Acadia Realty Trust (AKR) 8-K Acadia Realty Trust Reports Third Quarter 2012 Operating Results

Exhibit 99.2

REPORTING SUPPLEMENT

ACADIA REALTY TRUST

Table of Contents
Third Quarter 2012
Section I - Financial Information		Section II - Opportunity Fund Information
Company Information	3	Opportunity Fund Overview	23
Total Market Capitalization	4	Opportunity Fund Properties	24
Operating Statements		Opportunity Fund Lease Expirations	25
Pro-rata Consolidation	5	Redevelopment Projects - Operating	28
Opportunity Funds	6	Redevelopment Projects - Construction and Design	29
Funds from Operations ("FFO"), Adjusted FFO ("AFFO")		RCP Venture Investments	30
and Funds Available for Distribution ("FAD")	8	Storage Portfolio	31
EBITDA	9
Same Property Net Operating Income	10
Fee Income	11	Section III - Core Portfolio Information
Balance Sheet - Pro-rata Consolidation	12
Notes Receivable	13	Core Properties	32
Other Information		Core Portfolio by State	34
2012 Guidance	14	Core Top Tenants	35
Net Asset Valuation	15	Core Lease Expirations	36
Selected Financial Ratios	16	Core New and Renewal Rent Spreads	38
Debt Analysis		Core Capital Expenditures	39
Summary	17	Portfolio Demographics	40
Detail	18	Important Notes	42
Maturities with Extension Options	21
Maturities	22

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 acquisition, 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 Chicago. Acadia owns, or has an ownership interest in, these properties through its core portfolio and its 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 Financial Officer
	www.acadiarealty.com	(914) 288-8142
		jgrisham@acadiarealty.com
Analyst Coverage
	Bank of America / Merrill Lynch	Cowen and Company	KeyBanc Capital Markets, Inc.
	Craig Schmidt - (646) 855-3640	Michael Gorman - (646) 562-1381	Todd Thomas - (917) 368-2286
	craig.schmidt@baml.com	michael.gorman@cowen.com	tthomas@keybanccm.com
	Bank of Montreal	Green Street Advisors	RBC Capital Markets
	Paul Adornato, CFA - (212) 885-4170	Cedrik LaChance - (949) 640-8780	Rich Moore, CFA - (440) 715-2646
	paul.adornato@bmo.com	clachance@greenst.com	rich.moore@rbccm.com
	Citigroup - Global Markets	J.P. Morgan Securities, Inc.	UBS
	Quentin Velleley, CFA - (212) 816-6981	Michael W. Mueller, CFA - (212) 622-6689	Christy McElroy - (203) 719-7831
	quentin.velleley@citi.com	michael.w.mueller@jpmorgan.com	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%		47,139
Common Operating Partnership ("OP") Units	1.3%		615
Combined Common Shares and OP Units			47,754
Share Price at September 30, 2012		$	24.82
Equity Capitalization - Common Shares and OP Units		$	1,185,254
Preferred OP Units			622		2
Total Equity Capitalization			1,185,876				72%		75%
Debt Capitalization
Consolidated debt			872,671
Adjustment to reflect pro-rata share of debt			(412,007	)
Total Debt Capitalization			460,664				28%		25%
Total Market Capitalization		$	1,646,540				100%		100%
Weighted Average Outstanding Common Shares and OP Units
(in thousands)
		September 30, 2012						September 30, 2011
		Year-to-date				Quarter		Year-to-date		Quarter
Weighted average Common Shares - Basic EPS			44,447				46,338		40,330	40,340
Dilutive potential Common Shares			424				435		292	289
Weighted average Common Shares - Diluted EPS			44,871				46,773		40,622	40,629
OP Units			617				612		477	493
Dilutive potential OP Units			-				-		-	25
Weighted average Common Shares and OP Units - Diluted FFO			45,488				47,385		41,099	41,147

Notes:

1Reflects debt net of Core Portfolio and pro-rata share of Opportunity Funds cash balance ("Net Debt"). Cash balance as of September 30, 2012 was $66,562

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
(in thousands)
	Year-to-date ended September 30, 2012																		Three months ended September 30, 2012
	Core Retail									Opportunity Funds						Total			Core Retail									Opportunity Funds						Total
							Total																		Total
	Wholly			Joint			Continuing			Continuing			Discontinued						Wholly			Joint			Continuing			Continuing			Discontinued
	Owned			Ventures 2			Operations			Operations			Operations						Owned			Ventures 2			Operations			Operations			Operations
CORE PORTFOLIO AND OPPORTUNITY FUND INCOME
PROPERTY REVENUES
Minimum rents	$	38,453		$	5,150		$	43,603		$	11,488		$	357		$	55,448		$	13,762		$	1,712		$	15,474		$	3,969		$	37		$	19,480
Percentage rents		329			58			387			29			-			416			58			-			58			3			-			61
Expense reimbursements - CAM		2,872			493			3,365			955			24			4,344			1,003			139			1,142			292			-			1,434
Expense reimbursements - Taxes		5,867			815			6,682			1,195			103			7,980			2,193			287			2,480			363			6			2,849
Other property income		46			23			69			520			-			589			20			11			31			161			-			192
Total Property Revenues		47,567			6,539			54,106			14,186			485			68,777			17,036			2,149			19,185			4,788			43			24,016
PROPERTY EXPENSES
Property operating - CAM		3,810			641			4,451			1,186			29			5,666			1,310			203			1,513			408			2			1,923
Other property operating (Non-CAM)		2,079			230			2,309			2,245			25			4,579			904			109			1,013			915			5			1,933
Real estate taxes		7,364			965			8,329			1,939			73			10,341			2,811			317			3,128			669			7			3,804
Total Property Expenses		13,253			1,836			15,089			5,369			128			20,586			5,025			629			5,654			1,992			14			7,660
NET OPERATING INCOME - PROPERTIES		34,314			4,703			39,017			8,817			357			48,191			12,011			1,520			13,531			2,796			29			16,356
OTHER INCOME (EXPENSE)
Mezzanine interest income		4,547			-			4,547			355			-			4,902			1,401			-			1,401			116			-			1,517
Other interest income		159			-			159			6			-			165			83			-			83			4			-			87
Straight-line rent income, net		1,162			37			1,199			898			23			2,120			387			(4	)		383			331			3			717
Straight-line ground rent expense		-			-			-			(63	)		-			(63	)		-			-			-			(20	)		-			(20	)
ASC 805 rent, net		581			105			686			261			-			947			191			35			226			173			-			399
ASC 805 interest expense		(71	)		-			(71	)		48			-			(23	)		(32	)		-			(32	)		16			-			(16	)
Interest expense		(10,600	)		(3,207	)		(13,807	)		(3,024	)		(87	)		(16,918	)		(3,887	)		(1,046	)		(4,933	)		(1,012	)		(9	)		(5,954	)
Amortization of finance costs		(229	)		-			(229	)		(420	)		-			(649	)		(115	)		-			(115	)		(155	)		-			(270	)
Asset and property management expense		(105	)		(37	)		(142	)		(308	)		(3	)		(453	)		(79	)		(18	)		(97	)		-			-			(97	)
Other income		404			-			404			15			-			419			80			-			80			1			-			81
Acquisition costs		(1,194	)		-			(1,194	)		(385	)		-			(1,579	)		(424	)		-			(424	)		(103	)		-			(527	)
CORE PORTFOLIO AND OPPORTUNITY FUND INCOME		28,968			1,601			30,569			6,200			290			37,059			9,616			487			10,103			2,147			23			12,273
FEE INCOME
Asset and property management fees		11,596			-			11,596			80			-			11,676			4,814			-			4,814			80			-			4,894
Transactional fees3		5,111			-			5,111			43			-			5,154			2,137						2,137			43			-			2,180
Provision for income taxes		(1,848	)		-			(1,848	)		163			-			(1,685	)		(141	)		-			(141	)		48			-			(93	)
FEE INCOME		14,859			-			14,859			286			-			15,145			6,810			-			6,810			171			-			6,981
PROMOTE, RCP AND OTHER INCOME
Equity in earnings from RCP investments		-			-			-			(63	)		-			(63	)		-			-			-			(348	)		-			(348	)
Promote income - RCP		-			-			-			(6	)		-			(6	)		-			-			-			(6	)		-			(6	)
Lease termination income		-			12			12			103			-			115			-			-			-			32			-			32
Provision for income taxes (RCP)		(94	)		(1	)		(95	)		(2	)		-			(97	)		-			-			-			-			-			-
Total Promote, RCP and Other Income		(94	)		11			(83	)		32			-			(51	)		-			-			-			(322	)		-			(322	)
GENERAL AND ADMINISTRATIVE		(17,270	)		(28	)		(17,298	)		(658	)		-			(17,956	)		(5,530	)		(7	)		(5,537	)		(428	)		-			(5,965	)
Depreciation and amortization		(11,518	)		(1,156	)		(12,674	)		(3,535	)		(53	)		(16,262	)		(4,027	)		(374	)		(4,401	)		(1,146	)		-			(5,547	)
ASC 805 amortization		(1,183	)		-			(1,183	)		(536	)		(25	)		(1,744	)		(543	)		-			(543	)		(256	)		-			(799	)
(Loss) gain on sale of properties		(248	)		-			(248	)		1,699			1,069			2,520			-			-			-			-			1,069			1,069
Income before noncontrolling interests		13,514			428			13,942			3,488			1,281			18,711			6,326			106			6,432			166			1,092			7,690
Noncontrolling interest - OP		(278	)		-			(278	)		-			(4	)		(282	)		(105	)		-			(105	)		-			(4	)		(109	)
NET INCOME	$	13,236		$	428		$	13,664		$	3,488		$	1,277		$	18,429		$	6,221		$	106		$	6,327		$	166		$	1,088		$	7,581

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 its 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.

2Represents the Company's pro-rata share unconsolidated investments which are detailed on pages 32 and 33.

3Consists of development, construction, leasing and legal fees.

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Income Statements - Opportunity Funds1
(in thousands)
	Year-to-date ended September 30, 2012
										Continuing			Discontinued												Continuing												Pro-rata									Continuing			Discontinued
										Operations			Operations												Operations						AKR						share of									Operations			Operations									Total
	Fund I			Fund I			Fund I			AKR Pro			AKR Pro-						Pro- rata			Fund II			AKR Pro-						Pro- rata						Fund III			Fund III						AKR Pro-			AKR Pro-						Pro- rata			AKR Pro-
	Continuing			Discontinued			Consolidated			rata share4			rata share4			Mervyns			share4			Consolidated			rata share			Mervyns			share			Continuing			unconsolidated			Discontinued			Consolidated			rata share			rata share			Fund			share			rata
	Operations			Operations			Operations			37.78			37.78			I			37.78%			Operations			20.00%			II			20.00%			Operations			affiliates3			Operations			Operations			19.90%			19.90%			IV			23.12%			share
PROPERTY REVENUES
Minimum rents	$	163		$	390		$	553		$	62		$	147		$	-		$	-		$	25,470		$	5,092		$	-		$	-		$	25,778		$	6,419		$	187		$	32,010		$	6,334		$	210		$	-		$	-		$	11,845
Percentage rents		-			-			-			-			-			-			-			-			-			-			-			18			124			-			142			29			-			-			-			29
Expense reimbursements - CAM		3			52			55			1			20			-			-			2,604			521			-			-			1,106			1,069			1			2,174			433			4			-			-			979
Expense reimbursements - Taxes		-			221			221			-			83			-			-			2,264			452			-			-			3,098			690			29			3,759			742			20			-			-			1,298
Other property income		284			-			284			107			-			-			-			402			80			-			-			1,451			224			-			1,675			333			-			-			-			520
Total Property Revenues		450			663			1,113			170			251			-			-			30,740			6,145			-			-			31,451			8,526			217			39,760			7,871			234			-			-			14,671
PROPERTY EXPENSES
Property operating - CAM		19			58			77			7			22			-			-			3,532			707			-			-			1,495			900			8			2,387			472			7			-			-			1,215
Other property operating (Non-CAM)		212			46			258			80			17			-			-			4,040			808			-			-			4,904			1,969			24			6,849			1,357			8			-			-			2,270
Real estate taxes		19			128			147			7			48			-			-			3,367			673			-			-			5,022			1,379			35			6,366			1,259			25			-			-			2,012
Total Property Expenses		250			232			482			94			88			-			-			10,939			2,188			-			-			11,421			4,248			67			15,602			3,088			40			-			-			5,497
NET OPERATING INCOME - PROPERTIES		200			431			631			76			163			-			-			19,801			3,957			-			-			20,030			4,278			150			24,158			4,783			194			-			-			9,174
OTHER INCOME (EXPENSE)
Mezzanine interest income		431			-			431			163			-			-			-			-			-			-			-			948			18			-			966			192			-			-			-			355
Other interest income		4			-			4			2			-			-			-			-			-			-			-			2			17			-			19			4			-			-			-			6
Straight-line rent income, net		-			28			28			-			11			-			-			3,561			713			-			-			432			524			13			943			185			12			-			-			921
Straight-line ground rent		-			-			-			-			-			-			-			(314	)		(63	)		-			-			-			-			-			-			-			-			-			-			(63	)
ASC 805 rent, net		-			-			-			-			-			-			-			-			-			-			-			(43	)		1,355			-			1,312			261			-			-			-			261
ASC 805 interest expense		-			-			-			-			-			-			-			-			-			-			-			-			243			-			243			48			-			-			-			48
Interest expense		(1	)		(91	)		(92	)		(0	)		(34	)		-			-			(7,554	)		(1,511	)		-			-			(5,110	)		(2,579	)		(44	)		(7,645	)		(1,512	)		(53	)		-			-			(3,111	)
Amortization of finance costs		(12	)		-			(12	)		(5	)		-			-			-			(954	)		(191	)		-			-			(1,129	)		-			-			(1,129	)		(224	)		-			-			-			(420	)
Asset and property management expense 2		17			(11	)		6			-			-			7			-			(4,086	)		-			(429	)		-			(7,452	)		(1,865	)		(5	)		(9,312	)		(308	)		(3	)		-			-			(311	)
Promote expense2		(707	)		-			(707	)		-			-			60			-			-			-			-			-			-			-			-			-			-			-			-			-			-
Other income		-			-			-			-			-			-			-			-			-			-			-			-			5			-			5			1			-			-			-			1
Acquisition costs		-			-			-			-			-			-			-			-			-			-			-			(1,631	)		(302	)		-			(1,933	)		(385	)		-			-			-			(385	)
OPPORTUNITY FUND INCOME		(68	)		357			289			235			140			67			-			10,454			2,905			(429	)		-			6,047			1,694			114			7,627			3,045			150			-			-			6,476
FEE INCOME
Asset and property management fees		-			-			-			-			-			-			-			-			-			-			-			-			401			-			401			80			-			-			-			80
Transactional fees		-			-			-			-			-			-			-			-			-			-			-			-			218			-			218			43			-			-			-			43
Provision for income taxes		13			-			13			5			-			-			-			(26	)		(6	)		-			-			826			-			-			826			164			-			-			-			163
Total Fee Income		13			-			13			5			-			-			-			(26	)		(6	)		-			-			826			619			-			1,445			287			-			-			-			286
PROMOTE, RCP AND OTHER INCOME
Equity in earnings from RCP investments		-			-			-			-			-			(321	)		(121	)		-			-			263			53			-			-			-			-			-			-			-			-			(69	)
Lease termination income		-			-			-			-			-			-			-			-			-			-			-			160			357			-			517			103			-			-			-			103
Provision for income taxes (RCP)		-			-			-			-			-			(2	)		(1	)		-			-			(5	)		(1	)		-			-			-			-			-			-			-			-			(2	)
Total Promote, RCP and Other Income		-			-			-			-			-			(323	)		(122	)		-			-			258			52			160			357			-			517			103			-			-			-			32
GENERAL AND ADMINISTRATIVE		(82	)		(1	)		(83	)		(31	)		(0	)		(14	)		(5	)		(2,006	)		(401	)		(25	)		(4	)		(526	)		(1	)					(527	)		(105	)		-			(409	)		(111	)		(658	)
Depreciation and amortization		(8	)		(73	)		(81	)		(3	)		(28	)		-			-			(8,834	)		(1,767	)		-			-			(6,735	)		(2,008	)		-			(8,743	)		(1,741	)		-			-			-			(3,588	)
ASC 805 amortization		-			-			-			-			-			-			-			-			-			-			-			(1,325	)		(1,490	)		-			(2,815	)		(561	)		(50	)		-			-			(561	)
Gain on sale of properties		-			2,885			2,885			-			1,090			-			-			-			-			-			-			5,374			3,062			5,374			3,062			609			1,069			-			-			2,768
Income before noncontrolling interest		(145	)		3,168			3,023			206			1,202			(270	)		(127	)		(412	)		731			(196	)		48			3,821			2,233			5,488			566			1,637			1,169			(409	)		(111	)		4,755
Noncontrolling interest - OP		-			-			-			-			-			-			-			-			-			-			-			-			-			(18	)		18			-			(4	)		-			-			(4	)
Noncontrolling interests		-			-			-			-			-			-			-			(33	)		(6	)		-			-			102			-			-			102			20			-			-			-			14
NET INCOME	$	(145	)	$	3,168		$	3,023		$	206		$	1,202		$	(270	)	$	(127	)	$	(445	)	$	725		$	(196	)	$	48		$	3,923		$	2,233		$	5,470		$	686		$	1,657		$	1,165		$	(409	)	$	(111	)	$	4,765

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 & IV and Mervyn's which are consolidated

   with the Company's financial statements.

2 Funds I, II, III & IV 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.

3Represents the Company's pro-rata share unconsolidated investments which are detailed on page 24.

4 Represents a 20% promote earned by Acadia in addition to our 22.22% pro-rata share of the remaining 80% after promote (20%+22.22%*80% = 37.78%)

- 6 -

Income Statements Opportunity Funds1
(in thousands)
	Three months ended September 30, 2012
				Continuing												Continuing												Pro-rata									Continuing			Discontinued
				Operations						AKR						Operations						AKR						share of									Operations			Operations						AKR			Total
	Fund I			AKR Pro-						Pro- rata			Fund II			AKR Pro-						Pro- rata			Fund  III			Fund III			Fund III			Fund III			AKR Pro-			AKR Pro-						Pro- rata			AKR Pro-
	Consolidated			rata share4			Mervyns			share4			Consolidated			rata share			Mervyns			share			Continuing			unconsolidated			Discontinued			Consolidated			rata share			rata share			Fund			share			rata
	Operations			37.78%			I			37.78%			Operations			20.00%			II			20.00%			Operations			affiliates3			Operations			Operations			19.90%			19.90%			IV			23.12%			share
PROPERTY REVENUES
Minimum rents	$	51		$	19		$	-		$	-		$	8,887		$	1,777		$	-		$	-		$	9,128		$	2,165		$	187		$	11,106		$	2,173		$	37		$	-		$	-		$	4,006
Percentage rents		-			-			-			-			-			-			-			-			-			14			-			14			3			-			-			-			3
Expense reimbursements - CAM		3			1			-			-			733			147			-			-			386			341			1			726			144			-			-			-			292
Expense reimbursements - Taxes		-			-			-			-			896			179			-			-			741			244			29			956			184			6			-			-			369
Other property income		(2	)		(1	)		-			-			169			34			-			-			575			68			-			643			128			-			-			-			161
Total Property Revenues		52			20			-			-			10,685			2,137			-			-			10,830			2,832			217			13,445			2,632			43			-			-			4,831
PROPERTY EXPENSES
Property operating - CAM		8			3			-			-			1,208			242			-			-			524			313			8			829			163			2			-			-			410
Other property operating (Non-CAM)		126			48			-			-			1,395			279			-			-			1,564			1,441			24			2,981			588			5			-			-			920
Real estate taxes		3			1			-			-			1,184			237			-			-			1,808			426			35			2,199			431			7			-			-			676
Total Property Expenses		137			52			-			-			3,787			758			-			-			3,896			2,180			67			6,009			1,182			14			-			-			2,006
NET OPERATING INCOME - PROPERTIES		(85	)		(32	)		-			-			6,898			1,379			-			-			6,934			652			150			7,436			1,450			29			-			-			2,825
OTHER INCOME (EXPENSE)
Mezzanine interest income		145			55			-			-			-			-			-			-			307			-			-			307			61			-			-			-			116
Other interest income		-			-			-			-			-			-			-			-			2			17			-			19			4			-			-			-			4
Straight-line rent income, net		-			-			-			-			1,320			264			-			-			176			187			13			350			67			3			-			-			334
Straight-line ground rent		-			-			-			-			(102	)		(20	)		-			-			-			-			-			-			-			-			-			-			(20	)
ASC 805 rent, net		-			-			-			-			-			-			-			-			246			625			-			871			173			-			-			-			173
ASC 805 interest expense		-			-			-			-			-			-			-			-			-			81			-			81			16			-			-			-			16
Interest expense		(2	)		(1	)		-			-			(2,636	)		(527	)		-			-			(1,635	)		(886	)		(44	)		(2,477	)		(484	)		(9	)		-			-			(1,021	)
Amortization of finance costs		-			-			-			-			(329	)		(66	)		-			-			(449	)		-			-			(449	)		(89	)		-			-			-			(155	)
Asset and property management expense2		2			-			7			-			(1,377	)		-			(143	)		-			(2,646	)		(107	)		(5	)		(2,748	)		-			-			-			-			-
Promote expense2		(16	)		-			-			-			-			-			-			-			-			-			-			-			-			-			-			-			-
Other income		-			-			-			-			-			-			-			-			-			3			-			3			1			-			-			-			1
Acquisition costs		-			-			-			-			-			-			-			-			(245	)		(273	)		-			(518	)		(103	)		-			-			-			(103	)
OPPORTUNITY FUND INCOME		44			22			7			-			3,774			1,030			(143	)		-			2,690			299			114			2,875			1,096			23			-			-			2,170
FEE INCOME
Asset and property management fees		-			-			-			-			-			-			-			-			-			401			-			401			80			-			-			-			80
Transactional fees		-			-			-			-			-			-			-			-			-			218			-			218			43			-			-			-			43
Provision for income taxes		-			-			-			-			-			-			-			-			241			-			-			241			48			-			-			-			48
Total Fee Income		-			-			-			-			-			-			-			-			241			619			-			860			171			-			-			-			171
PROMOTE, RCP AND OTHER INCOME
Equity in earnings from RCP investments		-			-			(28	)		(11	)		-			-			(1,714	)		(343	)		-			-			-			-			-			-			-			-			(354	)
Lease termination income		-			-			-			-			-			-			-			-			160			-			-			160			32			-			-			-			32
Provision for income taxes (RCP)		-			-			-			-			-			-			-			-			-			-			-			-			-			-			-			-			-
Total Promote, RCP and Other Income		-			-			(28	)		(11	)		-			-			(1,714	)		(343	)		160			-			-			160			32			-			-			-			(322	)
GENERAL AND ADMINISTRATIVE		(32	)		(12	)		(7	)		(3	)		(1,768	)		(354	)		(7	)		(1	)		(166	)		-						(166	)		(33	)		-			(109	)		(25	)		(428	)
Depreciation and amortization		(1	)		(0	)		-			-			(3,006	)		(601	)		-			-			(2,013	)		(726	)		-			(2,739	)		(545	)		-			-			-			(1,146	)
ASC 805 amortization		-			-			-			-			-			-			-			-			(687	)		(599	)		-			(1,286	)		(256	)		-			-			-			(256	)
Gain on sale of properties		-			-			-			-			-			-			-			-			5,374			-			5,374			-			-			1,069			-			-			1,069
Income before noncontrolling interest		11			9			(28	)		(13	)		(1,000	)		75			(1,864	)		(344	)		5,599			(407	)		5,488			(296	)		465			1,092			(109	)		(25	)		1,258
Noncontrolling interest - OP		-			-			-			-			-			-			-			-			-			-			(18	)		18			-			(4	)		-			-			(4	)
Noncontrolling interests		-			-			-			-			-			-			-			-			-			-			-			-			-			-			-			-			-
NET INCOME	$	11		$	9		$	(28	)	$	(13	)	$	(1,000	)	$	75		$	(1,864	)	$	(344	)	$	5,599		$	(407	)	$	5,470		$	(278	)	$	465		$	1,088		$	(109	)	$	(25	)	$	1,254

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 & IV and Mervyn's

   which are consolidated with the Company's financial statements.

2 Funds I, II, III & IV 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.

3Represents the Company's pro-rata share unconsolidated investments which are detailed on page 24.

4 Represents a 20% promote earned by Acadia in addition to our 22.22% pro-rata share of the remaining 80% after promote (20%+22.22%*80% = 37.78%)

- 7 -

Funds from Operations ("FFO") 1
(in thousands)
				2012									2011
	Current			Current			Previous			Previous			Historic			Historic
	Year-to-Date			Quarter			Quarter			Quarter			Year-to-Date			Quarter
	Period ended			3 months ended			3 months ended			3 months ended			Period ended			3 months ended
Funds from operations ("FFO"):	September 30, 2012			September 30, 2012			June 30, 2012			March 31, 2012			September 30, 2011			September 30, 2011
Net Income	$	18,429		$	7,581		$	6,839		$	4,010		$	43,668		$	4,011
Add back:
Depreciation of real estate and amortization of leasing costs:
(net of noncontrolling interest share)
Consolidated affiliates		16,308			5,827			5,653			4,828			13,582			4,527
Unconsolidated affiliates		1,155			374			389			392			1,071			338
Gain on sale of properties (net of noncontrolling interest share)
Consolidated affiliates		(1,391	)		(1,178	)		(213	)		-			(29,360	)		-
Unconsolidated affiliates		(609	)					(609	)		-			-			-
Impairment of asset														2,616			-
Income attributable to noncontrolling interests'
share in Operating Partnership		269			105			101			63			536			59
Distributions on Preferred OP Units		14			4			5			5			14			5
FFO	$	34,175		$	12,713		$	12,165		$	9,298		$	32,127		$	8,940
Adjusted Funds from operations ("AFFO"):
Diluted FFO	$	34,176		$	12,713		$	12,165		$	9,298		$	32,127		$	8,940
Straight line rent, net		(2,122	)		(719	)		(775	)		(628	)		(1,352	)		(356	)
Straight-line ground rent expense		63			20			21			22			66			22
ASC 805 rent, net		(947	)		(399	)		(386	)		(162	)		255			185
ASC 805 interest expense		23			16			28			(21	)		(52	)		(21	)
Amortization of discount on convertible debt		-			-			-			-			720			180
Non real estate depreciation		338			108			112			118			347			115
Amortization of finance costs		761			270			284			207			866			305
Amortization of cost of management contracts		20			-			-			20			195			60
Leasing commissions		(1,569	)		(947	)		(316	)		(306	)		(1,077	)		(191	)
Tenant improvements		(3,361	)		(366	)		(1,412	)		(1,583	)		(5,817	)		(2,000	)
Capital expenditures		(1,079	)		(692	)		(323	)		(64	)		(218	)		-
(Gain) loss on extinguishment of debt		-			-			-			-			(1,268	)		303
AFFO	$	26,303		$	10,004		$	9,398		$	6,901		$	24,792		$	7,542
AFFO	$	26,303		$	10,004		$	9,398		$	6,901		$	24,792		$	7,542
Scheduled principal repayments		(3,171	)		(1,268	)		(997	)		(906	)		(1,953	)		(654	)
FAD	$	23,132		$	8,736		$	8,401		$	5,995		$	22,839		$	6,888
Total weighted average shares and OP Units:
Basic		45,089			46,976			44,889			43,382			40,807			40,833
Diluted		45,513			47,410			45,317			43,792			41,099			41,147
FFO per share:
FFO per share - Basic	$	0.76		$	0.27		$	0.27		$	0.21		$	0.79		$	0.22
FFO per share - Diluted	$	0.75		$	0.27		$	0.27		$	0.21		$	0.78		$	0.22
AFFO per share - Basic	$	0.58		$	0.21		$	0.21		$	0.16		$	0.61		$	0.18
AFFO per share - Diluted	$	0.58		$	0.21		$	0.21		$	0.16		$	0.60		$	0.18
FAD per share - Basic	$	0.51		$	0.19		$	0.19		$	0.14		$	0.56		$	0.17
FAD per share - Diluted	$	0.51		$	0.18		$	0.19		$	0.14		$	0.56		$	0.17

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.

- 8 -

Income Statements - EBITDA
(in thousands)
	Year-to-Date															Current Quarter
	Period ended September 30, 2012															Three Months Ended September 30, 2012
																Core Retail
	Wholly		Joint		Continuing		Continuing			Discontinued			TOTAL			Wholly		Joint		Continuing		Continuing			Discontinued			TOTAL
	Owned		Ventures		Operations		Operations			Operations						Owned		Ventures		Operations		Operations			Operations
NET INCOME	$	13,236	$	428	$	13,664	$	3,488		$	1,277		$	18,429		$	6,221	$	106	$	6,327	$	166		$	1,088		$	7,581
Add back:
Depreciation and amortization		11,518		1,156		12,674		3,535			53			16,262			4,027		374		4,401		1,146			-			5,547
ASC 805 amortization		1,183		-		1,183		536			25			1,744			543		-		543		256			-			799
Interest expense		10,600		3,207		13,807		3,024			87			16,918			3,887		1,046		4,933		1,012			9			5,954
Amortization of finance costs		229		-		229		420			-			649			115		-		115		155			-			270
ASC 805 interest expense		71		-		71		(48	)		-			23			32		-		32		(16	)		-			16
Gain on sale of properties		248		-		248					(1,069	)		(2,520	)		-		-		-		-			(1,069	)		(1,069	)
Provision for income taxes		1,942		1		1,943		(161	)		-			1,782			141		-		141		(48	)		-			93
Noncontrolling interest - OP		278		-		278		-			4			282			105		-		105		-			4			109
EBITDA	$	39,305	$	4,792	$	44,097	$	10,794		$	377		$	53,569		$	15,071	$	1,526	$	16,597	$	2,671		$	32		$	19,300

- 9 -

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
	September 30, 2012			September 30, 2011			Favorable (unfavorable)			September 30, 2012			September 30, 2011			Favorable (unfavorable)
Reconciliation of total NOI to same property NOI:
NOI - Core properties	$	13,531		$	11,241					$	39,017		$	33,117
NOI - Discontinued Operations		-			-						-			849
Total NOI		13,531			11,241						39,017			33,966
NOI - Properties acquired, in redevelopment
and Discontinued Operations		(3,104	)		(1,425	)					(9,277	)		(5,383	)
Total	$	10,427		$	9,816			6.2	%	$	29,740		$	28,583			4.0	%
Same property NOI by revenues/expenses:
Revenues	$	14,771		$	13,835			6.8	%	$	41,262		$	41,344			-0.2	%
Expenses		4,344			4,019			-8.1	%		11,522			12,761			9.7	%
Total Core Portfolio	$	10,427		$	9,816			6.2	%	$	29,740		$	28,583			4.0	%

Notes:

1 The above amounts include the pro-rata activity related to the Company's Core consolidated and unconsolidated investments.

- 10 -

Income Statements - Fee income by Opportunity Fund
(in thousands)
	Fund I		Fund II		Fund III		Fund IV		Other		Total
Nine months ended September 30, 2012
Asset and property management fees	$	221	$	3,329	$	5,071	$	2,423	$	552	$	11,596
Transactional fees		30		2,525		2,089		-		467		5,111
Total management fees	$	251	$	5,854	$	7,160	$	2,423	$	1,019	$	16,707
	Fund I		Fund II		Fund III		Fund IV 1		Other		Total
Current Quarter ended September 30, 2012
Asset and property management fees	$	67	$	1,059	$	1,676	$	1,949	$	63	$	4,814
Transactional fees		2		1,071		1,004		-		60		2,137
Total management fees	$	69	$	2,130	$	2,680	$	1,949	$	123	$	6,951
	Fund I		Fund II		Fund III		Fund IV		Other		Total
Previous Quarter ended June 30, 2012
Asset and property management fees	$	65	$	1,167	$	1,678	$	474	$	219	$	3,603
Transactional fees		14		628		581		-		244		1,467
Total management fees	$	79	$	1,795	$	2,259	$	474	$	463	$	5,070
	Fund I		Fund II		Fund III		Fund IV		Other		Total
Previous Quarter ended March 31, 2012
Asset and property management fees	$	89	$	1,103	$	1,717	$	-	$	270	$	3,179
Transactional fees		14		826		504		-		163		1,507
Total management fees	$	103	$	1,929	$	2,221	$	-	$	433	$	4,686

1 Includes $365 of asset management fee due for the period May 16, 2012 (initial closing date) through June 30, 2012 for investors closed subsequent to June 30, 2012.

- 11 -

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															1 The interim consolidated balance sheet is unaudited, although it
Land	$	355,586			$	(170,163	)	$	16,961		$	202,384			reflect all adjustments, which in the opinion of management,
Buildings and improvements		1,107,680				(508,602	)		71,172			670,250			are necessary for the fair presentation of the consolidated
Construction in progress		10,244				(4,052	)		1,362			7,554			balance sheet for the interim period.
		1,473,510				(682,817	)		89,495			880,188
Less: accumulated depreciation		(203,404	)			54,741			(12,993	)		(161,656	)		2 The Company currently invests in Funds I, II, III & IV and Mervyns I & II
Net real estate		1,270,106				(628,076	)		76,502			718,532			which are consolidated with the Company's financial statements.
															To provide investors with supplemental information, the Company's
Net real estate under development		229,808		3		(187,700	)		189			42,297			investments in these joint ventures are reflected above on a
															pro-rata basis by calculating its ownership percentage for each
Cash and cash equivalents		85,297				(21,226	)		2,491			66,562			of the above asset and liability line items. Similarly, the above
Cash in escrow		19,030				(11,449	)		1,367			8,948			presentation also includes the Company's share of assets and
Investments in and advances to unconsolidated affiliates		88,572				(58,948	)		(16,984	)		12,640			liabilities for unconsolidated investments which are accounted
Rents receivable, net		3,345				(2,350	)		(9	)		986			for under the equity method of accounting for the Company's
Straight-line rents receivable, net		27,204				(13,479	)		1,789			15,514			financial statements.
Notes Receivable		78,826				(23,139	)		-			55,687
Deferred charges, net		30,326				(24,339	)		1,709			7,696			3 The components of Net real estate under development are as follows:
Prepaid expenses and other assets		38,003				24,351			1,424			63,778		4	Fund II	$	202,022
Acquired lease intangibles		29,066				(10,957	)		1,252			19,361			Fund III		27,304
Assets of discontinued operations		-				-			-			-			Total Opportunity Funds		229,326
															Core Portfolio		482
Total Assets	$	1,899,583			$	(957,312	)	$	69,730		$	1,012,001			Total	$	229,808
LIABILITIES AND SHAREHOLDERS' EQUITY															4 The components of Prepaid expenses and other assets are as follows:
															Due from Fund Investors	$	35,976
Mortgage notes payable	$	871,741				(497,435	)	$	85,580		$	459,886			Contract deposits		7,953
Notes payable		930				-			-			930			Prepaid expenses		4,655
Valuation of debt at acquisition, net of amortization		(498	)			-			129			(369	)		Accrued interest on Notes Receivable		2,635
Acquired lease intangibles		9,420				(2,996	)		2,443			8,867			Unsettled At-The-Market proceeds		1,772
Accounts payable and accrued expenses		34,691				(11,581	)		2,515			25,625			Income tax receivables		1,186
Dividends and distributions payable		8,757				-			-			8,757			Corporate assets		1,127
Share of losses in excess of inv. in unconsolidated affiliates		22,409				-			(22,217	)		192			Other		8,474
Accounts payable to related parties		902				-			-			902			Total	$	63,778
Other liabilities		22,612				(8,857	)		1,280			15,035
Liabilities of discontinued operations		-				-			-			-
Total liabilities		970,964				(520,869	)		69,730			519,825
Shareholders' equity:
Common shares		47				-			-			47
Additional paid-in capital		450,165				-			-			450,165
Accumulated other comprehensive income		(4,765	)			-			-			(4,765	)
Retained earnings		33,269				-			-			33,269
Total controlling interest		478,716				-			-			478,716
Non-controlling interest in subsidiary		449,903				(436,443	)		-			13,460
Total shareholders' equity		928,619				(436,443	)		-			492,176
Total Liabilities and Shareholders' Equity	$	1,899,583			$	(957,312	)	$	69,730		$	1,012,001

- 12 -

Notes Receivable
(in thousands)
	Balance at				Balance at															Underlying third-party
	June 30, 2012		Third		September 30, 2012						Stated			Effective						first mortgage
			Quarter				Accrued				Interest			Interest			Maturity	Extension
Investment	Principal		Activity		Principal2		Interest		Total		Rate			Rate 1			Dates	Options		Amount		Maturity Dates
First mortgage and other notes	$	5,669	$	-	$	5,669	$	162	$	5,831		13.57	%		17.52	%	2012 to 2017		-		n/a	n/a
Short-term notes related to acquisitions		22,500		-		22,500		715		23,215		11.62	%		11.62	%	2012 to 2017		-		n/a	n/a
Mezzanine notes		18,853		100		18,953		1,065		20,018		12.79	%		14.40	%	2013 to 2017		-		311,581	2012 thru 2019
Total  notes receivable	$	47,022	$	100	$	47,122	$	1,942	$	49,064		12.33	%		13.45	%
Notes:
1 Inclusive of points and exit fees.
2 Reconciliation of Notes Receivable to the Consolidated Balance Sheet
Total Notes Receivable per above	$	47,122
Fund I first mortgage loan - related to Kroger/Safeway sale		12,609
Fund III first mortgage investments		18,500
Fund III non-real estate loans		595
Total Notes Receivable per Consolidated Balance Sheet	$	78,826

- 13 -

2012 Guidance - Highlights
(in millions except per share amounts, all per share amounts are fully diluted)
	Current
	2012 Guidance			2011 Actual
Overall:
Fully diluted Common Shares and OP Units		45,500 - 48,000			41,467
Full year Funds from Operations ("FFO")  per share	$	1.00 to $1.05		$	0.97
Earnings per Share ("EPS")	$	0.54 to $0.60		$	1.26
FFO Components:
Core and pro-rata share of opportunity Fund ("Fund") portfolio income	$	48.0 to $51.0		$	43.9
Asset and property management fee income, net of TRS taxes	$	14.0 to $14.5		$	12.1
Transactional fee income, net of TRS taxes	$	5.0 to $6.5		$	6.2
Promote, RCP and other income, net of TRS taxes	$	1.0 to $1.5		$	1.5
General and administrative expense	$	(22.5) to $(23.0	)	$	(23.4	)
Total	$	45.5 to $50.5		$	40.3

- 14 -

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	$	13,531			--		$	-	$	-	20.00	%	$	-	$	2,743	$	10,972	19.90	%	$	2,183
Operating properties - Unconsolidated Affiliates								-		-						652		2,608				519
Development Portfolio
Construction complete - Stabilized		-						3,895		15,580				3,116		-		-				-
Construction complete - Pre-stabilized		-						2,528		10,112				2,022		642		2,568				511
Storage portfolio		-						475		1,900				380		3,549		14,196				2,825
Total NOI	$	13,531					$	6,898	$	27,592			$	5,518	$	7,586	$	30,344			$	6,039
Cost to Date2
Construction complete (both stabilized and pre-stabilized)									$	427,400			$	85,480			$	-			$	-
Under construction										128,200				25,640				-				-
In-design										34,600				6,920				95,500				19,005
Storage portfolio										-				-				190,600				37,930
Costs to Complete2
Construction complete (both stabilized and pre-stabilized)									$	3,200			$	640			$	-			$	-
Under construction										121,800				24,360				-				-
In-design										-				-				-				-
Annual NOI Upon Stabilization (Mid-Point of Range)
Construction complete (both stabilized and pre-stabilized)									$	34,448			$	6,890			$	-			$	-
Storage portfolio										-				-				15,248				3,034
Under construction										20,000				4,000				-				-
Debt	$	333,471	$	-					$	230,318			$	42,570			$	313,740			$	58,042
Gross asset value1				16,000
Net Asset Value			$	16,000	37.78%	$      6,045
Notes:
1Fund I value is based on property appraisals. Pro-rata share is 20% (AKR promote) + 22% x 80% (AKR remaining share after promote) = 37.78%.
2See detail on pages 28 and 29 of this supplement.

- 15 -

Selected Operating Ratios
(in thousands)
	Three months ended September 30,						Period ended September 30, 2012							Three months ended September 30,			Three months  ended June 30,
	2012			2011			2012			2011				2012			2012
COVERAGE RATIOS1													LEVERAGE RATIOS
EBITDA2	$	19,300		$	14,797		$	53,569		$	47,128		Debt4	$	460,664		$	450,700
Divided by Interest expense		5,954			5,772			16,918			17,677		Total Market Capitalization		1,646,540			1,524,886
Interest Coverage Ratio		3.24	x		2.56	x		3.17	x		2.67	x	Debt/Total Market Capitalization		28	%		30	%
EBITDA	$	19,300		$	14,797		$	53,569		$	47,128		Debt4, 6	$	394,102		$	408,503
Divided by (Interest expense		5,954			5,772			16,918			17,677		Total Market Capitalization		1,579,978			1,482,689
Plus: Preferred Dividends)3		4			5			14			14		Net Debt/Total Market Capitalization		25	%		28	%
Fixed Charge Coverage Ratio		3.24	x		2.56	x		3.16	x		2.66	x
													Debt + Preferred Equity (Preferred O.P. Units)	$	461,286		$	451,281
EBITDA	$	19,300		$	14,797		$	53,569		$	47,128		Total Market Capitalization		1,646,540			1,524,886
Divided by (Interest expense		5,954			5,772			16,918			17,677		Debt+Preferred Equity/Total Market Capitalization		28	%		30	%
Plus: Principal Amortization)		1,268			654			3,171			1,953
Debt Service Coverage Ratio		2.67	x		2.30	x		2.67	x		2.40	x	Debt	$	333,471		$	327,925
													EBITDA (Annualized)		66,388			60,576
Payout Ratios													Debt/EBITDA - Core Portfolio		5.02	x		5.41	x
Dividends (Shares) & Distributions (OP Units) paid	$	8,482		$	7,507		$	24,493		$	22,518		Debt5	$	275,966		$	295,027
FFO		12,713			8,940			34,175			32,127		EBITDA (Annualized)		66,388			60,576
FFO Payout Ratio		67	%		84	%		72	%		70	%	Net Debt/EBITDA - Core Portfolio		4.16	x		4.87	x
Dividends (Shares) & Distributions (OP Units) paid	$	8,482		$	7,507		$	24,493		$	22,518		Debt	$	460,664		$	450,700
AFFO		10,004			7,542			26,303			24,792		EBITDA (Annualized)		77,072			76,485
AFFO Payout Ratio		85	%		100	%		93	%		91	%	Debt/EBITDA - Core Portfolio and Opportunity Funds		5.98	x		5.89	x
Dividends (Shares) & Distributions (OP Units) paid	$	8,482		$	7,507		$	24,493		$	22,518		Debt6	$	394,102		$	408,503
FAD		8,736			6,888			23,132			22,839		EBITDA (Annualized)		77,072			76,485
FAD Payout Ratio		97	%		109	%		106	%		99	%	Net Debt/EBITDA - Core Portfolio and Opportunity Funds		5.11	x		5.34	x
													NOI (Annualized)	$	54,124		$	53,896
Notes:													Debt		333,471			327,925
													Debt Yield - Core Portfolio		16.2	%		16.4	%
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 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.													NOI (Annualized)	$	54,124		$	53,896
2See page 9 for a calculation of EBITDA.													Debt5		275,966			295,027
3Represents preferred distributions on Preferred Operating partnership Units.													Net Debt Yield - Core Portfolio		19.6	%		18.3	%
4Includes the Company's pro-rata share of consolidated and unconsolidated joint venture debt.
5Reflects debt net of the current Core Portfolio cash balance at end of period.													NOI (Annualized)	$	65,308		$	66,885
6Reflects debt net of the current Core Portfolio and pro-rata share of the Opportunity Funds  cash balance at end of period.													Debt		460,664			450,700
													Debt Yield - Core Portfolio and Opportunity Funds		14.2	%		14.8	%
													NOI (Annualized)	$	65,308		$	66,885
													Debt6		394,102			408,503
													Net Debt Yield - Core Portfolio and Opportunity Funds		16.6	%		16.4	%

- 16 -

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
																						Less:
	Core Portfolio						Opportunity Funds					Total								Add: Noncontrolling		Pro-rata Share of			Acadia 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	$	359,535			5.4	%	$	38,342		4.2	%	$	397,877		5.3	%		86	%	$	166,313	$	(75,229	)	$	488,961
Variable-Rate Debt		(26,064	)		1.8	%		88,850		2.3	%		62,786		1.9	%		14	%		331,277		(10,353	)		383,710
Total	$	333,471			5.4	%	$	127,193		3.1	%	$	460,664		4.8	%		100	%	$	497,590	$	(85,582	)		872,671
ASC 805 purchase price debt allocation																										(498	)
Total debt as reported																									$	872,173

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 its percent ownership.

- 17 -

Debt Analysis

(in thousands)

		Principal Balance at			Acadia's Pro-rata Share						Interest			Maturity	Extension
Property	Entity	September 30, 2012			Percent			Amount			Rate			Date	Options
CORE PORTFOLIO
Fixed-Rate Debt
Clark Diversey	Acadia	$	4,384			100.0	%	$	4,384			6.35	%	7/1/2014	None
New Loudon Center	Acadia		13,699			100.0	%		13,699			5.64	%	9/6/2014	None
Crossroads Shopping Center	Crossroads JV		59,624			49.0	%		29,215			5.37	%	12/1/2014	None
Crescent Plaza	Acadia		17,093			100.0	%		17,093			4.98	%	9/6/2015	None
Pacesetter Park Shopping Center	Acadia		11,794			100.0	%		11,794			5.12	%	11/6/2015	None
Elmwood Park Shopping Center	Acadia		33,382			100.0	%		33,382			5.53	%	1/1/2016	None
Chicago Portfolio	Acadia		15,902			100.0	%		15,902			5.61	%	2/1/2016	None
The Gateway Shopping Center	Acadia		20,107			100.0	%		20,107			5.44	%	3/1/2016	None
Cambridge (Whole Foods)	Acadia		6,959			100.0	%		6,959			6.26	%	5/1/2016	None
Cambridge (Rite Aid)	Acadia		4,224			100.0	%		4,224			3.68	%	5/1/2016	1 x 60 mos.
Brandywine Town Center	Brandywine JV		166,200			22.2	%		36,933			5.99	%	7/1/2016	None
Walnut Hill Plaza	Acadia		23,263			100.0	%		23,263			6.06	%	10/1/2016	None
Rhode Island Place Shopping Center	Acadia		16,479			100.0	%		16,479			6.35	%	12/1/2016	None
Acadia Realty Trust (Convertible Notes)	Acadia		930			100.0	%		930			3.75	%	12/15/2016	None
239 Greenwich Avenue	Acadia		26,000			75.0	%		19,500			5.42	%	2/11/2017	None
Merrillville Plaza	Acadia		26,228			100.0	%		26,228			5.88	%	8/1/2017	None
Georgetown Portfolio	Acadia		6,322			50.0	%		3,161			6.15	%	6/15/2020	None
Georgetown Portfolio	Acadia		975			50.0	%		488			5.50	%	5/26/2021	None
A & P Shopping Plaza	Acadia		8,000			60.0	%		4,800			4.20	%	9/6/2022	None
Interest rate swaps1	Acadia		70,994			100.0	%		70,994			4.34	%	Various
Sub-Total Fixed-Rate Debt			532,559						359,535			5.37	%
Variable-Rate Debt
Georgetown Portfolio	Acadia		2,701			50.0	%		1,351		Libor + 210			10/31/2012	None
Various2 (Secured Line of Credit)	Acadia		-			100.0	%		-		Libor + 125			12/1/2012	None
Branch Plaza	Acadia		12,585			100.0	%		12,585		Libor + 225			9/30/2014	1 x 36 mos.
Village Commons Shopping Center	Acadia		9,222			100.0	%		9,222		Libor + 140			6/30/2018	None
West Diversey	Acadia		15,372			100.0	%		15,372		Libor + 190			4/27/2019	None
4401 N White Plains Road	Acadia		6,400			100.0	%		6,400		Libor + 190			9/1/2022	None
Interest rate swaps1	Acadia		(70,994	)		100.0	%		(70,994	)
Sub-Total Variable-Rate Debt			(24,714	)					(26,064	)	Libor + 163
Total Core Portfolio Debt		$	507,845					$	333,471			5.44	%

- 18 -

Debt Analysis (continued)

(in thousands)

		Principal Balance at			Acadia's Pro-rata Share						Interest			Maturity	Extension
Property	Entity	September 30, 2012			Percent			Amount			Rate			Date	Options
OPPORTUNITY FUNDS
Fixed-Rate Debt
Lincoln Park Centre	Fund III		19,587			19.9	%		3,899			5.85	%	12/1/2013	None
Lincoln Road7	Fund III		19,972			18.9	%		3,777			6.14	%	8/11/2014	None
CityPoint	Fund II		20,000			18.8	%		3,766			7.25	%	11/1/2014	None
Arundel Plaza8	Fund III		9,239			17.9	%		1,655			5.60	%	4/1/2015	None
216th Street3	Fund II		25,500			19.8	%		5,054			5.80	%	10/1/2017	None
CityPoint	Fund II		5,262			18.8	%		991			1.00	%	8/23/2019	None
Interest rate swaps1	Funds II & III		119,174			16.1	%		19,200			2.97	%	Various
Sub-Total Fixed-Rate Debt			218,734						38,342			4.19	%
Variable-Rate Debt
Acadia Strategic Opportunity Fund III, LLC5	Fund III		82,940			19.9	%		16,505		Libor + 225			10/10/2012	None
Liberty Avenue	Fund II		9,249			19.8	%		1,833		Libor + 325			11/1/2012	None
161st Street3	Fund II		28,900			19.8	%		5,728		Libor + 600			4/1/2013	None
CityPoint	Fund II		20,650			18.8	%		3,888		Libor + 250			8/12/2013	2 x 12 mos.
Storage Post - Various4	Fund III		41,947			18.9	%		7,930		Libor + 415			8/31/2013	None
Pelham Manor Shopping Plaza3	Fund II		33,905			19.8	%		6,720		Libor + 275			12/1/2013	None
Acadia Strategic Opportunity Fund II, LLC	Fund II		32,400			20.0	%		6,480		Libor + 290			12/22/2014	None
Parkway Crossing8	Fund III		13,861			17.9	%		2,483		Libor + 220			1/1/2015	2 x 12 mos.
Canarsie Plaza	Fund II		68,963			15.9	%		10,934		Libor + 225			5/1/2015	None
Atlantic Avenue	Fund II		10,642			13.3	%		1,419		Libor + 335			6/30/2015	None
640 Broadway	Fund III		22,750			10.0	%		2,264		Libor + 295			7/1/2015	1 x 12 mos.
Heritage Shops	Fund III		21,000			19.9	%		4,179		Libor + 225			8/10/2015	2 x 12 mos.
Fordham Place3	Fund II		83,261			19.8	%		16,502		Libor + 300			9/25/2015	2 x 12 mos.
Cortlandt Towne Center	Fund III		73,692			19.9	%		14,665		Libor + 190			10/26/2015	None
White City Shopping Center6	Fund III		38,991			16.7	%		6,519		Libor + 260			12/23/2017	1 x 36 mos.
Interest rate swaps1	Funds II & III		(119,174	)		16.1	%		(19,200	)
Sub-Total Variable-Rate Debt			463,977						88,850		Libor + 209
Total Opportunity Funds Portfolio Debt		$	682,711					$	127,192			3.12	%

- 19 -

Debt Analysis - Notes
(in thousands)
1The Company has hedged a portion of its variable-rate debt with variable to fixed-rate swap agreements as follows:
	Notional		Pro-rata		Average		Maturity
	principal		Share		Swap rate		Date
Core Portfolio	$	15,000	$	15,000		3.79%	11/30/2012
		15,000		15,000		3.41%	11/30/2012
		10,000		10,000		2.65%	11/30/2012
		9,222		9,222		2.90%	7/2/2018
		15,372		15,372		1.57%	5/1/2019
		6,400		6,400		1.75%	9/1/2022
		70,994		70,994		2.77%
Opportunity Funds
		35,916		5,695		0.70%	5/1/2015
		33,047		5,240		0.70%	5/1/2015
		21,000		4,179		0.52%	8/10/2015
		19,474		3,256		2.90%	12/26/2017
		9,737		1,628		3.02%	12/26/2017
		119,174		19,998		1.21%
Total Core Portfolio and Opportunity Funds	$	190,168	$	90,992		2.43%

2This is a revolving facility for up to $64,500 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, Lawrence and Ridgewood.

5This is an acquisition facility with no current additional capacity.

6Fund 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%.

7Fund 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%.

8Fund III is a 90.0% joint venture partner on this investment. As such, Acadia's pro-rata share of the above debt is 90.0% x 19.9%, or 17.9%.

- 20 -

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
2012	$	1,296	$	2,701	$	3,997	$	1,128	$	1,351	$	2,479		2.35	%		n/a			2.35	%
2013		5,306		-		5,306		4,612		-		4,612		n/a			n/a			n/a
2014		5,401		74,406		79,807		4,667		45,280		49,947		5.47	%		5.47	%		n/a
2015		4,058		27,344		31,402		3,904		27,344		31,248		5.04	%		5.04	%		n/a
2016		2,566		276,634		279,200		2,402		147,367		149,769		5.91	%		5.91	%		n/a
Thereafter		4,604		103,529		108,133		3,995		91,421		95,416		4.39	%		5.60	%		2.14	%
Total	$	23,231	$	484,614	$	507,845	$	20,708	$	312,763	$	333,471
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
2012	$	1,675	$	92,190	$	93,865	$	206	$	18,427	$	18,633		3.74	%		n/a			3.74	%
2013		7,025		140,229		147,254		894		27,817		28,711		4.56	%		5.85	%		4.36	%
2014		6,479		54,179		60,658		829		10,674		11,503		5.72	%		6.71	%		3.15	%
2015		5,020		173,382		178,402		525		31,242		31,767		2.37	%		n/a			2.37	%
2016		2,820		21,233		24,053		369		2,234		2,603		2.97	%		n/a			2.97	%
Thereafter		15,406		163,073		178,479		2,700		31,275		33,975		4.25	%		6.24	%		2.74	%
Total	$	38,425	$	644,286	$	682,711	$	5,523	$	121,669	$	127,192

- 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
2012	$	1,296	$	2,701	$	3,997	$	1,128	$	1,351	$	2,479		2.32	%		n/a			2.32	%
2013		5,306		-		5,306		4,612		-		4,612		n/a			n/a			n/a
2014		5,361		86,502		91,863		4,627		57,376		62,003		5.05	%		5.47	%		2.47	%
2015		3,823		27,344		31,167		3,669		27,344		31,013		5.04	%		5.04	%		n/a
2016		2,271		280,440		282,711		2,107		151,173		153,280		5.88	%		5.88	%		n/a
Thereafter		3,812		88,989		92,801		3,203		76,881		80,084		4.53	%		5.71	%		1.95	%
Total	$	21,869	$	485,976	$	507,845	$	19,346	$	314,125	$	333,471
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
2012	$	1,675	$	92,190	$	93,865	$	206	$	18,427	$	18,633		2.57	%		n/a			2.57	%
2013		7,026		160,879		167,905		894		31,705		32,599		4.31	%		5.85	%		4.10	%
2014		6,410		54,179		60,589		816		10,674		11,490		5.71	%		6.71	%		3.12	%
2015		3,877		288,598		292,475		399		51,818		52,217		2.78	%		5.60	%		2.69	%
2016		577		-		577		96		-		96		n/a			n/a			n/a
Thereafter		576		66,724		67,300		96		12,061		12,157		3.81	%		4.97	%		2.82	%
Total	$	20,141	$	662,570	$	682,711	$	2,507	$	124,685	$	127,192

- 22 -

Overview of Acadia Strategic Opportunity Funds
Item	FUND I	FUND II	FUND III	FUND IV
Date formed	September 2001	June 2004	May 2007	May 2012
Capital commitment	$90 million	$300 million	$475 million	$540.6 million
			(Original was $503 million)
Funding	Fully funded	Fully funded	$341.0 million funded through September 30, 2012	$0 funded through September 30, 2012
Partnership structure
Equity Contribution and	22.22% - Acadia	20% - Acadia	20% - Acadia	23% - Acadia
Cash flow distribution:	77.78% - Four institutional investors	80% - Six institutional investors	80% - 14 institutional investors	77% - 19 institutional investors
Promote:	20% to Acadia once all partners (including	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	Acadia) have received 6% preferred return and
	return of equity	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	Remaining 80% is distributed to all the partners
	(including Acadia).	(including Acadia).	(including Acadia).	(including Acadia).
	All original capital and accumulated preference	All unfunded capital is anticipated to be used to	All unfunded capital is anticipated to be used to	Formation date May 16, 2012
	has been paid. Acadia is entitled to a Promote	complete existing projects	complete existing projects
	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	Priority distribution fee equal to 1.5% of total
	capital	committed 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 management fee equal to 4% of gross
	property revenues	property revenues	property revenues	property revenues
	Market rate leasing fees	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	Market rate construction/project management fees
			Development fee equal to 3% of total project cost	Development fee equal to 3% of total project cost

- 23 -

Opportunity Fund Retail Properties - Detail
													Leased
		Ownership		Gross Leasable Area			In Place Occupancy						Occupancy		Annualized Base Rent
	Anchors	%		Anchors	Shops	Total	Anchors		Shops		Total		Total		Anchors		Shops		Total		Anchors		Shops		Per Sq. Ft.
Fund I Portfolio Detail:
VARIOUS
Total - Fund I	Kroger/Safeway Portfolio (3 Properties)	75	%	97,500	-	97,500	69.23	%	-		69.23	%	69.23	%	$	302,076	$	-	$	302,076	$	4.48	$	-	$	4.48
Fund II Portfolio Detail 2
NEW YORK
New York
Pelham Manor Shopping Plaza	BJ's Wholesale Club, PetSmart, Storage Post	99.1	%	169,512	58,981	228,493	100.00	%	71.76	%	92.71	%	94.41	%	$	4,287,282	$	1,476,440	$	5,763,722	$	25.29	$	34.88	$	27.21
Fordham Place - Retail	Walgreens, Best Buy, 24 Hour Fitness, Sears	99.1	%	74,899	44,547	119,446	100.00	%	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	%	100.00	%	100.00	%	100.00	%		432,480		478,512		910,992		39.75		31.39		34.87
Canarsie Plaza	BJ's Wholesale Club, Planet Fitness, PetSmart	79.3	%	172,770	100,772	273,542	100.00	%	89.60	%	96.17	%	96.17	%		5,100,000		2,957,289		8,057,289		29.52		32.75		30.63
216th Street	NYC Human Resources Administration	99.1	%	60,000	-	60,000	100.00	%	0.00	%	100.00	%	100.00	%		2,574,000		120,000		2,694,000		42.90		-		44.90
161st Street1	Various New York City & State agencies	99.1	%	107,026	125,376	232,402	100.00	%	71.48	%	84.61	%	100.00	%		2,836,189		2,419,012		5,255,201		26.50		26.99		26.72
Total - Fund II				595,087	344,921	940,008	100.00	%	81.77	%	93.31	%	97.53	%	$	18,103,179	$	10,097,785	$	28,200,964	$	30.42	$	35.80	$	32.15
Fund III Portfolio Detail 2
NEW YORK
New York
Cortlandt Towne Center	Wal-Mart, Best Buy, A&P	100.0	%	472,901	168,324	641,225	95.63	%	83.73	%	92.51	%	92.51	%		6,185,123		3,264,909		9,450,032		13.68		23.17		15.93
654 Broadway	-	100.0	%	-	2,896	2,896	-		0.00	%	0.00	%	0.00	%		-		-		-		-		-		-
640 Broadway	Swatch	50.0	%	-	4,483	4,483	-		74.21	%	74.21	%	74.21	%		-		647,381		647,381		-		194.59		194.59
New Hyde Park Shopping Center	-	100.0	%	-	31,431	31,431	-		91.23	%	91.23	%	91.23	%		-		904,986		904,986		-		31.56		31.56
NEW ENGLAND
Massachusetts
White City Shopping Center4	Shaw's (Supervalu)	84.0	%	131,839	124,200	256,039	85.36	%	77.08	%	81.35	%	82.47	%		1,657,656		3,066,637		4,724,293		14.73		32.03		22.68
MID-ATLANTIC
Maryland
Parkway Crossing3	Home Depot, Shop Rite, Big Lots	90.0	%	192,836	67,405	260,241	100.00	%	78.64	%	94.47	%	94.47	%		704,710		1,239,389		1,944,099		3.65		23.38		7.91
Arundel Plaza	Giant Food, Lowe's	90.0	%	231,920	33,196	265,116	100.00	%	78.31	%	97.28	%	97.28	%		905,209		540,067		1,445,276		3.90		20.78		5.60
SOUTHEAST
Florida
Lincoln Road5	Starbucks, Sushi Samba	95.0	%	-	61,443	61,443	-		25.84	%	25.84	%	47.76	%		-		1,750,198		1,750,198		-		110.25		110.25
MIDWEST
Illinois
Heritage Shops	LA Fitness, Loft	100.0	%	49,878	55,707	105,585	100.00	%	54.39	%	75.94	%	75.94	%		1,077,752		2,011,000		3,088,752		21.61		66.37		38.52
Lincoln Park Centre		100.0	%	-	62,745	62,745	-		59.76	%	59.76	%	59.76	%		-		1,607,359		1,607,359		-		42.87		42.87
Total - Fund III				1,079,374	611,830	1,691,204	96.30	%	70.50	%	86.97	%	87.93	%	$	10,530,450	$	15,031,926	$	25,562,376	$	10.13	$	34.85	$	17.38

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 construction 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%
1Currently operating, but redevelopment activities have commenced.
2Fund II and Fund III portfolio detail does not include the Storage Portfolio. Storage Portfolio property detail is reported separately on page 31 of this supplement.
3 Fund III has a 90.0% interest in this unconsolidated investment.
4Fund III has an 84.0% interest in this unconsolidated investment.
5Fund III has an 95.0% interest in this unconsolidated investment.

- 24 -

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		2		67,500		100.00	%	$	302,076		100.00	%	$	4.48
Total		2		67,500		100.00	%	$	302,076		100.00	%	$	4.48
Total Vacant				30,000
Total Square Feet				97,500

- 25 -

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
2013		2		127,175		21.37	%		3,400,361		18.78	%		26.74
2019		1		39,705		6.67	%		1,747,020		9.65	%		44.00
2021		1		19,958		3.35	%		423,110		2.34	%		21.20
2023		1		35,194		5.91	%		1,126,208		6.22	%		32.00
2027		1		60,000		10.08	%		2,574,000		14.22	%		42.90
2030		1		172,770		29.03	%		5,100,000		28.17	%		29.52
2032		1		10,880		1.83	%		432,480		2.39	%		39.75
2033		1		129,405		21.75	%		3,300,000		18.23	%		25.50
Total		9		595,087		100.00	%	$	18,103,179		100.00	%	$	30.42
Total Vacant				-
Total Square Feet				595,087
Shop Tenants
Month to Month		1		9,967		3.53	%	$	99,670		0.99	%	$	10.00
2012		1		15,500		5.50	%		372,000		3.68	%		24.00
2014		1		5,081		1.80	%		193,078		1.91	%		38.00
2016		2		2,000		0.71	%		86,000		0.85	%		43.00
2018		3		3,600		1.28	%		156,600		1.55	%		43.50
2019		5		19,336		6.86	%		812,251		8.04	%		42.01
2020		3		16,309		5.78	%		547,183		5.42	%		33.55
2021		10		22,869		8.11	%		837,044		8.29	%		36.60
2022		6		26,046		9.24	%		1,023,516		10.14	%		39.30
2023		1		31,417		11.14	%		1,131,012		11.20	%		36.00
2027		1		7,702		2.73	%		280,649		2.78	%		36.44
2031		5		81,492		28.89	%		2,473,212		24.49	%		30.35
2032		1		30,712		10.89	%		885,570		8.77	%		28.83
2048		1		10,000		3.55	%		1,200,000		11.88	%		120.00
Total		41		282,031		100.00	%	$	10,097,785		100.00	%	$	35.80
Total Vacant				62,890
Total Square Feet				344,921
Total Anchor and Shop Tenants
Month to Month		1		9,967		1.14	%	$	99,670		0.36	%	$	10.00
2012		1		15,500		1.77	%		372,000		1.33	%		24.00
2013		2		127,175		14.50	%		3,400,361		12.06	%		26.74
2014		1		5,081		0.58	%		193,078		0.68	%		38.00
2016		2		2,000		0.23	%		86,000		0.30	%		43.00
2018		3		3,600		0.41	%		156,600		0.56	%		43.50
2019		6		59,041		6.73	%		2,559,271		9.08	%		43.35
2020		3		16,309		1.86	%		547,183		1.94	%		33.55
2021		11		42,827		4.88	%		1,260,154		4.47	%		29.42
2022		6		26,046		2.97	%		1,023,516		3.63	%		39.30
2023		2		66,611		7.59	%		2,257,220		8.00	%		33.89
2027		2		67,702		7.72	%		2,854,649		10.12	%		42.16
2030		1		172,770		19.70	%		5,100,000		18.08	%		29.52
2031		5		81,492		9.29	%		2,473,212		8.77	%		30.35
2032		2		41,592		4.74	%		1,318,050		4.67	%		31.69
2033		1		129,405		14.75	%		3,300,000		11.70	%		25.50
2048		1		10,000		1.14	%		1,200,000		4.26	%		120.00
Total		50		877,118		100.00	%	$	28,200,964		100.00	%	$	32.15
Total Vacant				62,890
Total Square Feet				940,008

- 26 -

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
2013		2		48,855		4.70	%	$	877,689			8.33	%	$	17.97
2014		2		56,379		5.42	%		908,695			8.63	%		16.12
2015		3		81,465		7.84	%		571,648			5.43	%		7.02
2016		2		45,611		4.39	%		519,580			4.93	%		11.39
2017		2		52,131		5.02	%		957,350			9.09	%		18.36
2018		3		238,706		22.97	%		2,607,354			24.76	%		10.92
2019		1		179,944		17.31	%		831,009			7.89	%		4.62
2021		1		35,601		3.43	%		382,967			3.64	%		10.76
2022		1		65,028		6.26	%		1,040,448			9.88	%		16.00
2023		1		19,536		1.88	%		263,736			2.50	%		13.50
2025		1		49,878		4.80	%		1,077,752			10.23	%		21.61
2032		2		166,275		16.00	%		492,222			4.67	%		2.96
Total		21		1,039,409		100.00	%	$	10,530,450			100.00	%	$	10.13
Total Vacant				39,965
Total Square Feet				1,079,374
										��
Shop Tenants
Month to Month		5		9,800		2.27	%	$	225,740			1.50	%	$	23.03
2012		1		9,150		2.12	%		21,000			0.14	%		2.30
2013		16		62,505		14.49	%		2,171,152			14.44	%		34.74
2014		22		76,624		17.76	%		2,268,711			15.09	%		29.61
2015		10		22,575		5.23	%		896,870			5.97	%		39.73
2016		20		65,103		15.09	%		2,232,119			14.85	%		34.29
2017		11		44,332		10.28	%		1,317,321			8.76	%		29.71
2018		12		33,761		7.83	%		1,259,976			8.38	%		37.32
2019		4		19,566		4.54	%		1,138,255			7.57	%		58.18
2020		3		6,175		1.43	%		140,472			0.93	%		22.75
2021		6		29,110		6.75	%		972,603			6.47	%		33.41
2022		4		11,010		2.55	%		334,022			2.22	%		30.34
2023		1		17,611		4.08	%		776,250			5.16	%		44.08
2024		1		8,266		1.92	%		500,000			3.33	%		60.49
2026		2		9,110		2.11	%		342,983			2.28	%		37.65
2027		1		3,050		0.71	%		152,500			1.01	%		50.00
2028+		2		3,600		0.83	%		281,952			1.88	%		78.32
Total		121		431,348		100.00	%	$	15,031,926			100.00	%	$	34.85
Total Vacant				180,482
Total Square Feet				611,830
Total Anchor and Shop Tenants
Month to Month		5		9,800		0.67	%	$	225,740			0.88	%	$	23.03
2012		1		9,150		0.62	%		21,000			0.08	%		2.30
2013		18		111,360		7.57	%		3,048,841			11.93	%		27.38
2014		24		133,003		9.04	%		3,177,406			12.43	%		23.89
2015		13		104,040		7.07	%		1,468,518			5.74	%		14.11
2016		22		110,714		7.53	%		2,751,699			10.76	%		24.85
2017		13		96,463		6.56	%		2,274,671			8.90	%		23.58
2018		15		272,467		18.53	%		3,867,330			15.13	%		14.19
2019		5		199,510		13.57	%		1,969,264			7.70	%		9.87
2020		3		6,175		0.42	%		140,472			0.55	%		22.75
2021		7		64,711		4.40	%		1,355,570			5.30	%		20.95
2022		5		76,038		5.17	%		1,374,470			5.38	%		18.08
2023		2		37,147		2.53	%		1,039,986			4.07	%		28.00
2024		1		8,266		0.56	%		500,000			1.96	%		60.49
2025		1		49,878		3.39	%		1,077,752			4.22	%		21.61
2026		2		9,110		0.62	%		342,983			1.34	%		37.65
2027		1		3,050		0.21	%		152,500			0.60	%		50.00
2028		2		3,600		0.24	%		281,952			1.10	%		78.32
2032		2		166,275		11.31	%		492,222			1.93	%		2.96
Total		142		1,470,757		100.00	%	$	25,562,376			100.00	%	$	17.38
Total Vacant				220,447
Total Square Feet				1,691,204

- 27 -

Urban/Street Retail Developments - Operating Properties

($ in millions)							Acquisition & Development Costs
									Estimated		Estimated		Outstanding
Property	Location	Sq. Ft.		Leased (%)4		Anchors/Tenants	Incurred		Future		Total		Debt
FUND II
Fordham Place	Bronx		262,000		100% Retail 100% Office	Walgreens, Best Buy, 24 Hour Fitness, Sears	$	137.0	$	-	$	137.0	$	83.3
Pelham Manor Shopping Plaza1	Westchester		320,000		94%	BJ's Wholesale Club, PetSmart, Storage Post		63.6		0.5		64.1		33.9
216th Street	Manhattan		60,000		100%	NYC Human Resources Administration		27.7		-		27.7		25.5
Liberty Avenue1	Queens		125,000		100%	CVS, Storage Post		16.0		-		16.0		9.2
161st Street2	Bronx		232,000		100%	Various New York City and State Agencies		68.2		2.7		70.9		28.9
Atlantic Avenue	Brooklyn		110,000		n/a	Storage Post		22.8		-		22.8		10.6
Canarsie Plaza3	Brooklyn		274,000		96%	BJ's Wholesale Club, Planet Fitness, PetSmart		92.1		-		92.1		69.0
SUBTOTAL - FUND II, OPERATING			1,383,000		97% Retail 100% Office		$	427.4	$	3.2	$	430.6	$	260.4

Notes:
1 Acquired a leasehold interest in this property.
2 Redevelopment currently in progress.
3 Incurred cost is net of lease termination income of $23.9 million from former anchor tenant.
4 Excludes the self-storage facilities at Pelham Manor Shopping Plaza, Liberty Avenue, and Atlantic Avenue.
Reconciliation of total incurred development costs to the Balance Sheet:
By Balance Sheet Line Item:
Operating Real Estate	$	461.0
Net Real Estate Under Development		229.3
Net Real Estate Under Development - Unconsolidated Affiliates		53.1
Gain From Bargain Purchase (CityPoint)		(33.8	)
Lease Termination Income (Canarsie Plaza)		(23.9	)
Total Incurred Development Costs	$	685.7
By Project Status:
Operating Properties	$	427.4
Under Construction		128.2
In Design		130.1
Total Incurred Development Costs	$	685.7

- 28 -

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		685,000-710,000		27	%2	Century 21	$	128.2	$	121.8-$ 211.8	$	250.0-$ 340.0	$	46.0
In Design
Sherman Plaza	Manhattan	TBD	TBD			-		TBD	$	34.6	TBD		TBD		$	-
FUND III
In Design
Sheepshead Bay	Brooklyn	TBD	TBD			-		TBD	$	22.8	TBD		TBD		$	-
Lincoln Road Portfolio3	Miami Beach, FL	TBD		60,720		48	%	Starbucks, Sushi Samba		53.1	TBD		TBD			20.0
Cortlandt Crossing	Mohegan Lake, NY	TBD		150,000 - 170,000		0	%	TBD		11.1	$	35.9 - $44.9	$	47.0 - $56.0		-
Broad Hollow Commons	Farmingdale, NY	TBD		180,000 - 200,000		0	%	TBD		8.5	$	41.5 - $51.5	$	50.0 - $60.0		-
SUBTOTAL - Fund III, In Design									$	95.5	TBD		TBD		$	20.0

Notes:

1 Acquired a leasehold interest in this property. The first 50,000 square feet of the project (Phase 1) has been completed.

  Construction of the next approximately 625,000 square feet (Phase 2) is underway.

2 Leased percentage calculated on approximately 475,000 rentable square feet.

3 Data reflects the status of the portfolio as of 9/30/12; certain properties are in the design phase pending redevelopment.

- 29 -

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 September 30, 2012

					Distributions
		Years	Invested		Current		From		Equity
Investor	Investment	acquired	capital		year-to-date		inception		Multiple
Mervyns I and Mervyns II	Mervyns	2004 through	$	32,575	$	-	$	49,524		1.5	x
		2007
Mervyns II	Albertson’s	2006 through		23,133		3,099		86,372		3.7	x
		2007
Fund II and Mervyns II	Other investments 1	2006 through		6,476		783		5,921		0.9	x
		2008
Total			$	62,184	$	3,882	$	141,817		2.3	x

Notes:

1Represents investments in Shopko, Marsh and Rex Stores.

- 30 -

Storage Portfolio Property Detail

Operating Properties	Location	Net Rentable Square Feet	Quarter ended:	Portfolio Occupancy
Fund III			September 30, 2012	92.8%
Suffern	Suffern, New York	78,750	June 30, 2012	91.6%
Yonkers	Westchester, New York	94,572	March 31, 2012	88.3%
Jersey City	Jersey City, New Jersey	76,620	December 31, 2011	87.0%
Webster Ave	Bronx, New York	36,271	September 30, 2011	87.2%
Linden	Linden, New Jersey	84,035	At Acquisition (2008)	72.2%
Bruckner Blvd	Bronx, New York	89,386
New Rochelle	Westchester, New York	42,195
Lawrence	Lawrence, New York	97,743
Long Island City	Queens, New York	133,704
Fordham Road	Bronx, New York	85,155
Ridgewood	Queens, New York	87,520
Fund II
Liberty Avenue	Queens, New York	72,900
Pelham Plaza	Pelham Manor, New York	61,606
Atlantic Avenue	Brooklyn, New York	75,486
Total		1,115,943

- 31 -

Core Portfolio Retail Properties - Detail

																					Leased
			Acadia's			Gross Leaseable Area						In Place Occupancy									Occupancy			Annualized Base Rent
Property	Anchors		interest			Anchors		Shops		Total		Anchors			Shops			Total			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	%		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		86,652		149,262		100.00	%		86.16	%		91.97	%		96.87	%		1,486,006		1,863,909		3,349,915		23.73		24.97		24.40
A & P Shopping Plaza	A&P			60.0	%		49,463		13,278		62,741		100.00	%		100.00	%		100.00	%		100.00	%		950,000		393,723		1,343,723		19.21		29.65		21.42
Total - New Jersey							112,073		99,930		212,003		100.00	%		88.00	%		94.34	%		97.80	%		2,436,006		2,257,632		4,693,638		21.74		25.67		23.47
New York
Village Commons Shopping Center		-		100.0	%		-		87,330		87,330		-			95.27	%		95.27	%		95.27	%		-		2,544,656		2,544,656		-		30.59		30.59
Branch Plaza	LA Fitness, CVS			100.0	%		74,050		52,223		126,273		14.92	%		92.69	%		47.08	%		96.98	%		251,388		1,400,067		1,651,455		22.75		28.92		27.78
Amboy Center	Stop & Shop (Ahold)			100.0	%		37,266		22,824		60,090		100.00	%		100.00	%		100.00	%		100.00	%		745,320		884,194		1,629,514		20.00		38.74		27.12
Bartow Avenue		-		100.0	%		-		14,676		14,676		-			92.75	%		92.75	%		92.75	%		-		415,483		415,483		-		30.51		30.51
Pacesetter Park Shopping Center	Stop & Shop (Ahold)			100.0	%		52,052		45,531		97,583		100.00	%		86.70	%		93.79	%		94.59	%		428,875		714,342		1,143,217		8.24		18.10		12.49
LA Fitness	LA Fitness			100.0	%		55,000		-		55,000		100.00	%		-			100.00	%		100.00	%		1,391,500		-		1,391,500		25.30		-		25.30
West 54th Street		-		100.0	%		-		9,797		9,797		-			90.48	%		90.48	%		95.40	%		-		2,291,924		2,291,924		-		258.56		258.56
East 17th Street	Barnes & Noble			100.0	%		19,622		-		19,622		100.00	%		-			100.00	%		100.00	%		625,000		-		625,000		31.85		-		31.85
Crossroads Shopping Center3	Kmart, Home Goods			49.0	%		201,296		108,191		309,487		74.84	%		75.19	%		74.96	%		78.98	%		1,296,093		3,596,034		4,892,127		8.60		44.21		21.09
Third Avenue	Planet Fitness			100.0	%		21,650		18,670		40,320		100.00	%		55.26	%		79.28	%		79.28	%		468,631		198,000		666,631		21.65		19.19		20.85
Mercer Street		-		100.0	%		-		6,225		6,225		-			100.00	%		100.00	%		100.00	%		-		383,160		383,160		-		61.55		61.55
28 Jericho Turnpike	Kohl's			100.0	%		96,363		-		96,363		100.00	%		-			100.00	%		100.00	%		1,650,000		-		1,650,000		17.12		-		17.12
4401 White Plains Road	Walgreens			100.0	%		-		12,964		12,964		-			100.00	%		100.00	%		100.00	%		-		625,000		625,000		-		48.21		48.21
83 Spring Street		-		100.0	%		-		3,000		3,000		-			100.00	%		100.00	%		100.00	%		-		623,884		623,884		-		207.96		207.96
Total - New York							557,299		381,431		938,730		79.61	%		86.58	%		82.44	%		90.61	%		6,856,807		13,676,744		20,533,551		15.46		41.42		26.53
Total New York							669,372		498,195		1,167,567		83.02	%		87.32	%		84.85	%		92.05	%	$	9,292,813	$	17,489,039	$	26,781,852	$	16.72	$	40.20	$	27.03
NEW ENGLAND
Connecticut
Town Line Plaza2	Wal-Mart, Stop & Shop (Ahold)			100.0	%		163,159		43,187		206,346		100.00	%		95.30	%		99.02	%		99.02	%	$	969,144	$	717,329	$	1,686,473	$	14.72	$	17.43	$	15.76
Massachusetts
Methuen Shopping Center	Wal-Mart, Market Basket			100.0	%		120,004		10,017		130,021		100.00	%		100.00	%		100.00	%		100.00	%		799,145		228,791		1,027,936		6.66		22.84		7.91
Crescent Plaza	Home Depot, Shaw's (Supervalu)			100.0	%		156,985		61,152		218,137		100.00	%		78.95	%		94.10	%		94.10	%		1,178,872		479,383		1,658,255		7.51		9.93		8.08
Cambridge	Whole Foods, Rite Aid			100.0	%		54,226		-		54,226		100.00	%		-			100.00	%		100.00	%		1,130,470		-		1,130,470		20.85		-		20.85
Total - Massachusetts							331,215		71,169		402,384		100.00	%		81.91	%		96.80	%		96.80	%		3,108,487		708,174		3,816,661		9.39		12.15		9.80
New York
New Loudon Center	Marshalls, Price Chopper,			100.0	%		251,058		4,615		255,673		100.00	%		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		95.53	%		76.14	%		89.54	%		89.54	%		1,263,777		845,520		2,109,297		6.73		12.62		8.27
Vermont
The Gateway Shopping Center	Shaw's (Supervalu)			100.0	%		73,184		28,471		101,655		100.00	%		93.72	%		98.24	%		98.24	%		1,353,904		558,325		1,912,229		18.50		20.92		19.15
Total New England							1,015,326		235,449		1,250,775		99.13	%		83.99	%		96.28	%		96.28	%	$	8,524,018	$	2,959,766	$	11,483,784	$	9.37	$	14.97	$	10.37

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.

1239 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.

2Anchor 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.

3The Company has a 49% interest in this unconsolidated investment.

- 32 -

Core Portfolio Retail Properties - Detail (continued)
													Leased
		Acadia's		Gross Leaseable Area			Occupancy						Occupancy		Annualized Base Rent
Property	Anchors	interest		Anchors	Shops	Total	Anchors		Shops		Total		Total		Anchors		Shops		Total		Anchors		Shops		Per Sq. Ft.
MIDWEST
Illinois
Hobson West Plaza	Garden Fresh Markets	100.0	%	51,692	47,445	99,137	100.00	%	88.30	%	94.40	%	94.40	%	$	225,436	$	844,944	$	1,070,380	$	4.36	$	20.17	$	11.44
Clark Diversey	The Vitamin Shoppe	100.0	%	-	19,265	19,265	0.00	%	95.72	%	95.72	%	100.00	%		-		818,648		818,648		-		44.40		44.40
West Diversey	Trader Joe's, Urban Outfitters	100.0	%	16,500	29,759	46,259	100.00	%	100.00	%	100.00	%	100.00	%		900,000		984,925		1,884,925		54.55		33.10		40.75
Chicago Street Retail Portfolio1	-	100.0	%	-	75,693	75,693	-		100.00	%	100.00	%	100.00	%		-		4,002,108		4,002,108		-		52.87		52.87
Total - Illinois				68,192	172,162	240,354	100.00	%	96.30	%	97.35	%	97.69	%		1,125,436		6,650,625		7,776,061		16.50		40.12		33.23
Indiana
Merrillville Plaza	JC Penney, Office Max,	100.0	%	123,369	112,455	235,824	100.00	%	82.17	%	91.50	%	91.50	%		1,251,160		1,631,515		2,882,675		10.14		17.66		13.36
	TJ Maxx
Michigan
Bloomfield Towne Square	Best Buy, Home Goods,	100.0	%	153,839	82,837	236,676	100.00	%	91.10	%	96.88	%	97.90	%		1,683,030		1,675,242		3,358,272		10.94		22.20		14.65
	TJ Maxx, Dick's Sporting Goods
Ohio
Mad River Station2	Babies 'R' Us, Office Depot,	100.0	%	58,185	67,944	126,129	100.00	%	65.65	%	81.50	%	81.50	%		552,195		718,132		1,270,327		9.49		16.10		12.36
Total Midwest				403,585	435,398	838,983	100.00	%	86.88	%	93.19	%	93.57	%	$	4,611,821	$	10,675,514	$	15,287,335	$	11.43	$	28.22	$	19.55
MID-ATLANTIC
New Jersey
Marketplace of Absecon	Rite Aid, Dollar Tree	100.0	%	47,915	56,847	104,762	56.74	%	87.43	%	73.39	%	73.39	%	$	539,040	$	737,356	$	1,276,396	$	19.83	$	14.84	$	16.60
Delaware
Brandywine Town Center6	Lowes, Bed Bath & Beyond,	22.2	%	827,471	48,208	875,679	96.98	%	82.94	%	96.21	%	96.71	%		12,325,537		601,304		12,926,841		15.36		15.04		15.34
	Target, Dicks Sporting Goods
Market Square Shopping Center6	TJ Maxx, Trader Joe's	22.2	%	42,850	59,197	102,047	100.00	%	96.94	%	98.22	%	98.22	%		703,062		1,778,473		2,481,535		16.41		30.99		24.76
Naamans Road7	-	22.2	%	-	19,984	19,984	0.00	%	100.00	%	100.00	%	100.00	%		-		837,541		837,541		-		41.91		41.91
Total - Delaware				870,321	127,389	997,710	97.13	%	92.12	%	96.49	%	96.93	%		13,028,599		3,217,318		16,245,917		15.41		27.42		16.88
Pennsylvania
Mark Plaza	Kmart	100.0	%	104,956	1,900	106,856	100.00	%	100.00	%	100.00	%	100.00	%		204,664		36,000		240,664		1.95		18.95		2.25
Plaza 422	Home Depot, Dunham Sports	100.0	%	139,968	16,311	156,279	100.00	%	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	%	100.00	%		806,351		373,261		1,179,612		5.50		12.86		6.72
Chestnut Hill3		100.0	%	-	37,916	37,916	0.00	%	75.52	%	75.52	%	75.52	%		-		513,425		513,425		-		17.93		17.93
Abington Towne Center4	Target, TJ Maxx	100.0	%	184,616	31,753	216,369	100.00	%	65.27	%	94.90	%	94.90	%		283,500		670,853		954,353		10.50		32.37		20.00
Total - Pennsylvania				576,038	116,901	692,939	100.00	%	82.63	%	97.07	%	97.07	%		1,938,018		1,745,888		3,683,906		4.63		18.08		7.15
District of Columbia
Rhode Island Place Shopping Center	TJ Maxx	100.0	%	24,996	32,533	57,529	100.00	%	100.00	%	100.00	%	100.00	%		312,450		1,310,179		1,622,629		12.50		40.27		28.21
Georgetown Portfolio5	-	50.0	%	-	27,666	27,666	0.00	%	100.00	%	100.00	%	100.00	%		-		1,825,616		1,825,616		-		65.99		65.99
Total - District of Columbia				24,996	60,199	85,195	100.00	%	100.00	%	100.00	%	100.00	%		312,450		3,135,795		3,448,245		12.50		52.09		40.47
Total Mid-Atlantic				1,519,270	361,336	1,880,606	96.99	%	89.62	%	95.57	%	95.81	%	$	15,818,107	$	8,836,357	$	24,654,464	$	12.02	$	27.29	$	15.04
TOTAL CORE PROPERTIES				3,607,553	1,530,378	5,137,931	95.34	%	87.22	%	92.92	%	94.71	%	$	38,246,759	$	39,960,676	$	78,207,435	$	12.01	$	29.94	$	17.31
TOTAL CORE PROPERTIES - weighted based on ownership interest8				2,808,171	1,352,765	4,160,936	95.62	%	87.14	%	92.86	%	94.83	%	$	27,072,107	$	34,165,306	$	61,237,413	$	10.08	$	28.98	$	15.85

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.

1Includes 12 properties (56 E. Walton, 841 W. Armitage, 2731 N. Clark, 2140 N. Clybourn, 853 W. Armitage, 2299 N. Clybourn, 1521 Milwaukee, 843-45 W. Armitage, 1521 W. Belmont, 2206-08 N. Halsted, 2633 N. Halsted and 930 N Rush St.)

2The GLA for this property excludes 29,857 square feet of office space.

3This consists of two separate buildings.

4Anchor 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.

5Includes six properties (1533 Wisconsin Ave., 3025 M St., 3034 M St., 3146 M St., 3259-61 M St. and 2809 M St.) The Company has a 50% interest in this unconsolidated portfolio.

6The Company has a 22.2% interest in this unconsolidated investment.

7Weighted based on Acadia's ownership interest in the properties.

- 33 -

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	88.0	%	4.7	%	2	163,159	60,021	223,180	100.00	%	96.62	%	99.09	%	$	969,144	$	2,271,992	$	3,241,136
Delaware	22.2	%	5.9	%	3	870,321	127,389	997,710	97.13	%	92.12	%	96.49	%		13,028,599		3,217,318		16,245,917
District of Columbia	50.0	%	4.1	%	7	24,996	60,199	85,195	100.00	%	100.00	%	100.00	%		312,450		3,135,795		3,448,245
Illinois	100.0	%	12.7	%	15	68,192	172,162	240,354	100.00	%	96.30	%	97.35	%		1,125,436		6,650,625		7,776,061
Indiana	100.0	%	4.7	%	1	123,369	112,455	235,824	100.00	%	82.17	%	91.50	%		1,251,160		1,631,515		2,882,675
Massachusetts	100.0	%	6.2	%	3	331,215	71,169	402,384	100.00	%	81.91	%	96.80	%		3,108,487		708,174		3,816,661
Michigan	100.0	%	5.5	%	1	153,839	82,837	236,676	100.00	%	91.10	%	96.88	%		1,683,030		1,675,242		3,358,272
New Jersey	88.5	%	8.9	%	3	159,988	156,777	316,765	87.04	%	87.79	%	87.41	%		2,975,046		2,994,988		5,970,034
New York	87.8	%	32.7	%	15	808,357	386,046	1,194,403	85.94	%	86.74	%	86.20	%		8,685,513		13,807,162		22,492,675
Ohio	100.0	%	2.1	%	1	58,185	67,944	126,129	100.00	%	65.65	%	81.50	%		552,195		718,132		1,270,327
Pennsylvania	100.0	%	6.0	%	5	576,038	116,901	692,939	100.00	%	82.63	%	97.07	%		1,938,018		1,745,888		3,683,906
Rhode Island	100.0	%	3.4	%	1	196,710	88,007	284,717	95.53	%	76.14	%	89.54	%		1,263,777		845,520		2,109,297
Vermont	100.0	%	3.1	%	1	73,184	28,471	101,655	100.00	%	93.72	%	98.24	%		1,353,904		558,325		1,912,229
Total - Core Portfolio			100.0	%	58	3,607,553	1,530,378	5,137,931	95.34	%	87.22	%	92.92	%	$	38,246,759	$	39,960,676	$	78,207,435

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.

- 34 -

Core Portfolio Top Tenants - Ranked by Annual Base Rent (ABR)
		Gross									Pro-Rata
	Number of stores	Wholly Owned			Joint Ventures1			Combined			Combined			Percentage of Total
	in Core													Percentage of
Tenant	portfolio	GLA	Base Rent		GLA	Base Rent		GLA	Base Rent		GLA	Base Rent		Portfolio GLA		Base Rent
Supervalu (Shaws)	3	175,801	$	2,420,980	-	$	-	175,801	$	2,420,980	175,801	$	2,420,980	4.2	%	4.0	%
Ahold (Stop and Shop)	3	155,177		1,936,339	-		-	155,177		1,936,339	155,177		1,936,339	3.7	%	3.2	%
Kohl's	1	96,363		1,650,000	-		-	96,363		1,650,000	96,363		1,650,000	2.3	%	2.7	%
A&P	2	97,236		2,001,006	-		-	97,236		2,001,006	77,451		1,621,006	1.9	%	2.6	%
TJX Companies	8	190,054		1,590,604	56,108		951,655	246,162		2,542,259	209,198		1,616,339	5.0	%	2.6	%
-- T.J. Maxx	5	113,196		1,085,550	31,175		428,062	144,371		1,513,612	120,123		854,724	2.9	%	1.4	%
-- Marshalls	1	37,212		158,151	-		-	37,212		158,151	37,212		158,151	0.9	%	0.3	%
-- Homegoods	2	39,646		346,903	24,933		523,593	64,579		870,496	51,863		603,464	1.2	%	1.0	%
Sears	4	285,314		1,150,615	100,725		566,250	386,039		1,716,865	334,669		1,428,078	8.0	%	2.3	%
-- Kmart	3	224,614		892,615	100,725		566,250	325,339		1,458,865	273,969		1,170,078	6.6	%	1.9	%
-- Sears	1	60,700		258,000	-		-	60,700		258,000	60,700		258,000	1.5	%	0.4	%
Walgreens	3	37,499		1,366,748	-		-	37,499		1,366,748	37,499		1,366,748	0.9	%	2.2	%
Home Depot	2	211,003		1,099,996	-		-	211,003		1,099,996	211,003		1,099,996	5.1	%	1.8	%
Trader Joe's	2	16,500		900,000	11,675		275,000	28,175		1,175,000	19,094		961,105	0.5	%	1.6	%
Dicks Sporting Goods	2	48,805		695,471	50,000		700,000	98,805		1,395,471	59,805		849,471	1.4	%	1.4	%
Sleepy's	5	32,619		789,858	3,700		140,600	36,319		930,458	33,441		821,102	0.8	%	1.3	%
Rite Aid	2	26,633		764,030	-		-	26,633		764,030	26,633		764,030	0.6	%	1.2	%
Citibank	4	10,486		520,494	8,470		451,395	18,956		971,889	13,283		680,772	0.3	%	1.1	%
JP Morgan Chase Bank	5	21,104		552,043	3,745		325,000	24,849		877,043	22,039		658,145	0.5	%	1.1	%
Dollar Tree	7	63,816		653,499	-		-	63,816		653,499	63,816		653,499	1.5	%	1.1	%
Pier 1 Imports	3	19,255		462,466	8,818		348,576	28,073		811,042	23,576		633,268	0.6	%	1.0	%
Coach	2	4,541		388,573	6,810		476,700	11,351		865,273	6,811		529,780	0.2	%	0.9	%
Payless Shoesource	6	18,236		465,232	3,090		114,330	21,326		579,562	19,750		521,254	0.5	%	0.9	%
Drexel Heritage	2	13,315		352,848	18,893		415,646	32,208		768,494	17,509		445,205	0.4	%	0.7	%
CVS	2	25,500		356,583	-		-	25,500		356,583	34,300		356,583	0.8	%	0.6	%
TOTAL	68	1,549,257	$	20,117,385	272,034	$	4,765,152	1,821,291	$	24,882,537	1,637,219	$	21,013,699	39.3	%	34.3	%

Notes:

1Includes the Company's pro-rata share of unconsolidated joint ventures.

- 35 -

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
2012		2		110,717		3.48	%	$	742,396		1.94	%	$	6.71
2013		10		353,426		11.10	%		4,444,321		11.62	%		12.57
2014		7		258,558		8.12	%		2,183,597		5.71	%		8.45
2015		6		274,639		8.63	%		3,835,262		10.03	%		13.96
2016		8		287,962		9.04	%		2,813,094		7.36	%		9.77
2017		5		260,114		8.17	%		3,317,966		8.68	%		12.76
2018		4		330,649		10.38	%		3,764,816		9.84	%		11.39
2019		6		136,521		4.29	%		1,137,580		2.97	%		8.33
2020		6		329,713		10.36	%		3,983,034		10.41	%		12.08
2021		8		310,001		9.74	%		3,602,917		9.42	%		11.62
2022		2		69,837		2.19	%		1,826,500		4.78	%		26.15
2023		1		48,805		1.53	%		695,471		1.82	%		14.25
2024		3		188,506		5.92	%		3,273,050		8.56	%		17.36
2027		1		21,650		0.68	%		468,631		1.23	%		21.65
2028		4		202,935		6.37	%		2,158,124		5.64	%		10.63
Total		73		3,184,033		100.00	%	$	38,246,759		100.00	%	$	12.01
Anchor GLA Owned by Tenants				254,916
Total Vacant				168,604
Total Square Feet				3,607,553
Shop Tenants
Month to month		3		8,409		0.63	%	$	174,342		0.44	%	$	20.73
2012		9		29,597		2.22	%		552,981		1.38	%		18.68
2013		58		163,124		12.22	%		4,898,504		12.26	%		30.03
2014		60		223,916		16.77	%		6,626,888		16.58	%		29.60
2015		34		159,779		11.97	%		3,079,050		7.71	%		19.27
2016		48		229,747		17.21	%		5,305,610		13.28	%		23.09
2017		36		165,913		12.43	%		6,167,420		15.43	%		37.17
2018		21		68,892		5.16	%		3,071,699		7.69	%		44.59
2019		17		44,335		3.32	%		2,268,088		5.68	%		51.16
2020		13		30,970		2.32	%		928,695		2.32	%		29.99
2021		17		81,922		6.14	%		2,176,015		5.45	%		26.56
2022		17		65,524		4.91	%		2,740,792		6.86	%		41.83
2023		3		19,512		1.46	%		417,860		1.05	%		21.42
2025		1		1,542		0.12	%		23,053		0.06	%		14.95
2027		1		3,120		0.23	%		29,047		0.07	%		9.31
2028		1		21,859		1.64	%		550,632		1.38	%		25.19
2030		2		3,745		0.28	%		325,000		0.81	%		86.78
2060		1		12,964		0.97	%		625,000		1.56	%		48.21
Total		342		1,334,870		100.00	%	$	39,960,676		100.00	%	$	29.94
Total Vacant				195,508
Total Square Feet				1,530,378

- 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.
Total Anchor and
Shop Tenants
Month to month		3		8,409		0.19	%	$	174,342		0.22	%	$	20.73
2012		11		140,314		3.11	%		1,295,377		1.66	%		9.23
2013		68		516,550		11.43	%		9,342,825		11.95	%		18.09
2014		67		482,474		10.68	%		8,810,485		11.27	%		18.26
2015		40		434,418		9.61	%		6,914,312		8.84	%		15.92
2016		56		517,709		11.46	%		8,118,704		10.38	%		15.68
2017		41		426,027		9.43	%		9,485,386		12.13	%		22.26
2018		25		399,541		8.84	%		6,836,515		8.74	%		17.11
2019		23		180,856		4.00	%		3,405,668		4.35	%		18.83
2020		19		360,683		7.98	%		4,911,729		6.28	%		13.62
2021		25		391,923		8.67	%		5,778,932		7.39	%		14.75
2022		19		135,361		3.00	%		4,567,292		5.84	%		33.74
2023		3		68,317		1.51	%		1,113,331		1.42	%		16.30
2024		3		188,506		4.17	%		3,273,050		4.19	%		17.36
2025		1		1,542		0.03	%		23,053		0.03	%		14.95
2027		2		24,770		0.55	%		497,678		0.64	%		20.09
2028		5		224,794		4.97	%		2,708,756		3.46	%		12.05
2030		2		3,745		0.08	%		325,000		0.42	%		86.78
2060		1		12,964		0.29	%		625,000		0.80	%		48.21
Total		414		4,518,903		100.00	%	$	78,207,435		100.00	%	$	17.31
Anchor GLA Owned by Tenants				254,916
Total Vacant				364,112
Total Square Feet				5,137,931

- 37 -

Core Portfolio - New and Renewal Rent Spreads 1
Based on Lease Execution Dates
	Period ended		3 months ended		3 months ended		3 months ended
	September 30, 2012		September 30, 2012		June 30, 2012		March 31, 2012
	Cash2	GAAP3	Cash2	GAAP3	Cash2	GAAP3	Cash2	GAAP3
New leases
Number of new leases executed	15	15	8	8	5	5	2	2
GLA	41,412	41,412	20,019	20,019	16,669	16,669	4,724	4,724
New base rent	$22.74	$23.77	$22.09	$22.82	$22.33	$23.23	$26.91	$29.70
Previous base rent (and percentage rent)	$24.54	$23.07	$23.09	$21.50	$27.83	$26.08	$19.07	$19.07
Percentage growth in base rent	-7.3%	3.1%	-4.3%	6.1%	-19.8%	-10.9%	41.1%	55.7%
Average cost per square foot	$37.05	$37.05	$31.81	$31.81	$38.14	$38.14	$55.45	$55.45
Weighted Average Lease Term (years)	8.3	8.3	7.2	7.2	9.5	9.5	8.5	8.5
Renewal leases
Number of renewal leases executed	30	30	10	10	7	7	13	13
GLA	187,354	187,354	27,903	27,903	60,957	60,957	98,494	98,494
New base rent	$15.56	$16.05	$26.15	$26.26	$13.90	$14.00	$13.58	$14.43
Expiring base rent (and percentage rent)	$15.23	$14.70	$24.22	$24.06	$14.07	$13.64	$13.40	$12.71
Percentage growth in base rent	2.1%	9.2%	8.0%	9.1%	-1.2%	2.6%	1.3%	13.5%
Average cost per square foot	$0.00	$0.00	$0.00	$0.00	$0.00	$0.00	$0.00	$0.00
Weighted Average Lease Term (years)	3.5	3.5	3.8	3.8	2.3	2.3	4.1	4.1
Total new and renewal Leases
Number of new and renewal leases executed	45	45	18	18	12	12	15	15
GLA commencing	228,766	228,766	47,922	47,922	77,626	77,626	103,218	103,218
New base rent	$16.86	$17.45	$24.45	$24.82	$15.71	$15.98	$14.19	$15.13
Expiring base rent (and percentage rent)	$16.91	$16.22	$23.75	$22.99	$17.02	$16.31	$13.66	$13.00
Percentage growth in base rent	-0.35%	7.60%	3.0%	8.0%	-7.7%	-2.0%	3.9%	16.4%
Average cost per square foot	$6.71	$6.71	$13.29	$13.29	$8.19	$8.19	$2.54	$2.54
Weighted Average Lease Term (years)	3.2	3.2	5.2	5.2	3.8	3.8	4.3	4.3

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.

- 38 -

Core Portfolio Capital Expenditures
Current Quarter
	Year-to-Date		Current Quarter		Previous Quarter		Previous Quarter
	Period ended		3 months ended		3 months ended		3 months ended		Prior Year ended
	September 30, 2012		September 30, 2012		June 30, 2012		March 31, 2012		December 31, 2011
Leasing Commissions	$	1,569	$	947	$	316	$	306	$	1,265
Tenant Improvements		3,361		366		1,412		1,583		5,823
Capital Expenditures		1,079		692		323		64		471
Total capital expenditures		6,009		2,005		2,051		1,953		7,559
Re-anchoring costs1		9,723		1,274		4,811		3,638		1,578
Total	$	15,732	$	3,279	$	6,862	$	5,591	$	9,137

Notes:

1 Represents costs associated with the Bloomfield Town Square and The Branch Plaza re-anchorings as discussed by the Company.

- 39 -

Property Demographics - Core
							3-Mile Radius2
				Trade Area	Base	Total	Total	#	Median HH	Avg. HH
	Property	City	State	(Miles)	Rent	GLA	Pop.	HH	Income	Income
	Core
	239 Greenwich Avenue	Greenwich	CT	3	1,554,663	16,834	66,764	24,760	126,648	180,475
	Elmwood Park Shopping Center	Elmwood Park	NJ	3	3,349,915	149,262	254,598	84,884	59,534	70,827
	A & P Shopping Plaza	Boonton	NJ	3	1,343,723	62,741	46,839	17,923	103,943	129,441
	Village Commons Shopping Center	Smithtown	NY	3	2,544,656	87,330	66,766	23,288	111,019	137,242
	The Branch Plaza	Smithtown	NY	3	1,651,455	126,273	66,916	23,389	110,173	136,382
	Amboy Road	Staten Island	NY	3	1,629,514	60,090	147,590	54,454	87,821	103,110
	Bartow Avenue	Bronx	NY	3	415,483	14,676	571,167	212,683	47,950	59,131
	Pacesetter Park Shopping Center	Pomona	NY	3	1,143,217	97,583	35,902	11,177	106,212	124,240
	LA Fitness	Staten Island	NY	3	1,391,500	55,000	121,318	43,079	78,203	90,627
	West 54th Street	Manhattan	NY	3	2,291,924	9,797	1,223,652	627,833	89,958	147,056
	East 17th Street	Manhattan	NY	3	625,000	19,622	1,059,535	542,170	91,411	144,163
	Crossroads Shopping Center	White Plains	NY	3	4,892,127	309,487	108,529	42,787	93,274	125,433
	Third Avenue	Yonkers	NY	3	666,631	40,320	1,218,498	437,804	35,045	51,736
	Mercer Street	Manhattan	NY	3	383,160	6,225	923,759	452,623	85,085	129,584
	4401 White Plains Road	White Plains	NY	3	623,884	3,000	565,820	212,940	52,461	66,174
	Town Line Plaza	Rocky Hill	CT	3	1,686,473	206,346	46,398	19,516	78,060	91,541
	Methuen Shopping Center	Methuen	MA	3	1,027,936	130,021	93,621	33,353	51,101	60,867
	Crescent Plaza	Brockton	MA	3	1,658,255	218,137	98,732	35,274	57,418	66,869
	Cambridge	Cambridge	MA	3	1,130,470	54,226	489,136	215,122	68,158	97,306
	New Loudon Center	Latham	NY	3	1,959,124	255,673	45,708	18,694	65,042	78,848
	Walnut Hill Plaza	Woonsocket	RI	3	2,109,297	284,717	63,856	25,805	56,673	65,553
	The Gateway Shopping Center	So. Burlington	VT	3	1,912,229	101,655	50,684	19,217	51,090	66,456
	Hobson West Plaza	Naperville	IL	3	1,070,380	99,137	124,307	43,292	107,747	133,753
	Clark & Diversey	Chicago	IL	3	818,648	19,265	403,737	217,875	74,156	112,282
	West Diversey	Chicago	IL	3	1,884,925	46,259	406,188	218,945	74,095	112,128
	Chicago Urban/Street Retail Portfolio1	Chicago	IL	3	4,002,108	75,693	441,107	231,488	75,124	112,564
	Merrillville Plaza	Hobart	IN	3	2,882,675	235,824	28,084	11,444	51,584	58,223
	Bloomfield Town Square	Bloomfield Hills	MI	3	3,358,272	236,676	56,262	22,488	70,867	102,286
	Mad River Station	Dayton	OH	3	1,270,327	126,129	63,784	27,917	58,431	70,473
	Marketplace of Absecon	Absecon	NJ	3	1,276,396	104,762	32,818	11,478	62,164	74,221
	Brandywine/Mkt Sq./Naamans Rd.	Wilmington	DE	3	16,245,917	997,710	43,888	17,592	98,322	121,132
	Mark Plaza	Edwardsville	PA	3	240,664	106,856	88,065	37,263	37,520	47,049
	Plaza 422	Lebanon	PA	3	795,852	156,279	45,898	18,145	43,042	52,403
	Route 6 Plaza	Honesdale	PA	3	1,179,612	175,519	45,996	18,427	97,614	119,789
	Chestnut Hill	Philadelphia	PA	3	513,425	37,916	144,928	61,588	62,496	78,437
	Abington Towne Center	Abington	PA	3	954,353	216,369	89,061	35,063	76,999	95,632
	Georgetown Portfolio	Georgetown	DC	3	1,825,616	27,666	310,075	155,858	85,815	118,080
	28 Jericho Turnpike	Westbury	NY	3	1,650,000	96,363	107,066	34,486	104,342	132,026
	Rhode Island Place Shopping Center	Washington	DC	3	1,622,629	57,529	336,016	153,378	65,558	87,768
	83 Spring Street	Manhattan	NY	3	623,884	3,000	963,271	475,088	85,441	130,755
Total Core 2
Average - Total					1,533,457	100,548	312,716	147,391	75,764	102,358
Weighted Average - Based on base rent							223,315	101,728	77,685	101,490

Notes:

1 Calculations comprised of twelve individual properties.

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

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Property Demographics - Funds
							3-Mile Radius2
				Trade Area	Base	Total	Total	#	Median HH	Avg. HH
	Property	City	State	(Miles)	Rent	GLA	Pop.	HH	Income	Income
	Fund II
	Pelham Manor Shopping Plaza	Westchester	NY	3	5,763,722	228,493	374,733	141,676	57,019	73,516
	400 East Fordham Road	Bronx	NY	3	5,519,760	119,446	1,200,592	421,615	37,257	48,075
	Liberty Avenue	Queens	NY	3	910,992	26,125	608,079	205,151	55,864	67,708
	Canarsie	Brooklyn	NY	3	8,057,289	273,542	911,000	333,487	45,787	56,307
	216th Street	Manhattan	NY	3	2,694,000	60,000	935,948	329,442	37,176	55,430
	161st Street	Bronx	NY	3	5,255,201	232,402	1,251,086	444,325	32,321	47,196
Average - Total					4,700,161	156,668	880,240	312,616	44,237	58,039
Weighted Average - Based on base rent							914,235	327,306	43,264	56,829
	Fund III
	Cortlandt Towne Center	Mohegan Lake	NY	3	9,450,032	641,225	49,183	17,702	88,812	104,358
	654 Broadway	Manhattan	NY	3	-	2,896	988,935	493,404	86,546	133,779
	640 Broadway	Manhattan	NY	3	647,381	4,483	987,988	492,393	86,341	133,275
	New Hyde Park Shopping Center	New Hyde Park	NY	3	904,986	31,431	195,564	70,172	101,624	129,444
	White City	Shrewsbury	MA	3	4,724,293	256,039	101,062	40,736	52,003	64,348
	Parkway Crossing	Parkville	MD	3	1,445,276	265,116	184,242	74,094	59,047	70,053
	Lincoln Road	Miami Beach	FL	3	1,750,198	61,443	57,171	32,620	61,991	89,803
	Heritage Shops	Chicago	IL	3	3,088,752	105,585	289,135	155,570	76,609	116,432
	Lincoln Park Center	Chicago	IL	3	1,607,359	62,745	438,736	235,290	77,360	116,754
	Arundel Plaza	Glen Burnie	MD	3	1,445,276	265,116	76,060	28,613	58,913	65,941
Fund III 1
Average - Total					2,506,355	169,608	336,808	164,059	74,925	102,419
Weighted Average - Based on base rent							152,175	71,654	79,934	102,004
Total - Core and Funds1
Average - Total					1,962,251	115,881	367,135	164,675	72,815	98,398
Weighted Average - Based on base rent							270,097	116,573	75,274	98,210

Notes:

1 Does not include the Kroger/Safeway Portfolio.

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

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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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