	None
White City Shopping Center8	Fund III		39,856			16.7	%		6,664		Libor + 260			12/23/2017	1 x 36 mos.
Interest rate swaps1	Funds I, II & III		(43,034	)		19.4	%		(8,336	)
Sub-Total Variable-Rate Debt			531,665						104,032		Libor + 210
Total Opportunity Funds  Portfolio Debt		$	693,774					$	134,456			3.37	%

- 20 -

Debt Analysis - Notes

(in thousands)

1The Company has hedged a portion of it's variable-rate debt with variable to fixed-rate swap agreements as follows:

	Notional					Average						Maturity
	principal		Spread			Swap rate			All-in Rate			Date
Core Portfolio	$	10,477		1.34	%		4.90	%		6.24	%	10/1/2011
		7,835		1.34	%		5.14	%		6.48	%	3/1/2012
		15,000		1.34	%		3.79	%		5.13	%	11/30/2012
		15,000		1.34	%		3.41	%		4.75	%	11/30/2012
		10,000		1.34	%		2.65	%		3.99	%	11/30/2012
	$	58,312		1.34	%		3.88	%		5.22	%
Opportunity Funds	$	4,130		1.65	%		0.42	%		2.07	%	10/28/2011
		9,000		3.25	%		0.50	%		3.75	%	9/1/2011
		19,928		2.60	%		2.90	%		5.50	%	12/26/2017
		9,976		2.60	%		3.02	%		5.62	%	12/26/2017
	$	43,034		2.64	%		2.19	%		4.83	%
Total Core Portfolio and Opportunity Funds	$	101,346		1.89	%		3.16	%		5.05	%

2This is a revolving facility for up to $64,498 and is collateralized by Bloomfield Town Square, Hobson West Plaza, Marketplace of Absecon,

Abington Towne Center, Methuen Shopping Center and Town Line Plaza.

3Fund II is a 99.1% joint venture partner on this investment. As such, Acadia's pro-rata share of the above debt is 99.1% x 20%, or 19.8%.

4The loan is collateralized by Storage Post locations - Linden, Webster Avenue,  Jersey City, Fordham Road and Lawrence.

5This is a line of credit for up to $40,000.

6This is a line of credit with a capacity of $221,000.

7Convertible note balance pursuant to ASC Topic 470-20. The actual face amount of the convertible notes at March 31, 2011 is $49,775.

 While the interest rate on the convertible notes is 3.75%, the effective fair value interest rate is 6.03%.

8Fund III is an 84.0% joint venture partner on this investment. As such, Acadia's pro-rata share of the above debt is 84.0% x 19.9%, or 16.7%.

9Fund III is a 95.0% joint venture partner on this investment. As such, Acadia's pro-rata share of the above debt is 95.0% x 19.9%, or 18.9%.

- 21 -

Future Debt Maturities - Not Including Extension Options
(in thousands)
Core Portfolio
	Total Debt Maturities							Acadia's Pro-rata Share							Weighted Average Interest Rate of Maturing Debt
	Scheduled							Scheduled
Year	Amortization		Maturities		Total			Amortization		Maturities		Total			Total Debt			Fixed-Rate Debt			Variable-Rate Debt
2011	$	2,130	$	64,480	$	66,610		$	1,711	$	64,480	$	66,191			3.25	%		3.75	%		1.54	%
2012		2,997		9,052		12,049			2,406		9,052		11,458			1.64	%		n/a			1.64	%
2013		3,296		-		3,296			2,666		-		2,666			n/a			n/a			n/a
2014		3,311		74,405		77,716			2,645		45,280		47,925			5.47	%		5.47	%		n/a
2015		1,856		27,363		29,219			1,774		27,363		29,137			5.04	%		5.04	%		n/a
Thereafter		7,326		291,535		298,861			4,737		155,504		160,241			5.85	%		5.85	%		n/a
Total	$	20,916	$	466,835	$	487,751		$	15,939	$	301,679	$	317,618
Less: additional convertible notes balance						(793	)						(793	)
Balance per Portfolio Debt Detail					$	486,958						$	316,825
Opportunity Funds
	Total Debt Maturities							Acadia's Pro-rata Share							Weighted Average Interest Rate of Maturing Debt
	Scheduled							Scheduled
Year	Amortization		Maturities		Total			Amortization		Maturities		Total			Total Debt			Fixed-Rate Debt			Variable-Rate Debt
2011	$	829	$	355,294	$	356,123		$	162	$	71,692	$	71,854			2.46	%		5.30	%		2.08	%
2012		569		46,945		47,514			110		7,443		7,553			6.50	%		6.00	%		6.50	%
2013		717		98,071		98,788			138		19,260		19,398			3.92	%		n/a			3.92	%
2014		272		64,180		64,452			51		12,393		12,444			5.32	%		6.71	%		3.14	%
2015		49		50,000		50,049			7		9,950		9,957			2.14	%		n/a			2.14	%
Thereafter		250		76,598		76,848			33		13,217		13,250			4.49	%		6.27	%		2.84	%
Total	$	2,686	$	691,088	$	693,774		$	501	$	133,955	$	134,456

Notes:

1Includes additional convertible notes balance of $793 maturing in 2011.

-22-

Future Debt Maturities - Including Extension Options
(in thousands)
Core Portfolio
	Total Debt Maturities									Acadia's Pro-rata Share							Weighted Average Interest Rate of Maturing Debt
	Scheduled									Scheduled
Year	Amortization		Maturities		Total					Amortization		Maturities		Total			Total Debt			Fixed-Rate Debt			Variable-Rate Debt
2011	$	2,150	$	49,775	$	51,925				$	1,731	$	49,775	$	51,506			3.75	%		3.75	%		n/a
2012		3,224		23,510		26,734					2,633		23,510		26,143			1.58	%		n/a			1.58	%
2013		3,296		-		3,296					2,666		-		2,666			n/a			n/a			n/a
2014		3,311		74,405		77,716					2,645		45,280		47,925			5.47	%		5.47	%		n/a
2015		1,856		27,363		29,219					1,774		27,363		29,137			5.04	%		5.04	%		n/a
Thereafter		7,326		291,535		298,861					4,737		155,504		160,241			5.85	%		5.85	%		n/a
Total	$	21,163	$	466,588	$	487,751				$	16,186	$	301,432	$	317,618
Less: additional convertible notes balance						(793	)	1							(793	)
Balance per Portfolio Debt Detail					$	486,958			��					$	316,825
Opportunity Funds
	Total Debt Maturities									Acadia's Pro-rata Share							Weighted Average Interest Rate of Maturing Debt
	Scheduled									Scheduled
Year	Amortization		Maturities		Total					Amortization		Maturities		Total			Total Debt			Fixed-Rate Debt			Variable-Rate Debt
2011	$	1,111	$	261,950	$	263,061				$	218	$	51,708	$	51,926			1.65	%		5.30	%		0.96	%
2012		1,437		92,194		93,631					282		19,756		20,038			4.72	%		6.00	%		4.72	%
2013		717		77,421		78,138					138		15,372		15,510			4.24	%		n/a			4.24	%
2014		272		64,180		64,452					51		12,393		12,444			5.32	%		6.71	%		3.14	%
2015		49		117,595		117,644					7		21,281		21,288			3.99	%		n/a			3.99	%
Thereafter		250		76,598		76,848					33		13,217		13,250			4.49	%		6.27	%		2.84	%
Total	$	3,836	$	689,938	$	693,774				$	729	$	133,727	$	134,456

Notes:

1Includes additional convertible notes balance of $793 maturing in 2011.

-23-

Overview of Acadia Strategic Opportunity Funds
Item	FUND I	FUND II	FUND III
Date formed	September 2001	June 2004	May 2007
Capital commitment	$90 million	$300 million	$503 million
Funding	Fully funded	$265.2 million funded through March 31, 2011	$96.5 million funded through March 31, 2011
Partnership structure
Equity Contribution:	22.22% - Acadia	20% - Acadia	20% - Acadia
	77.78% - Four institutional investors	80% - Six institutional investors	80% - 14 institutional investors
Cash flow distribution:	22.22% - Acadia	20% - Acadia	20% - Acadia
	77.78% - Four institutional investors	80% - Six institutional investors	80% - 14 institutional investors
Promote:	20% to Acadia once all partners (including	20% to Acadia once all partners (including	20% to Acadia once all partners (including
	Acadia) have received 9% preferred return and	Acadia) have received 8% preferred return and	Acadia) have received 6% preferred return and
	return of equity	return of equity	return of equity
	Remaining 80% is distributed to all the partners	Remaining 80% is distributed to all the partners	Remaining 80% is distributed to all the partners
	(including Acadia).	(including Acadia).	(including Acadia).
	All original capital and accumulated preference	All unfunded capital is anticipated to be used to	The Fund is currently in acquisition phase through
	has been paid. Acadia is entitled to a Promote	complete existing projects	June 2012.
	on all future distributions.
Fees to Acadia	Priority distribution fee equal to 1.5% of implied	Asset management fee equal to 1.5% of total	Asset management fee equal to 1.5% of total
	capital	committed capital	committed capital
	Priority distribution fee equal to 4% of gross	Property management fee equal to 4% of gross	Property management fee equal to 4% of gross
	property revenues	property revenues	property revenues
	Market rate leasing fees	Market rate leasing fees	Market rate leasing fees
	Market rate construction/project management fees	Market rate construction/project management fees	Market rate construction/project management fees
			Development fee equal to 3% of total project cost

-24-

Opportunity Fund Properties - Detail
		Ownership			Gross Leasable Area						Occupancy									Annualized Base Rent
	Anchors	%			Anchors		Shops		Total		Anchors			Shops			Total			Anchors		Shops		Total		Anchors		Shops		Per Sq. Ft.
Fund I Portfolio Detail:
MIDWEST
Ohio
Granville Centre	Lifestyle Family Fitness, Inc.		100	%		90,047		44,950		134,997		38.81	%		28.92	%		35.52	%	$	450,336	$	142,686	$	593,022		12.88		10.98	$	12.37
NEW YORK
New York
Tarrytown Shopping Center	Walgreen's		100	%		15,497		19,482		34,979		100.00	%		73.14	%		85.04	%		475,000		433,034		908,034		30.65		30.39		30.53
VARIOUS
Kroger/Safeway Portfolio (18 Properties)	Kroger/Safeway		75	%		709,978		4,798		714,776		90.14	%		100.00	%		90.21	%		3,169,795		75,390		3,245,185		4.95		15.71		5.03
Grand Total - Fund I						815,522		69,230		884,752		84.66	%		46.29	%		81.66	%	$	4,095,131	$	651,110	$	4,746,241	$	5.93	$	20.32		6.57
Fund II Portfolio Detail
NEW YORK
New York
Pelham Manor Shopping Plaza	BJ's Wholesale Club, PetSmart, Storage Post		99.1	%		169,512		59,009		228,521		100.00	%		51.04	%		87.36	%		4,287,282		1,114,050		5,401,332		25.29		36.99		27.06
Fordham Place	Walgreens, Best Buy, 24 Hour Fitness, Sears		99.1	%		74,899		44,547		119,446		100.00	%		100.00	%		100.00	%		2,873,228		2,646,532		5,519,760		38.36		59.41		46.21
Liberty Avenue	CVS, Storage Post		99.1	%		10,880		15,245		26,125		100.00	%		70.73	%		82.92	%		394,944		337,812		732,756		36.30		31.33		33.83
Canarsie	BJ's Wholesale Club, Planet Fitness, PetSmart		79.3	%		177,135		101,602		278,737		100.00	%		0.00	%		63.55	%		5,100,000		-		5,100,000		28.79		-		28.79
216th Street	NYC Human Resources Administration		99.1	%		60,000		-		60,000		100.00	%		0.00	%		100.00	%		2,340,000		120,000		2,460,000		39.00		-		41.00
161st Street1	Various New York City & State agencies		99.1	%		128,690		101,528		230,218		100.00	%		60.47	%		82.57	%		3,127,173		1,257,651		4,384,824		24.30		20.48		23.07
Total  - New York						621,116		321,931		943,047		100.00	%		45.61	%		81.43	%		18,122,627		5,476,045		23,598,672		29.18		37.29		30.73
Grand Total - Fund II						621,116		321,931		943,047		100.00	%		45.61	%		81.43	%	$	18,122,627	$	5,476,045	$	23,598,672	$	29.18	$	37.29		30.73
Fund III Portfolio Detail
																								��
NEW YORK
New York
Cortlandt Towne Center	Wal-Mart, Best Buy, A&P		100.0	%		472,901		168,369		641,270		91.50	%		91.32	%		91.45	%	$	5,846,672	$	3,475,563	$	9,322,235	$	13.51	$	22.60		15.90
NEW ENGLAND
Massachusetts
White City Shopping Center	Shaw's (Supervalue), Michaels		84.0	%		131,618		123,581		255,199		100.00	%		79.09	%		89.88	%		1,914,804		2,838,660		4,753,464	$	14.55	$	29.04		20.72
MID-ATLANTIC
Maryland
White Oak	Super Fresh (A&P)		90.0	%		64,626		-		64,626		100.00	%		-			100.00	%		874,416		-		874,416	$	13.53	$	-		13.53
SOUTHEAST
Florida
Lincoln Road			95.0	%		-		61,443		61,443		-			64.54	%		64.54	%		-		3,193,142		3,193,142	$	-	$	80.52	$	80.52
Grand Total - Fund III						669,145		353,393		1,022,538		93.99	%		82.39	%		89.98	%	$	8,635,892	$	9,507,365	$	18,143,257	$	13.73	$	32.65		19.72

Notes:

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 and Fund III properties are currently undergoing redevelopment or are in the design phase as further detailed under Redevelopment Projects.

Property	Ownership %
Sherman Avenue		99.1	%
CityPoint		94.2	%
Sheepshead Bay		100.0	%
125 Main Street, Westport, CT.		100.0	%

1Currently operating, but redevelopment activities have commenced.

-25-

Opportunity Funds Lease Expirations
	No. of Leases		Gross Leased Area					Annual Base Rent
FUND I:	Expiring		Square Footage		Percent of Total			Amount		Percent of Total			Avg. per Sq. Ft.
Anchor Tenants
2014		14		548,078		79.38	%	$	2,743,795		67.00	%	$	5.01
2017		1		34,951		5.06	%		450,336		11.00	%		12.88
2019		2		91,900		13.31	%		426,000		10.40	%		4.64
2080		1		15,497		2.24	%		475,000		11.60	%		30.65
Total		18		690,426		100.00	%	$	4,095,131		100.00	%	$	5.93
Total Vacant				125,096
Total Square Feet				815,522
Shop Tenants
Month to Month		2		7,200		20.24	%	$	56,522		8.68	%	$	7.85
2011		1		5,477		15.40	%		27,370		4.20	%		5.00
2012		2		2,920		8.21	%		64,002		9.83	%		21.92
2014		3		4,871		13.69	%		132,715		20.38	%		27.25
2015		3		3,024		8.50	%		38,100		5.85	%		12.60
2018		1		1,761		4.95	%		54,996		8.45	%		31.23
2019		1		1,904		5.35	%		30,000		4.61	%		15.76
2020		3		8,411		23.65	%		247,405		38.00	%		29.41
Total		16		35,568		100.00	%	$	651,110		100.00	%	$	18.31
Total Vacant				33,662
Total Square Feet				69,230
Total Anchor and Shop Tenants
Month to Month		2		7,200		0.99	%	$	56,522		1.19	%	$	7.85
2011		15		553,555		76.26	%		2,771,165		58.38	%		5.01
2012		2		2,920		0.40	%		64,002		1.35	%		21.92
2014		3		4,871		0.67	%		132,715		2.80	%		27.25
2015		3		3,024		0.42	%		38,100		0.80	%		12.60
2017		1		34,951		4.81	%		450,336		9.49	%		12.88
2018		1		1,761		0.24	%		54,996		1.16	%		31.23
2019		3		93,804		12.92	%		456,000		9.61	%		4.86
2020		3		8,411		1.16	%		247,405		5.21	%		29.41
2080		1		15,497		2.13	%		475,000		10.01	%		30.65
Total		34		725,994		100.00	%	$	4,746,241		100.00	%	$	6.54
Total Vacant				158,758
Total Square Feet				884,752

-26-

Opportunity Funds Lease Expirations

	No. of Leases		Gross Leased Area					Annual Base Rent
FUND II:	Expiring		Square Footage		Percent of Total			Amount		Percent of Total			Avg. per Sq. Ft.
Anchor Tenants
2011		1		128,690		20.72	%	$	3,127,173		17.26	%	$	24.30
2013		1		20,149		3.24	%		564,172		3.11	%		28.00
2019		1		39,705		6.39	%		1,747,020		9.64	%		44.00
2021		1		19,958		3.21	%		423,110		2.33	%		21.20
2023		1		35,194		5.67	%		1,126,208		6.21	%		32.00
2027		1		60,000		9.66	%		2,340,000		12.91	%		39.00
2030		1		177,135		28.52	%		5,100,000		28.14	%		28.79
2032		1		10,880		1.75	%		394,944		2.18	%		36.30
2033		1		129,405		20.83	%		3,300,000		18.21	%		25.50
Total		9		621,116		100.00	%	$	18,122,627		100.00	%	$	29.18
Total Vacant				-
Total Square Feet				621,116
Shop Tenants
Month to Month		1		9,967		6.79	%	$	99,670		1.82	%	$	10.00
2011		3		24,065		16.39	%		584,774		10.68	%		24.30
2012		3		27,365		18.63	%		573,208		10.47	%		20.95
2014		1		5,081		3.46	%		193,078		3.53	%		38.00
2016		1		2,000		1.36	%		86,000		1.57	%		43.00
2018		2		9,600		6.54	%		417,600		7.63	%		43.50
2019		4		9,318		6.35	%		515,177		9.41	%		55.29
2020		2		10,309		7.02	%		286,183		5.23	%		27.76
2021		1		1,513		1.03	%		51,442		0.94	%		34.00
2022		1		-		0.00	%		120,000		2.19	%		-
2023		1		31,417		21.39	%		1,131,012		20.65	%		36.00
2027		1		6,208		4.23	%		217,901		3.98	%		35.10
2048		1		10,000		6.81	%		1,200,000		21.91	%		120.00
Total		22		146,843		100.00	%	$	5,476,045		100.00	%	$	37.29
Total Vacant				175,088
Total Square Feet				321,931
Total Anchor and Shop Tenants
Month to Month		1		9,967		1.30	%	$	99,670		0.42	%	$	10.00
2011		4		152,755		19.90	%		3,711,947		15.74	%		24.30
2012		3		27,365		3.56	%		573,208		2.43	%		20.95
2013		1		20,149		2.62	%		564,172		2.39	%		28.00
2014		1		5,081		0.66	%		193,078		0.82	%		38.00
2016		1		2,000		0.26	%		86,000		0.36	%		43.00
2018		2		9,600		1.25	%		417,600		1.77	%		43.50
2019		5		49,023		6.38	%		2,262,197		9.59	%		46.15
2020		2		10,309		1.34	%		286,183		1.21	%		27.76
2021		2		21,471		2.80	%		474,552		2.01	%		22.10
2022		1		-		0.00	%		120,000		0.51	%		-
2023		2		66,611		8.67	%		2,257,220		9.57	%		33.89
2027		2		66,208		8.62	%		2,557,901		10.84	%		38.63
2030		1		177,135		23.07	%		5,100,000		21.61	%		1.00
2032		1		10,880		1.42	%		394,944		1.67	%		36.30
2033		1		129,405		16.85	%		3,300,000		13.98	%		25.50
2048		1		10,000		1.30	%		1,200,000		5.09	%		120.00
Total		31		767,959		100.00	%	$	23,598,672		100.00	%	$	30.73
Total Vacant				175,088
Total Square Feet				943,047

-27-

Opportunity Funds Lease Expirations

	No. of Leases		Gross Leased Area					Annual Base Rent
FUND III:	Expiring		Square Footage		Percent of Total			Amount		Percent of Total			Avg. per Sq. Ft.
Anchor Tenants
2012		1		19,079		3.03	%		276,564		3.20	%		14.50
2013		2		48,855		7.76	%		877,689		10.16	%		17.97
2014		2		56,379		8.96	%		908,695		10.52	%		16.12
2015		2		29,849		4.74	%		489,840		5.67	%		16.41
2016		1		19,050		3.03	%		295,284		3.42	%		15.50
2017		2		52,131		8.28	%		927,312		10.74	%		17.79
2018		3		238,707		37.93	%		2,562,678		29.67	%		10.74
2021		2		100,227		15.93	%		1,257,383		14.56	%		12.55
2022		1		65,028		10.33	%		1,040,447		12.05	%		16.00
Total		16		629,305		100.00	%	$	8,635,892		100.00	%	$	13.72
Total Vacant				39,840
Total Square Feet				669,145
Shop Tenants
Month to Month		1		2,609		0.91	%		179,976		1.89	%		68.98
2011		6		13,492		4.72	%		669,718		7.04	%		49.64
2012		13		45,214		15.81	%		1,274,804		13.41	%		28.19
2013		12		55,616		19.45	%		1,761,693		18.53	%		31.68
2014		13		54,313		19.00	%		1,519,321		15.98	%		27.97
2015		8		19,126		6.69	%		487,426		5.13	%		25.48
2016		9		29,230		10.22	%		903,451		9.50	%		30.91
2017		4		18,507		6.47	%		878,386		9.24	%		47.46
2018		2		7,637		2.67	%		151,020		1.59	%		19.77
2019		4		18,435		6.45	%		1,129,146		11.88	%		61.25
2020		3		6,175		2.16	%		136,719		1.44	%		22.14
2021		3		12,057		4.22	%		335,065		3.52	%		27.79
2026		1		3,500		1.22	%		80,640		0.85	%		23.04
Total		79		285,911		100.00	%	$	9,507,365		100.00	%	$	33.25
Total Vacant				67,482
Total Square Feet				353,393
Total Anchor and Shop Tenants
Month to Month		1		2,609		0.29	%		179,976		0.99	%		68.98
2011		6		13,492		1.47	%		669,718		3.69	%		49.64
2012		14		64,293		7.02	%		1,551,368		8.55	%		24.13
2013		14		104,471		11.41	%		2,639,382		14.55	%		25.26
2014		15		110,692		12.09	%		2,428,016		13.38	%		21.93
2015		10		48,975		5.35	%		977,266		5.39	%		19.95
2016		10		48,280		5.28	%		1,198,735		6.61	%		24.83
2017		6		70,638		7.72	%		1,805,698		9.95	%		25.56
2018		5		246,344		26.92	%		2,713,698		14.96	%		11.02
2019		4		18,435		2.01	%		1,129,146		6.22	%		61.25
2020		3		6,175		0.67	%		136,719		0.75	%		22.14
2021		5		112,284		12.27	%		1,592,448		8.78	%		14.18
2022		1		65,028		7.11	%		1,040,447		5.73	%		16.00
2026		1		3,500		0.38	%		80,640		0.44	%		23.04
Total		95		915,216		100.00	%	$	18,143,257		100.00	%	$	19.82
Total Vacant				107,322
Total Square Feet				1,022,538

-28-

Urban/Street Retail Developments - Operating Properties
($ in millions)
								Acquisition & Development Costs
										Estimated		Estimated		Outstanding
Property	Location	Sq. Ft.		Leased (%)1			Anchors/Tenants	Incurred		Future		Total		Debt
FUND II
				100% Retail			Walgreens, Best Buy, 24 Hour Fitness, Sears	$	124.6	$	8.5	$	133.1	$	85.6
Fordham Place	Bronx		260,000	32% Office
Pelham Manor Shopping Plaza2	Westchester		320,000		91	%	BJ's Wholesale Club, PetSmart, Storage Post		62.9		1.9		64.8		34.0
216th Street	Manhattan		60,000		100	%	NYC Human Resources Administration		27.7		-		27.7		25.5
Liberty Avenue2	Queens		125,000		100	%	CVS, Storage Post		15.5		0.1		15.6		10.0
161st Street3	Bronx		230,000		93	%	Various New York City and State Agencies		62.4		4.3		66.7		28.9
Atlantic Avenue	Brooklyn		110,000		n/a		Storage Post		22.2		0.2		22.4		11.5
Canarsie Plaza4	Brooklyn		275,000		92	%	BJ's Wholesale Club, Planet Fitness, PetSmart		82.8		8.2		91.0		46.9
					93% Retail
TOTAL			1,380,000		74% Office			$	398.1	$	23.2	$	421.3	$	242.4

Notes:

1 Excludes the self-storage facilities at Pelham Manor Shopping Plaza, Liberty Avenue and Atlantic Avenue.

2 Acquired a ground lease interest in this property.

3 In the process of re-tenanting this property.

4 Incurred cost is net of lease termination income from Home Depot.

5 Reconciliation of total incurred development costs to the Balance Sheet:

By Balance Sheet Line Item:
Operating Real Estate	$	400.1
Net Real Estate Under Development		218.2
Gain From Bargain Purchase		(33.8	)
Home Depot Lease Termination Income		(23.9	)
Total Incurred Development Costs	$	560.6
By Project Status:
Operating Properties	$	398.1
Under Construction		106.1
In Design		56.4
Total Incurred Development Costs	$	560.6

-29-

Urban/Street Retail Developments - Construction & Design
($ in millions)
							Acquisition & Development Costs
		Estimated							Estimated		Estimated		Outstanding
Property	Location	Completion	Sq. Ft.	Leased (%)		Anchors/Tenants	Incurred		Future		Total		Debt
FUND II
Under Construction
City Point1	Brooklyn	TBD	550,000		-	TBD	$	84.8	$	115.2	$	200.0	$	40.7
In Design
Sherman Plaza	Manhattan	TBD	TBD		-	TBD	$	33.6	TBD		TBD		$	-
FUND III
Under Construction
125 Main Street	Westport, CT	2nd half 2011	26,000		84%	Gap, Brooks Brothers Women	$	21.3	$	4.3	$	25.6	$	-
In Design
Sheepshead Bay	Brooklyn	TBD	TBD		-	TBD	$	22.8	TBD		TBD		$	-

Notes:
	Acquired a ground lease interest in this property. The first 50,000 square feet of the project (Phase 1) is under construction.
	Construction on the next 500,000 square feet (Phase 2) is anticipated to start during 2012.

- 30 -

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 have invested approximately $62 million in equity. ***
Item	Description
Date formed	August 2004
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)

RCP Venture - Investments
The following table summarizes the RCP Venture investments from inception through March 31, 2011
		Years	Invested				Equity
Investor	Investment	acquired	capital		Distributions		Multiple
Mervyns I and Mervyns II	Mervyns	2004 through	$	32,575	$	47,669	1.5	x
		2007
Mervyns II	Albertson’s	2006 through		23,129		78,732	3.4	x
		2007
Fund II and Mervyns II	Other investments1	2006 through		6,476		5,134	0.8	x
		2008
Total			$	62,180	$	131,535	2.1	x
Notes:
1Represents investments in Shopko, Marsh and Rex.

- 31 -

Storage Portfolio Property Detail
					Occupancy
OWNER	Operating Properties	Location	Net Rentable Square Feet		March 31, 2011			December 31, 2010			September 30, 2010			June 30, 2010			March 31, 2010
	Stabilized
Fund III	Suffern	Suffern, New York		78,950
Fund III	Yonkers	Westchester, New York		100,697
Fund III	Jersey City	Jersey City, New Jersey		76,920
Fund III	Webster Ave	Bronx, New York		36,329
Fund III	Linden	Linden, New Jersey		84,035
Fund III	Bruckner Blvd	Bronx, New York		89,473
Fund III	New Rochelle	Westchester, New York		42,155
Fund III	Lawrence	Lawrence, New York		97,743
	Subtotal Stabilized			606,302		88.2	%		87.5	%		86.3	%		85.2	%		82.4	%
	Repositioned - in Lease-up
Fund III	Long Island City	Queens, New York		135,150
	Subtotal in lease-up			135,150		77.2	%		75.3	%		72.1	%		70.0	%		65.5	%
	In initial Lease-up
Fund II	Liberty Avenue	Queens, New York		72,925
Fund II	Pelham Plaza	Pelham Manor, New York		62,020
Fund II	Atlantic Avenue	Brooklyn, New York		76,934
Fund III	Fordham Road	Bronx, New York		85,155
Fund III	Ridgewood	Queens, New York		88,054
	Subtotal in initial lease-up			385,088		71.1	%		66.1	%		62.7	%		57.0	%		50.3	%
	Total			1,126,540		81.0	%		78.7	%		76.5	%		73.8	%		69.4	%

- 32 -

Core Portfolio Retail Properties - Detail
		Acadia's	Gross Leaseable Area			Occupancy			Annualized Base Rent
Property	Anchors	interest	Anchors	Shops	Total	Anchors	Shops	Total	Anchors	Shops	Total	Anchors	Shops	Per Sq. Ft.
NEW YORK
Connecticut
239 Greenwich Avenue1		75.0%	-	16,834	16,834	-	100.00%	100.00%	$                      -	$      1,554,663	$      1,554,663	$             -	$      92.35	$       92.35
New Jersey
Elmwood Park Shopping Center	Walgreens, Pathmark (A&P)	100.0%	62,610	86,881	149,491	100.00%	85.94%	91.83%	1,486,006	1,915,742	3,401,748	23.73	25.66	24.78
A & P Shopping Plaza	A&P	60.0%	49,463	13,445	62,908	100.00%	53.55%	90.07%	950,000	216,305	1,166,305	19.21	30.04	20.58
Total - New Jersey			112,073	100,326	212,399	100.00%	81.59%	91.31%	2,436,006	2,132,047	4,568,053	21.74	26.04	23.55
New York
Village Commons Shopping Center	-	100.0%	-	87,330	87,330	-	77.06%	77.06%	-	2,132,905	2,132,905	-	31.69	31.69
Branch Plaza	A&P, CVS	100.0%	74,050	51,662	125,712	100.00%	89.35%	95.62%	1,264,448	1,300,201	2,564,649	17.08	28.17	21.33
Amboy Center	King Kullen	100.0%	37,266	22,824	60,090	100.00%	100.00%	100.00%	745,320	865,751	1,611,071	20.00	37.93	26.81
Bartow Avenue	-	100.0%	-	14,676	14,676	-	89.49%	89.49%	-	439,246	439,246	-	33.43	33.43
Pacesetter Park Shopping Center	Stop & Shop	100.0%	52,052	44,328	96,380	100.00%	79.92%	90.76%	405,346	707,210	1,112,556	7.79	19.96	12.72
LA Fitness	LA Fitness	100.0%	55,000	-	55,000	100.00%	-	100.00%	1,265,000	-	1,265,000	23.00	-	23.00
West 54th Street	-	100.0%	-	9,693	9,693	-	100.00%	100.00%	-	2,575,043	2,575,043	-	265.66	265.66
East 17th Street	Barnes & Noble	100.0%	19,622	-	19,622	100.00%	-	100.00%	625,000	-	625,000	31.85	-	31.85
Crossroads Shopping Center	Kmart, A&P	49.0%	201,296	108,191	309,487	100.00%	82.12%	93.75%	2,197,853	3,908,025	6,105,878	10.92	43.99	21.04
Total - New York			439,286	338,704	777,990	100.00%	83.67%	92.89%	6,502,967	11,928,381	18,431,348	14.80	42.09	25.50
Total New York			551,359	455,864	1,007,223	100.00%	83.81%	92.67%	$    8,938,973	$  15,615,091	$  24,554,064	$      16.21	$     40.87	$      26.31
NEW ENGLAND
Connecticut
Town Line Plaza2	Wal-Mart, Stop & Shop	100.0%	163,159	43,187	206,346	100.00%	90.60%	98.03%	$          969,144	$          663,687	$      1,632,831	$       14.72	$      16.96	$       15.55
Massachusetts
Methuen Shopping Center	Wal-Mart, Market Basket	100.0%	120,004	10,017	130,021	100.00%	100.00%	100.00%	736,464	222,225	958,689	6.14	22.18	7.37
Crescent Plaza	Home Depot, Shaw's (Supervalu)	100.0%	156,985	61,156	218,141	100.00%	69.14%	91.35%	1,178,872	432,907	1,611,779	7.51	10.24	8.09
Total - Massachusetts			276,989	71,173	348,162	100.00%	73.48%	94.58%	1,915,336	655,132	2,570,468	6.91	12.53	7.81
New York
New Loudon Center	Marshalls, Price Chopper,	100.0%	251,058	4,615	255,673	100.00%	100.00%	100.00%	1,828,706	130,418	1,959,124	7.28	28.26	7.66
	Raymour & Flanigan
Rhode Island
Walnut Hill Plaza	Sears, Shaw's (Supervalu), CVS	100.0%	196,710	88,007	284,717	100.00%	79.14%	93.55%	1,463,854	904,739	2,368,593	7.44	12.99	8.89
Vermont
The Gateway Shopping Center	Shaw's (Supervalu)	100.0%	73,184	28,600	101,784	100.00%	59.44%	88.60%	1,353,904	389,389	1,743,293	18.50	22.91	19.33
Total New England			961,100	235,582	1,196,682	100.00%	77.55%	95.58%	$    7,530,944	$    2,743,365	$  10,274,309	$        8.72	$     15.02	$        9.82

Notes:

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.

- 33 -

Core Portfolio Retail Properties - Detail (continued)
		Acadia's	Gross Leaseable Area			Occupancy			Annualized Base Rent
Property	Anchors	interest	Anchors	Shops	Total	Anchors	Shops	Total	Anchors	Shops	Total	Anchors	Shops	Per Sq. Ft.
MIDWEST
Illinois
Hobson West Plaza	Garden Fresh Markets	100.0%	51,692	47,434	99,126	100.00%	83.36%	92.04%	$          225,436	$          861,743	1,087,179	$         4.36	$      21.79	11.92
Clark Diversey	-	100.0%	-	19,265	19,265	-	87.28%	87.28%	-	751,901	751,901	-	44.72	44.72
Total - Illinois			51,692	66,699	118,391	100.00%	84.49%	91.26%	225,436	1,613,644	1,839,080	4.36	28.63	17.02
Indiana
Merrillville Plaza	JC Penney, Office Max,	100.0%	123,369	112,535	235,904	100.00%	77.83%	89.42%	1,251,160	1,472,414	2,723,574	10.14	16.81	12.91
	TJ Maxx, K&G Superstore
Michigan
Bloomfield Towne Square	Best Buy, Home Goods,	100.0%	172,436	63,149	235,585	100.00%	90.73%	97.52%	1,675,715	1,226,044	2,901,759	9.72	21.40	12.63
	TJ Maxx, Marshalls, Officemax
Ohio
Mad River Station1	Babies 'R' Us, Office Depot,	100.0%	58,185	67,799	125,984	100.00%	77.02%	87.63%	552,195	847,453	1,399,648	9.49	16.23	12.68
Total Midwest			405,682	310,182	715,864	100.00%	81.71%	92.07%	$    3,704,506	$    5,159,555	$    8,864,061	$        9.13	$     20.36	$      13.45
MID-ATLANTIC
New Jersey
Marketplace of Absecon	Rite Aid, Dollar Tree	100.0%	47,915	56,803	104,718	56.74%	84.17%	71.62%	$          476,121	$          686,533	$      1,162,654	$       17.51	$      14.36	$       15.50
Delaware
Brandywine Town Center	Lowes, Bed Bath & Beyond,	22.2%	831,207	43,782	874,989	95.24%	70.85%	94.02%	12,255,683	599,868	12,855,551	15.48	19.34	15.63
	Target, Dicks Sporting Goods
Market Square Shopping Center	TJ Maxx, Trader Joe's	22.2%	42,850	59,197	102,047	100.00%	100.00%	100.00%	703,062	1,781,295	2,484,357	16.41	30.09	24.35
Naamans Road	-	22.2%	-	19,970	19,970	0.00%	54.94%	54.94%	-	558,340	558,340	-	50.89	50.89
Total - Delaware			874,057	122,949	997,006	95.48%	82.30%	93.85%	12,958,745	2,939,503	15,898,248	15.53	29.05	16.99
Pennsylvania
Mark Plaza	Kmart, Redner's Market	100.0%	157,595	58,806	216,401	100.00%	48.60%	86.03%	652,095	177,827	829,922	4.14	6.22	4.46
Plaza 422	Home Depot, Dunham's	100.0%	139,968	16,311	156,279	100.00%	100.00%	100.00%	643,503	152,349	795,852	4.60	9.34	5.09
Route 6 Plaza	Kmart, Rite Aid	100.0%	146,498	29,021	175,519	100.00%	100.00%	100.00%	806,351	367,014	1,173,365	5.50	12.65	6.69
Chestnut Hill2		100.0%	-	40,570	40,570	0.00%	22.55%	22.55%	-	325,483	325,483	-	35.57	35.57
Abington Towne Center3	Target, TJ Maxx	100.0%	184,616	31,753	216,369	100.00%	94.75%	99.23%	283,500	826,106	1,109,606	10.50	27.46	19.44
Total - Pennsylvania			628,677	176,461	805,138	100.00%	64.12%	92.14%	2,385,449	1,848,779	4,234,228	5.06	16.34	7.25
Total Mid-Atlantic			1,550,649	356,213	1,906,862	96.11%	73.59%	91.91%	$  15,820,315	$    5,474,815	$  21,295,130	$      11.87	$     20.88	$      13.35
TOTAL CORE PROPERTIES			3,468,790	1,357,841	4,826,631	98.26%	79.56%	93.00%	$  35,994,738	$  28,992,826	$  64,987,564	$      11.41	$     26.84	$      15.35
TOTAL CORE PROPERTIES - weighted based on ownership interest4			2,666,502	1,197,447	3,863,950	98.89%	79.27%	92.81%	$  24,414,521	$  24,238,200	$  48,652,721	$        9.26	$     25.53	$      13.57
Notes:
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.
1The GLA for this property excludes 29,857 square feet of office space.
2This consists of two separate buildings.
3Anchor 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.
4Weighted based on Acadia's ownership interest in the properties.

- 34 -

Core Portfolio Retail Properties by State - Summary
				Gross Leasable Area			Occupancy			Annualized Base Rent
	Ownership	Percent of	Number of
State	%	base rent1	properties	Anchors 2	Shops	Total	Anchors	Shops	Total	Anchors	Shops	Total
Connecticut	75.0%	5.8%	2	163,159	60,021	223,180	100.00%	93.24%	98.18%	$         969,144	$      2,218,350	$      3,187,494
Delaware	22.2%	7.0%	3	874,057	122,949	997,006	95.48%	82.30%	93.85%	12,958,745	2,939,503	15,898,248
Illinois	100.0%	3.8%	2	51,692	66,699	118,391	100.00%	84.49%	91.26%	225,436	1,613,644	1,839,080
Indiana	100.0%	5.6%	1	123,369	112,535	235,904	100.00%	77.83%	89.42%	1,251,160	1,472,414	2,723,574
Massachusetts	100.0%	5.3%	2	276,989	71,173	348,162	100.00%	73.48%	94.58%	1,915,336	655,132	2,570,468
Michigan	100.0%	6.0%	1	172,436	63,149	235,585	100.00%	90.73%	97.52%	1,675,715	1,226,044	2,901,759
New Jersey	89.8%	10.8%	3	159,988	157,129	317,117	87.04%	82.53%	84.81%	2,912,127	2,818,580	5,730,707
New York	83.1%	35.7%	10	690,344	343,319	1,033,663	100.00%	83.89%	94.65%	8,331,673	12,058,799	20,390,472
Ohio	100.0%	2.9%	1	58,185	67,799	125,984	100.00%	77.02%	87.63%	552,195	847,453	1,399,648
Pennsylvania	100.0%	8.8%	5	628,677	176,461	805,138	100.00%	64.12%	92.14%	2,385,449	1,848,779	4,234,228
Rhode Island	100.0%	4.9%	1	196,710	88,007	284,717	100.00%	79.14%	93.55%	1,463,854	904,739	2,368,593
Vermont	100.0%	3.6%	1	73,184	28,600	101,784	100.00%	59.44%	88.60%	1,353,904	389,389	1,743,293
Total - Core Portfolio		100.0%	32	3,468,790	1,357,841	4,826,631	98.26%	79.56%	93.00%	$ 35,994,738	$ 28,992,826	$ 64,987,564
Notes:
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.
1The 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.
2Anchor 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.

- 35 -

Core Portfolio Top Tenants - Ranked by Annual Base Rent (ABR)
		Gross						ProRata
	Number of stores	Wholly Owned		Joint Ventures1		Combined		Combined		Percentage of Total
Tenant	in combined portfolio	GLA	Base Rent	GLA	Base Rent	GLA	Base Rent	GLA	Base Rent	Percentage of   Portfolio GLA	Base Rent
A&P	4	160,236	$   3,014,066	38,208	$      504,000	198,444	$   3,518,066	159,173	$   2,881,026	3.6%	5.5%
-- A&P	3	112,463	1,963,060	38,208	504,000	150,671	2,467,060	111,400	1,830,020	2.5%	3.5%
-- Pathmark	1	47,773	1,051,006	-	-	47,773	1,051,006	47,773	1,051,006	1.1%	2.0%
Supervalu (Shaws)	3	175,801	2,420,980	-	-	175,801	2,420,980	175,801	2,420,980	4.0%	4.6%
TJX Companies	9	230,627	1,870,119	56,108	951,655	286,735	2,821,774	249,771	2,168,649	5.7%	4.2%
-- T.J. Maxx	4	88,200	773,100	31,175	428,062	119,375	1,201,162	95,127	854,715	2.2%	1.6%
-- Marshalls	3	102,781	750,116	-	-	102,781	750,116	102,781	750,116	2.3%	1.4%
-- Homegoods	2	39,646	346,903	24,933	523,593	64,579	870,496	51,863	563,818	1.2%	1.1%
Wal-Mart	2	210,114	1,515,409	-	-	210,114	1,515,409	210,114	1,515,409	4.8%	2.9%
Sears	4	285,314	1,150,615	100,725	566,250	386,039	1,716,865	334,669	1,428,078	7.6%	2.7%
-- Kmart	3	224,614	892,615	100,725	566,250	325,339	1,458,865	273,969	1,170,078	6.3%	2.2%
-- Sears	1	60,700	258,000	-	-	60,700	258,000	60,700	258,000	1.4%	0.5%
Ahold (Stop and Shop)	2	117,911	1,374,490	-	-	117,911	1,374,490	117,911	1,363,237	2.7%	2.6%
Home Depot	2	211,003	1,099,996	-	-	211,003	1,099,996	211,003	1,099,996	4.8%	2.1%
Barnes & Noble	3	32,122	849,000	6,091	194,902	38,213	1,043,902	38,213	1,043,902	0.9%	2.0%
Sleepy's	4	32,619	789,858	-	-	32,619	789,858	32,619	789,858	0.7%	1.5%
Pier 1 Imports	3	19,255	437,304	8,818	348,576	28,073	785,880	23,576	589,819	0.5%	1.1%
JP Morgan Chase Bank	3	5,922	155,464	3,745	325,000	9,667	480,464	16,270	558,145	0.4%	1.1%
Payless Shoesource	8	26,236	517,871	3,090	114,330	29,326	632,201	27,750	541,893	0.6%	1.0%
CVS	3	34,300	563,823	-	-	34,300	563,823	34,300	540,818	0.8%	1.0%
The Avenue	4	17,236	342,869	8,250	327,360	25,486	670,229	21,279	503,275	0.5%	1.0%
Drexel Heritage	2	13,315	332,875	21,827	471,245	35,142	804,120	18,165	437,586	0.4%	0.8%
OfficeMax	2	47,657	428,913	-	-	47,657	428,913	47,657	428,913	1.1%	0.8%
Dollar Tree	5	45,387	433,872	-	-	45,387	433,872	45,387	428,872	1.0%	0.8%
Citibank	3	5,486	263,328	8,470	438,539	13,956	701,867	8,283	417,306	0.2%	0.8%
Hallmark Cards	4	22,022	372,898	-	-	22,022	372,898	22,022	372,898	0.5%	0.7%
Coldwell Banker	2	14,012	310,273	-	-	14,012	310,273	14,012	326,958	0.3%	0.6%
Dots	4	17,698	292,128	-	-	17,698	292,128	17,698	297,358	0.4%	0.6%
TOTAL	76	1,724,273	$ 18,536,151	255,332	$   4,241,857	1,979,605	$ 22,778,008	1,825,673	$ 20,154,976	41.7%	38.7%

Notes:                             

1Represents Brandywine and Crossroads joint ventures.

- 36 -

Core Portfolio Lease Expirations
			Gross Leased Area					Annual Base Rent
	No. of Leases		Square		Percent					Percent			Avg. Per
	Expiring		Footage		of Total			Amount		of Total			Sq. Ft.
Anchor Tenants
2011		4		93,348		2.96	%		1,561,800		4.34	%		16.73
2012		8		371,624		11.78	%		3,128,854		8.69	%		8.42
2013		10		405,666		12.86	%		5,301,582		14.73	%		13.07
2014		6		239,665		7.60	%		1,767,942		4.91	%		7.38
2015		7		292,217		9.27	%		4,036,052		11.21	%		13.81
2016		6		173,422		5.50	%		1,761,403		4.89	%		10.16
2017		4		159,389		5.05	%		2,661,119		7.39	%		16.70
2018		5		383,288		12.15	%		4,212,248		11.70	%		10.99
2019		6		136,521		4.33	%		1,074,661		2.99	%		7.87
2020		5		233,350		7.40	%		2,309,505		6.42	%		9.90
2021		4		217,271		6.89	%		1,483,120		4.12	%		6.83
2022		2		69,837		2.21	%		1,700,000		4.72	%		24.34
2024		3		188,506		5.98	%		3,273,048		9.09	%		17.36
2028		4		189,509		6.01	%		1,723,404		4.79	%		9.09
Total		74		3,153,613		100.00	%	$	35,994,738		100.00	%	$	11.41

Anchor GLA Owned by Tenants	254,916
Total Vacant	60,261
Total Square Feet	3,468,790

Shop Tenants
M to M	2	2,753	0.25	%		99,782	0.34	%		36.24
2011	35	134,614	12.43	%		2,948,270	10.17	%		21.90
2012	48	145,188	13.41	%		3,569,757	12.31	%		24.59
2013	56	166,697	15.39	%		5,000,071	17.25	%		29.99
2014	53	206,839	19.10	%		6,038,916	20.83	%		29.20
2015	33	162,032	14.96	%		2,739,264	9.45	%		16.91
2016	15	75,310	6.96	%		1,796,005	6.19	%		23.85
2017	14	42,683	3.94	%		1,973,841	6.81	%		46.24
2018	21	46,953	4.34	%		1,795,443	6.19	%		38.24
2019	13	28,067	2.59	%		783,117	2.70	%		27.90
2020	11	23,587	2.18	%		659,915	2.28	%		27.98
2021	3	7,826	0.72	%		215,956	0.74	%		27.59
2022	4	20,055	1.85	%		530,643	1.83	%		26.46
2023	2	7,362	0.68	%		129,298	0.45	%		17.56
2025	1	3,120	0.29	%		29,048	0.10	%		9.31
2027	1	5,975	0.55	%		358,500	1.24	%		60.00
2030	1	3,745	0.35	%		325,000	1.12	%		86.78
Total	313	1,082,806	100.00	%	$	28,992,826	100.00	%	$	26.78

Total Vacant	275,035
Total Square Feet	1,357,841

-37-

Core Portfolio Lease Expirations

			Gross Leased Area					Annual Base Rent
	No. of Leases		Square		Percent					Percent			Avg. Per
	Expiring		Footage		of Total			Amount		of Total			Sq. Ft.
Total Anchor and
Shop Tenants
M to M		2		2,753		0.06	%		99,782		0.15	%		36.24
2011		39		227,962		5.38	%		4,510,070		6.94	%		19.78
2012		56		516,812		12.20	%		6,698,611		10.31	%		12.96
2013		66		572,363		13.51	%		10,301,653		15.85	%		18.00
2014		59		446,504		10.54	%		7,806,858		12.01	%		17.48
2015		40		454,249		10.72	%		6,775,316		10.43	%		14.92
2016		21		248,732		5.87	%		3,557,408		5.47	%		14.30
2017		18		202,072		4.77	%		4,634,960		7.13	%		22.94
2018		26		430,241		10.16	%		6,007,691		9.24	%		13.96
2019		19		164,588		3.89	%		1,857,778		2.86	%		11.29
2020		16		256,937		6.06	%		2,969,420		4.57	%		11.56
2021		7		225,097		5.31	%		1,699,076		2.61	%		7.55
2022		6		89,892		2.12	%		2,230,643		3.43	%		24.81
2023		2		7,362		0.17	%		129,298		0.20	%		17.56
2024		3		188,506		4.45	%		3,273,048		5.04	%		17.36
2025		1		3,120					29,048
2027		1		5,975		0.14	%		358,500		0.55	%		60.00
2028		4		189,509		4.47	%		1,723,404		2.65	%		9.09
2030		1		3,745		0.09	%		325,000		0.50	%		86.78
Total		387		4,236,419		100.00	%		64,987,564		100.00	%		15.34

Anchor GLA Owned by Tenants	254,916
Total Vacant	335,296
Total Square Feet	4,826,631

- 38 -

Core Portfolio - New and Renewal Rent Spreads 1
Based on Lease Execution Dates
	Year to date						3 months ended
	March 31, 2011						March 31, 2011
	Cash2			GAAP3			Cash2			GAAP3
New leases
Number of new leases commencing		10			10			10			10
GLA		96,273			96,273			96,273			96,273
New base rent	$	14.80		$	14.95		$	14.80		$	14.95
Previous base rent (and percentage rent)	$	15.10		$	14.74		$	15.10		$	14.74
Percentage growth in base rent		-2.0	%		1.4	%		-2.0	%		1.4	%
Average cost per square foot	$	67.48		$	67.48		$	67.48		$	67.48
Weighted Average Lease Term (years)		7.8			7.8			7.8			7.8
Renewal leases
Number of renewal leases commencing		6			6			6			6
GLA		29,600			29,600			29,600			29,600
New base rent	$	14.72		$	14.84		$	14.72		$	14.84
Expiring base rent (and percentage rent)	$	15.71		$	15.40		$	15.71		$	15.40
Percentage growth in base rent		-6.3	%		-3.6	%		-6.3	%		-3.6	%
Average cost per square foot	$	0.51		$	0.51		$	0.51		$	0.51
Weighted Average Lease Term (years)		6.0			6.0			6.0			6.0
Total new and renewal Leases
Number of new and renewal leases commencing		16			16			16			16
GLA commencing		125,873			125,873			125,873			125,873
New base rent	$	14.78		$	14.92		$	14.78		$	14.92
Expiring base rent (and percentage rent)	$	15.24		$	14.90		$	15.24		$	14.90
Percentage growth in base rent		-3.0	%		0.2	%		-3.0	%		0.2	%
Average cost per square foot	$	51.73		$	51.73		$	51.73		$	51.73
Weighted Average Lease Term (years)		7.4			7.4			7.4			7.4

Notes:                              

1Does not include leased square footage and costs related to first generation space and the Company's major redevelopment

     projects; renewal leases include exercised options.

2Rents 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.

3Rents are calculated on a straight-line basis.

- 39 -

Core Portfolio Capital Expenditures
Current Quarter and Year-to-Date
	Year-to-Date		Current Quarter
	Period ended March 31, 2011		3 months ended March 31, 2011		Prior Year ended December 31, 2010
Leasing Commissions	$	475	$	475	$	671
Tenant Improvements		1,237		1,237		3,855
Capital Expenditures		218		218		146
Redevelopments		-		-		-
Total	$	1,930	$	1,930	$	4,672

- 40 -

Property Demographics - Core
							3-Mile Radius2				5-Mile Radius2
				Trade Area	Base	Total	Total	#	Median HH	Avg. HH	Total	#	Median HH	Avg. HH
Classification	Property	City	State	(Miles)	Rent	GLA	Pop.	HH	Income	Income	Pop.	HH	Income	Income
Core	Brandywine/Mkt Sq./Naamans Rd.	Wilmington	DE	3	15,898,248	997,006	110,839	45,584	$   63,729	$   68,575	188,535	76,355	$   72,069	$   74,895
Core	Elmwood Park Shopping Center	Elmwood Park	NJ	3	3,401,748	149,491	248,932	81,257	60,826	69,326	586,661	200,354	67,746	78,008
Core	Chestnut Hill	Philadelphia	PA	3	325,483	40,570	147,322	60,592	63,508	79,148	396,137	159,190	61,052	77,569
Core	Abington Towne Center	Abington	PA	3	1,109,606	216,369	88,887	35,153	78,175	97,812	296,425	117,842	69,750	84,152
Core	Clark & Diversey	Chicago	IL	1	751,901	19,265	80,058	47,674	74,864	107,610	133,868	78,221	80,762	114,242
Core	Hobson West Plaza	Naperville	IL	3	1,087,179	99,126	95,896	34,156	109,898	113,927	236,016	84,332	108,127	112,720
Core	Methuen Shopping Center	Methuen	MA	5	958,689	130,021	91,440	33,166	48,242	56,292	194,882	72,424	55,911	64,367
Core	Crossroads Shopping Center	White Plains	NY	3	6,105,878	309,487	107,610	40,014	99,898	116,168	213,143	77,239	117,243	135,295
Core	The Branch Plaza	Smithtown	NY	3	2,564,649	125,712	64,812	21,738	103,946	126,961	191,293	61,590	94,383	113,936
Core	Amboy Road	Staten Island	NY	3	1,611,071	60,090	97,141	33,846	82,727	86,666	162,143	57,055	79,869	84,373
Core	Village Commons Shopping Center	Smithtown	NY	3	2,132,905	87,330	63,231	21,079	102,376	124,093	173,029	56,356	98,040	119,322
Core	Bloomfield Town Square	Bloomfield Hills	MI	5	2,901,759	235,585	58,074	22,758	88,141	102,572	157,331	61,379	95,034	105,404
Core	Crescent Plaza	Brockton	MA	3	1,611,779	218,141	96,005	32,593	53,420	62,806	161,182	55,405	59,665	68,969
Core	239 Greenwich Avenue	Greenwich	CT	5	1,554,663	16,834	64,308	23,814	125,719	162,508	135,320	48,542	122,962	156,902
Core	Town Line Plaza	Rocky Hill	CT	3	1,632,831	206,346	45,422	18,687	75,874	82,339	150,566	58,641	66,002	73,788
Core	New Loudon Center	Latham	NY	5	1,959,124	255,673	42,239	16,004	63,599	76,258	151,343	61,547	55,150	67,252
Core	Pacesetter Park Shopping Center	Pomona	NY	3	1,112,556	96,380	19,646	6,760	101,782	120,862	99,896	29,978	87,372	107,422
Core	LA Fitness, Staten Island	Staten Island	NY	3	1,265,000	55,000	35,839	12,953	67,765	72,134	128,706	44,479	74,225	77,867
Core	West 54th Street	Manhattan	NY	1	2,575,043	9,693	42,128	25,011	91,410	155,737	160,333	90,051	93,753	164,270
Core	East 17th Street	Manhattan	NY	1	625,000	19,622	70,157	39,495	92,939	175,048	261,569	143,187	79,749	138,454
Core	Mad River Station	Dayton	OH	5	1,399,648	125,984	57,875	25,349	66,903	70,623	154,785	55,374	69,503	74,465
Core	Mark Plaza	Edwardsville	PA	5	829,922	216,401	87,545	37,108	37,075	46,254	121,815	50,915	39,826	49,730
Core	Bartow Avenue	The Bronx	NY	2	439,246	14,676	273,331	99,165	49,510	59,160	575,057	206,470	47,306	57,042
Core	Walnut Hill Plaza	Woonsocket	RI	5	2,368,593	284,717	58,072	22,079	50,251	59,544	91,962	35,206	58,299	69,645
Core	A & P Shopping Plaza	Boonton	NJ	5	1,166,305	62,908	46,107	17,845	104,048	129,404	99,937	37,448	101,964	122,465
Core	Merrillville Plaza	Hobart	IN	5	2,723,574	235,904	28,125	11,745	59,051	57,903	79,178	30,967	55,914	56,106
Core	The Gateway Shopping Center	So. Burlington	VT	3	1,743,293	101,784	49,599	20,331	51,135	64,086	74,461	30,538	54,695	67,272
Core	Marketplace of Absecon	Absecon	NJ	3	1,162,654	104,718	28,925	10,533	59,908	74,572	69,370	23,899	59,194	72,233
Core	Plaza 422	Lebanon	PA	3	795,852	156,279	44,076	18,114	42,329	44,905	63,493	25,552	47,678	49,724
Core	Route 6 Plaza	Honesdale	PA	5	1,173,365	175,519	7,948	3,467	36,983	47,590	12,024	5,030	39,415	49,983
Total Core 1
Weighted Average - Based on GLA							72,080	27,362	$    67,168	$    78,204	165,404	62,159	$    68,248	$    78,813
Weighted Average - Based on base rent							79,665	30,212	$    74,871	$    90,425	185,761	70,252	$    76,450	$    91,658

Notes:

1 Calculations have been pro-rated based on the Company's ownership % in joint ventures.

2 West 54th Street & East 17th Street reflect .5 and 1 mile radius figures; Clark & Diversey reflects 1 and 1.5 mile radius figures;

  LA Fitness and Bartow reflect 2 aned 3 mile radius figures.

- 41 -

Property Demographics - Funds
							3-Mile Radius2				5-Mile Radius2
				Trade Area	Base	Total	Total	#	Median HH	Avg. HH	Total	#	Median HH	Avg. HH
Classification	Property	City	State	(Miles)	Rent	GLA	Pop.	HH	Income	Income	Pop.	HH	Income	Income
Fund I	Granville Center	Columbus	OH	3	593,022	134,997	111,765	47,215	55,123	56,507	270,244	110,564	61,798	64,113
Fund I	Tarrytown Shopping Center	Tarrytown	NY	2	908,034	34,979	22,110	8,246	86,276	112,075	35,192	12,933	89,621	116,661
Fund II	400 East Fordham Road	The Bronx	NY	2	5,519,760	119,446	649,998	214,775	33,106	43,969	1,214,522	401,588	35,202	47,217
Fund II	Pelham Manor Shopping Plaza	Westchester	NY	3	5,401,332	228,521	401,439	145,255	57,360	68,075	532,763	168,549	35,031	49,370
Fund II	Canarsie	Brooklyn	NY	1	5,100,000	278,737	111,699	36,850	47,249	56,580	1,222,610	400,044	53,590	64,781
Fund II	161st Street	The Bronx	NY	1	4,384,824	230,218	199,667	64,948	23,956	35,877	734,022	236,490	25,864	39,464
Fund II	Liberty Avenue	Queens	NY	1	732,756	26,125	91,638	28,967	53,392	62,024	338,406	102,483	50,598	60,663
Fund II	216th Street	Manhattan	NY	1	2,460,000	60,000	160,656	54,093	38,123	51,821	948,832	311,867	35,661	48,955
Fund III	Cortlandt Towne Center	Mohegan Lake	NY	3	9,322,235	641,270	36,790	11,992	98,885	106,063	89,641	30,347	90,138	100,808
Fund III	White City	Shrewsbury	MA	3	4,753,464	255,199	94,955	38,180	49,759	62,004	211,652	80,653	54,993	68,709
Fund III	White Oak	Silver Spring	MD	3	874,416	64,626	92,060	34,141	80,124	97,014	256,978	88,658	78,604	94,563
Fund III	Lincoln Road	Miami Beach	FL	3	3,193,142	61,443	60,730	35,165	44,469	73,128	213,203	100,137	40,684	60,999
Fund I 1
Weighted Average - Based on GLA							93,323	39,199	$ 61,531	$ 67,937	221,893	90,481	$ 67,521	$ 74,922
Weighted Average - Based on base rent							57,541	23,646	$ 73,964	$ 90,115	128,084	51,516	$ 78,625	$ 95,894
Fund II - Urban In-Fill 1
Weighted Average - Based on GLA							284,223	96,908	$ 41,473	$ 52,312	872,752	283,543	$ 37,850	$ 50,696
Weighted Average - Based on base rent							334,277	113,326	$ 40,895	$ 51,887	902,338	294,063	$ 37,227	$ 50,032
Fund III 1
Weighted Average - Based on GLA							54,358	20,482	$ 83,665	$ 93,831	133,971	49,117	$ 78,730	$ 90,967
Weighted Average - Based on base rent							57,118	23,213	$ 76,944	$ 89,552	147,628	57,101	$ 72,665	$ 85,995
Total - Core and Funds1
Weighted Average - Based on GLA							76,523	28,869	$ 66,920	$ 77,859	180,643	67,019	$ 67,834	$ 78,438
Weighted Average - Based on base rent							89,401	33,409	$ 73,500	$ 88,775	214,024	79,031	$ 74,704	$ 89,773

Notes:

1 Does not include the Kroger/Safeway Portfolio.  Calculations have been pro-rated based on the Company's ownership % in the joint venture.

2 Canarsie Plaza, 161st Street and Liberty Avenue reflect 1 and 2 mile radius figures, 216th St. reflects 1 and 3 mile radius figures and

  Fordham Road reflects 2 aned 3 mile radius figures.

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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.

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