akr-ex992_16.htm

EX-99.2 3 akr-ex992_16.htm EX-99.2 SUPPLEMENTAL REPORT akr-ex992_16.htm

Exhibit 99.2

ACADIA—REALTY TRUST—Q2 2018 SUPPLEMENTAL REPORTING INFORMATIO

Table of Contents		Supplemental Report – September 30, 2019

Section I - Third Quarter 2019 Earnings Press Release
Section II - Financial Information		Section III – Core Portfolio Information

Company Information	3	Core Properties	26
Market Capitalization	4	Core Top Tenants	30
Operating Statements		Core Lease Expirations	31
Consolidated Income Statements	5	Core New and Renewal Rent Spreads	32
Income Statement - Pro-rata Adjustments	7	Core Capital Expenditures	33
Consolidated Balance Sheet	8
Balance Sheet - Pro-rata Adjustments	9
Funds from Operations (“FFO”), Adjusted FFO (“AFFO”)	11
EBITDA	12
Same Property Net Operating Income	13
Fee Income	14	Section IV - Fund Information
Structured Financing	15
Other Information		Fund Overview	34
Transactional Activity	16	Fund Properties	35
2019 Guidance	18	Fund Lease Expirations	38
Net Asset Valuation Information	19	Development and Redevelopment Activity	39
Selected Financial Ratios	20
Debt Analysis
Summary	22
Detail	23
Maturities	25	Important Notes	41

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

Supplemental Report – September 30, 2019		Company Information

Acadia Realty Trust is a fully-integrated equity real estate investment trust, focused on the ownership, acquisition, redevelopment and management of high-quality retail properties located in key street and urban retail corridors as well as suburban locations within high-barrier-to-entry, densely-populated metropolitan areas. Acadia owns, or has an ownership interest in, these properties through its Core Portfolio and through a series of 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
	411 Theodore Fremd Avenue	Amy Racanello	Symbol AKR
	Suite 300	Senior Vice President,
	Rye, NY 10580	Capital Markets & Investments
		(914) 288-3345
		aracanello@acadiarealty.com


Analyst Coverage

	Bank of America / Merrill Lynch	BTIG	KeyBanc Capital Markets, Inc.
	Craig Schmidt - (646) 855-3640	Michael Gorman - (212) 738-6138	Todd Thomas - (917) 368-2286
	craig.schmidt@baml.com	mgorman@btig.com	tthomas@key.com



	Green Street Advisors	Citigroup - Global Markets	J.P. Morgan Securities, Inc.
	Vince Tibone - (949) 640-8780	Christy McElroy - (212) 816-6981	Michael W. Mueller, CFA - (212) 622-6689
	vtibone@greenstreetadvisors.com	christy.mcelroy@citi.com	michael.w.mueller@jpmorgan.com


		Compass Point Research & Trading, LLC
		Floris van Dijkum – (646) 757-2621
		fvandijkum@compasspointllc.com

Market Capitalization

Supplemental Report – September 30, 2019

(Including pro-rata share of Fund debt, in thousands)

							Changes in Total Outstanding Common								Weighted Average
	Total Market					Capitalization	Shares and OP Units (in thousands)								Diluted EPS				FFO
	Capitalization ($)				%	Based on Net Debt ¹		Common Shares		Common OP Units			Total		Quarter		YTD		Quarter		YTD
Equity Capitalization
Common Shares		86,644					Balance at 12/31/2018		81,557		5,030			86,587
Common Operating Partnership ("OP") Units		5,071					Other		5		276			281
Combined Common Shares and OP Units		91,715					Share issuances		971		—			971
							OP Conversions		175		(175	)		—
Share Price at September 30, 2019	$	28.58					Balance at 3/31/2019		82,708		5,131			87,839		82,037		82,037		87,969		87,969
							Other		16		15			31
Equity Capitalization - Common Shares and OP Units	$	2,621,215					Share issuances		1,696		—			1,696
Preferred OP Units		14,271		²			OP Conversions		33		(33	)		—
Total Equity Capitalization		2,635,486			73%	73%	Balance at 6/30/2019		84,453		5,113			89,566		83,704		82,873		89,530		88,744
							Share issuances		2,149		—			2,149
Debt Capitalization							OP Conversions		42		(42	)		—
Consolidated debt		1,664,142					Balance at 9/30/2019		86,644		5,071			91,715		84,888		83,552		90,683		89,404
Adjustment to reflect pro-rata share of debt		(675,450	)
Total Debt Capitalization		988,692			27%	27%

Total Market Capitalization	$	3,624,178		³	100%	100%

__________

Reflects debt net of Core Portfolio cash of $16,137 and pro-rata share of Funds cash of $9,340 for total cash netted against debt of $25,477.

Represents 188 Series A and 136,593 Series C Preferred OP Units convertible into 25,067 and 474,278 Common OP Units, respectively, multiplied by the Common Share price at quarter end.

Market capitalization comprises (fixed-rate debt includes notional principal fixed through interest rate swap transactions):

Consolidated Income Statement

Supplemental Report – September 30, 2019

(in thousands)


	September 30, 2019 ¹
CONSOLIDATED INCOME STATEMENT	Quarter			Year to Date
Revenues
Rental income	$	72,191		$	214,490
Expense reimbursements ²		—			—
Other		1,136			3,053
Total revenues		73,327			217,543
Operating expenses
Depreciation and amortization		32,170			92,807
General and administrative		8,222			25,579
Real estate taxes		10,225			29,680
Property operating		13,180			37,267
Impairment charge		321			1,721
Total operating expenses		64,118			187,054

Gain on disposition of properties		12,056			14,070
Operating income		21,265			44,559
Equity in earnings of unconsolidated affiliates		1,299			7,129
Interest income		1,748			6,247
Other income		5,034			6,947
Interest expense		(19,103	)		(56,721	)
Income from continuing operations before income taxes		10,243			8,161
Income tax provision		(1,403	)		(1,622	)
Net income		8,840			6,539
Net loss attributable to noncontrolling interests		1,618			25,196
Net income attributable to Acadia	$	10,458		$	31,735

Income Statement - Detail

Supplemental Report – September 30, 2019

(in thousands)


	September 30, 2019 ¹
CORE PORTFOLIO AND FUND INCOME	Quarter			Year to Date
PROPERTY REVENUES
Minimum rents	$	53,510		$	156,749
Percentage rents		86			378
Expense reimbursements - CAM ²		5,990			16,904
Expense reimbursements - Taxes ²		8,683			24,337
Other property income		684			1,919
Total Property Revenues		68,953			200,287

PROPERTY EXPENSES
Property operating - CAM		10,395			29,285
Other property operating (Non-CAM)		2,752			7,696
Real estate taxes		10,225			29,680
Total Property Expenses		23,372			66,661

NET OPERATING INCOME - PROPERTIES		45,581			133,626

OTHER INCOME (EXPENSE)
Interest income		1,748			6,247
Straight-line rent income		1,616			3,837
Above/below-market rent		2,705			12,782
Interest expense ³		(16,417	)		(48,495	)
Amortization of finance costs		(1,866	)		(5,769	)
Above/below-market interest expense		26			78
Asset and property management expense		(96	)		(364	)
Other income/expense		(87	)		328
Financing lease interest		(846	)		(2,535	)
Impairment of asset		(321	)		(1,721	)
CORE PORTFOLIO AND FUND INCOME		32,043			98,014

FEE INCOME
Asset and property management fees		199			644
Net promote and other transactional income		5,033			6,619
Transactional fees ⁴		5			71
Income tax provision		(1,403	)		(1,622	)
Total Fee Income		3,834			5,712

General and Administrative		(8,222	)		(25,579	)

Depreciation and amortization		(32,058	)		(92,464	)
Non-real estate depreciation and amortization		(112	)		(343	)
Gain on disposition of properties		12,056			14,070
Income before equity in earnings and noncontrolling interests		7,541			(590	)

Equity in earnings of unconsolidated affiliates		1,299			7,129
Noncontrolling interests		1,618			25,196

NET INCOME ATTRIBUTABLE TO ACADIA	$	10,458		$	31,735

Income Statement – Pro Rata Adjustments

Supplemental Report – September 30, 2019

(in thousands)


	Quarter Ended September 30, 2019						Year to Date September 30, 2019
CORE PORTFOLIO AND FUND INCOME	Noncontrolling Interest in Consolidated Subsidiaries ⁵			Company’s Interest in Unconsolidated Subsidiaries ⁶			Noncontrolling Interest in Consolidated Subsidiaries ⁵			Company’s Interest in Unconsolidated Subsidiaries ⁶
PROPERTY REVENUES
Minimum rents	$	(21,373	)	$	10,677		$	(58,781	)	$	29,146
Percentage rents		(64	)		36			(262	)		141
Expense reimbursements - CAM ²		(2,917	)		912			(7,081	)		2,656
Expense reimbursements - Taxes ²		(2,433	)		1,901			(6,437	)		5,488
Other property income		(324	)		71			(814	)		270
Total Property Revenues		(27,111	)		13,597			(73,375	)		37,701

PROPERTY EXPENSES
Property operating - CAM		(5,678	)		908			(14,959	)		2,452
Other property operating (Non-CAM)		(1,635	)		267			(3,959	)		560
Real estate taxes		(3,486	)		2,019			(9,397	)		5,996
Total Property Expenses		(10,799	)		3,194			(28,315	)		9,008
NET OPERATING INCOME - PROPERTIES		(16,312	)		10,403			(45,060	)		28,693

OTHER INCOME (EXPENSE)
Interest income		(394	)		—			(2,143	)		119
Straight-line rent income		(952	)		4			(2,471	)		981
Above/below-market rent		(1,077	)		222			(2,233	)		1,095
Interest expense ³		9,820			(2,838	)		29,088			(7,856	)
Amortization of finance costs		1,371			(238	)		4,212			(658	)
Above/below-market interest expense		—			21			—			63
Asset and property management expense		202			(285	)		566			(757	)
Other income/expense		11			44			(181	)		27
Financing lease interest		65			—			196			—
Impairment of asset		247			—			1,326			—
CORE PORTFOLIO AND FUND INCOME		(7,019	)		7,333			(16,700	)		21,707

FEE INCOME
Asset and property management fees		4,076			110			12,177			317
Promote income from funds, net		—			—			—			—
Net promote and other transactional income		(3,689	)		—			(4,886	)		—
Transactional fees ⁴		1,922			222			4,770			353
Income tax provision		7			(3	)		383			(14	)
Total Fee Income		2,316			329			12,444			656

General and Administrative		555			(272	)		1,277			(408	)
Depreciation and amortization		15,713			(6,091	)		41,136			(14,826	)
Non-real estate depreciation and amortization		—			—			—			—
Gain on disposition of properties		(9,298	)		—			(10,929	)		—
Income before equity in earnings and noncontrolling interests		2,267			1,299			27,228			7,129

Equity in earnings of unconsolidated affiliates		—			—			—			—
Noncontrolling interests ⁷		(649	)		—			(2,032	)		—

NET INCOME ATTRIBUTABLE TO ACADIA	$	1,618		$	1,299		$	25,196		$	7,129

Balance Sheet

Supplemental Report – September 30, 2019

(in thousands)

ASSETS	Consolidated Balance Sheet As Reported			Line Item Details:
Real estate
Land	$	733,679		The components of Real estate under development, at cost are as follows:
Buildings and improvements		2,840,206		Core	$	64,945
Construction in progress		38,458		Fund II		9,088
Right-of-use assets - finance leases ⁸		93,796		Fund III		35,524
Right-of-use assets - operating leases ⁸		55,717		Fund IV		140,721
		3,761,856		Total	$	250,278
Less: accumulated depreciation and amortization		(473,479	)
Operating real estate, net		3,288,377		Summary of other assets, net:
Real estate under development		250,278		Deferred charges, net	$	28,520
Net investments in real estate		3,538,655		Prepaid expenses		18,301
Notes receivable, net		94,807		Accrued interest receivable		9,898
Investments in and advances to unconsolidated affiliates		372,478		Derivative financial instruments		1,217
Lease intangibles, net		121,171		Other receivables		10,361
Other assets, net		79,417		Deposits		3,673
Cash and cash equivalents		2,939		Due from seller		3,682
Restricted cash		48,140		Income taxes receivable		1,443
Straight-line rents receivable, net		44,255		Corporate assets		1,666
Rents receivable		14,816		Deferred tax assets		656
Assets of properties held for sale		12,867		Total	$	79,417
Total Assets	$	4,329,545

LIABILITIES AND SHAREHOLDERS' EQUITY
Mortgage and other notes payable, net	$	1,029,678		Summary of accounts payable and other liabilities:
Unsecured notes payable, net		625,677		Lease liability - finance leases, net ⁸	$	88,137
Accounts payable and other liabilities		313,465		Lease liability - operating leases, net ⁸		57,093
Lease intangibles, net		89,832		Accounts payable and accrued expenses		71,732
Dividends and distributions payable		26,017		Deferred income		31,392
Distributions in excess of income from, and investments in, unconsolidated affiliates		15,353		Tenant security deposits, escrow and other		11,780
Total Liabilities		2,100,022		Derivative financial instruments		53,194
Shareholders' equity				Other		137
Common shares		87		Total	$	313,465
Additional paid-in capital		1,692,659
Accumulated other comprehensive loss		(44,138	)
Distributions in excess of accumulated earnings		(129,026	)
Total Acadia shareholders’ equity		1,519,582
Noncontrolling interests		709,941
Total Shareholders' Equity		2,229,523
Total Liabilities and Shareholders' Equity	$	4,329,545

Balance Sheet – Pro-rata Adjustments⁹

Supplemental Report – September 30, 2019

(in thousands)

ASSETS	Noncontrolling Interest in Consolidated Subsidiaries ⁵			Company’s Interest in Unconsolidated Subsidiaries ⁶
Real estate
Land	$	(191,584	)	$	93,023
Buildings and improvements		(987,715	)		370,742
Construction in progress		(25,951	)		232
Right-of-use assets - finance leases ⁸		(4,129	)		15,632
Right-of-use assets - operating leases ⁸		(37,775	)		66
		(1,247,154	)		479,695
Less: accumulated depreciation and amortization		80,275			(72,030	)
Operating real estate, net		(1,166,879	)		407,665
Real estate under development		(139,884	)		(6	)
Net investments in real estate		(1,306,763	)		407,659
Notes receivable, net		(28,142	)		—
Investments in and advances to unconsolidated affiliates		(113,925	)		(256,242	)
Lease intangibles, net		(49,046	)		12,428
Other assets, net		3,962			4,526
Cash and cash equivalents		(2,265	)		—
Restricted cash		(28,553	)		5,890
Straight-line rents receivable, net		(13,882	)		5,869
Rents receivable		(4,684	)		3,461
Assets of properties held for sale		(9,335	)		1,154
Total Assets	$	(1,552,633	)	$	184,745

LIABILITIES AND SHAREHOLDERS' EQUITY
Mortgage and other notes payable, net	$	(623,248	)	$	167,467
Unsecured notes payable, net		(214,590	)		—
Unsecured line of credit		—			—
Accounts payable and other liabilities		(102,475	)		22,550
Lease intangibles, net		(27,553	)		10,081
Lease liability - finance leases		—			—
Lease liability - operating leases		—			—
Dividends and distributions payable		—			—
Distributions in excess of income from, and investments in, unconsolidated affiliates		—			(15,353	)
Total Liabilities		(967,866	)		184,745
Shareholders' equity
Common shares		—			—
Additional paid-in capital		—			—
Accumulated other comprehensive loss		—			—
Distributions in excess of accumulated earnings		—			—
Total Acadia shareholders’ equity		—			—
Noncontrolling interests		(584,767	)		—
Total Shareholders' Equity		(584,767	)		—
Total Liabilities and Shareholders' Equity	$	(1,552,633	)	$	184,745

Balance Sheet – Pro-rata Adjustments⁹

Supplemental Report – September 30, 2019

(in thousands)

__________

Notes to income statements, balance sheet and pro rata adjustments:

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.

Effective January 1, 2019, expense reimbursements are combined with Rental income in accordance with Accounting Standards Codification 842, Leases. For more information about the implementation of ASC 842, please refer to the Company’s current Quarterly Report on Form 10-Q.

Net of capitalized interest of $3.1 million for the quarter and $8.5 million for the nine months ended September 30, 2019.

Consists of development, construction, leasing and legal fees.

Noncontrolling interests represent limited partners’ interests in consolidated partnerships’ activities.

Represents the Company’s share of co-investment partnerships’ activities, of which each are included on a single line presentation in the Company’s consolidated financial statements in accordance with GAAP.

Adjustment to noncontrolling interests exclude income allocable to Operating Partnership Units of $0.6 million for the quarter and $2.0 million for the nine months ended September 30, 2019.

Effective January 1, 2019, the Company established right-of-use assets and corresponding lease liabilities associated with its leases payable in accordance with Accounting Standards Codification 842, Leases. For more information about the implementation of ASC 842, please refer to the Company’s current Quarterly Report on Form 10-Q.

The Company currently invests in Funds II, III, IV & V and Mervyns II which are consolidated within the Company's financial statements.

Funds from Operations (“FFO”), Adjusted Funds from Operations (“AFFO”)¹

Supplemental Report – September 30, 2019

(in thousands)


	Quarter Ended									Year to Date			Quarter Ended			Year to Date
	March 31, 2019			June 30, 2019			September 30, 2019			September 30, 2019			September 30, 2018			September 30, 2018
Funds from operations ("FFO"):
Net Income	$	12,197		$	9,080		$	10,458		$	31,735		$	9,225		$	24,309
Add back:
Depreciation of real estate and amortization of leasing costs (net of noncontrolling interest share)		21,999			21,722			22,436			66,157			21,141			63,812
Gain on disposition of depreciable properties (net of noncontrolling interest share)		(384	)		—			(2,758	)		(3,142	)		(994	)		(994	)
Impairment charge		—			321			74			395			—			—
Income attributable to noncontrolling interests' share in Operating Partnership		930			722			784			2,436			731			1,976
FFO to Common Shareholders and Common OP Unit holders	$	34,742		$	31,845		$	30,994		$	97,581		$	30,103		$	89,103


Adjusted Funds from operations ("AFFO"):
Diluted FFO	$	34,742		$	31,845		$	30,994		$	97,581		$	30,103		$	89,103
Straight-line rent, net		(498	)		(1,181	)		(668	)		(2,347	)		(1,101	)		(3,881	)
Above/(below)-market rent		(7,523	)		(2,271	)		(1,850	)		(11,644	)		(2,119	)		(6,465	)
Amortization of finance costs		696			786			733			2,215			642			1,831
Above/below-market interest		(47	)		(47	)		(47	)		(141	)		(47	)		(141	)
Non-real estate depreciation		117			114			112			343			169			387
Leasing commissions		(537	)		(584	)		(312	)		(1,433	)		(320	)		(1,164	)
Tenant improvements		(1,810	)		(1,834	)		(450	)		(4,094	)		(3,745	)		(7,180	)
Capital expenditures		(527	)		(231	)		(1,220	)		(1,978	)		(1,471	)		(2,580	)
AFFO to Common Shareholders and Common OP Unit holders	$	24,613		$	26,597		$	27,292		$	78,502		$	22,111		$	69,910

Total weighted average diluted shares and OP Units		87,969			89,530			90,683			89,404			87,251			87,900

Diluted FFO per Common share and OP Unit:
FFO	$	0.39		$	0.36		$	0.34		$	1.09		$	0.35		$	1.01

EBITDA

Supplemental Report – September 30, 2019

(in thousands)

	Quarter Ended September 30, 2019									Year to Date September 30, 2019
	Core									Core
	Portfolio			Funds			Total			Portfolio			Funds			Total
EBITDA

Net Income Attributable to Acadia	$	8,890		$	1,568		$	10,458		$	33,949		$	(2,214	)	$	31,735

Adjustments:
Depreciation and amortization		18,099			4,449			22,548			54,625			11,872			66,497
Interest expense		6,894			2,541			9,435			19,700			7,563			27,263
Amortization of finance costs		332			401			733			982			1,233			2,215
Above/below-market interest		(47	)		—			(47	)		(141	)		—			(141	)
Gain on disposition of properties		—			(2,758	)		(2,758	)		—			(3,142	)		(3,142	)
Provision (benefit) for income taxes		1,397			2			1,399			1,115			138			1,253
Impairment charge		—			74			74			—			395			395
Noncontrolling interest - OP		649			—			649			2,032			—			2,032
EBITDA	$	36,214		$	6,277		$	42,491		$	112,262		$	15,845		$	128,107

Core Portfolio – Same Property Performance ¹

Supplemental Report – September 30, 2019

(in thousands)

	Quarter Ended						Change			Year to Date				Change
	September 30, 2019			September 30, 2018			Favorable/ (Unfavorable)			September 30, 2019		September 30, 2018		Favorable/ (Unfavorable)

Summary
Minimum rents	$	32,037		$	31,710			1.0	%	$	96,587	$	94,120		2.6	%
Expense reimbursements		9,388			10,156			(7.6	)%		28,481		27,124		5.0	%
Other property income		253			190			33.2	%		825		746		10.6	%

Total Revenue		41,678			42,056			(0.9	)%		125,893		121,990		3.2	%

Expenses
Property operating - CAM & Real estate taxes		9,824			11,393			13.8	%		30,944		31,360		1.3	%
Other property operating (Non-CAM)		665			409			(62.6	)%		2,016		1,398		(44.2	)%

Total Expenses		10,489			11,802			11.1	%		32,960		32,758		(0.6	)%

Same Property NOI - Core properties	$	31,189		$	30,254			3.1	%	$	92,933	$	89,232		4.1	%

Reconciliation of Same Property NOI to Core NOI
NOI of Properties excluded from Same Property NOI		4,046			3,286						11,737		10,844
Core NOI	$	35,235		$	33,540					$	104,670	$	100,076


Other same property information
Physical Occupancy		94.6	%		95.2	%
Leased Occupancy		95.8	%		96.0	%

__________

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

Fee Income by Fund

Supplemental Report – September 30, 2019

(in thousands)

	Fund II		Fund III		Fund IV		Fund V		Other		Total
Year to Date September 30, 2019
Asset and property management fees	$	1,629	$	1,937	$	3,740	$	5,663	$	169	$	13,138
Transactional fees		593		924		1,866		1,738		73		5,194
Total fees	$	2,222	$	2,861	$	5,606	$	7,401	$	242	$	18,332

Quarter Ended September 30, 2019
Asset and property management fees	$	537	$	615	$	1,211	$	1,967	$	55	$	4,385
Transactional fees		312		406		781		644		6		2,149
Total fees	$	849	$	1,021	$	1,992	$	2,611	$	61	$	6,534


Quarter Ended June 30, 2019
Asset and property management fees	$	542	$	684	$	1,250	$	1,859	$	56	$	4,391
Transactional fees		173		210		627		604		57		1,671
Total fees	$	715	$	894	$	1,877	$	2,463	$	113	$	6,062

Quarter Ended March 31, 2019
Asset and property management fees	$	550	$	638	$	1,279	$	1,837	$	58	$	4,362
Transactional fees		108		308		458		490		10		1,374
Total fees	$	658	$	946	$	1,737	$	2,327	$	68	$	5,736

Structured Financing Portfolio

Supplemental Report – September 30, 2019

(in thousands)

	June 30, 2019						Quarter Ended September 30, 2019										Stated			Effective
	Principal		Accrued		Ending				Repayments /		Current		Accrued		Ending		Interest			Interest			Maturity
Investment	Balance		Interest		Balance		Advances		Conversions		Principal ¹		Interest		Balance		Rate			Rate			Dates
First mortgage notes	$	56,475	$	4,423	$	60,898	$	—	$	—	$	56,475	$	4,723	$	61,198		7.44	%		7.44	%	Oct-19 to Apr-20

Total Core notes receivable	$	56,475	$	4,423	$	60,898	$	—	$	—	$	56,475	$	4,723	$	61,198		7.44	%		7.44	%

__________


1. Reconciliation of Notes Receivable to the Consolidated Balance Sheet (Pro Rata):

Total Notes Receivable per above											$	56,475
Pro-rata share of Fund loans												10,190

Total Pro-rata Notes Receivable											$	66,665

Fund

Transactional Activity

Supplemental Report – September 30, 2019

(in thousands)

PROPERTY ACQUISTIONS AND DISPOSITIONS

Property Name	Location	Key Tenants		Date of Transaction	Transaction Amount		Ownership %			Fund Share		Acadia Share

ACQUISITIONS¹
Core:

849 & 912 W. Armitage Avenue	Chicago, IL	Marine Layer		September 11, 2019	$	7,802		100.00	%	$	—		7,802
1238-1242 Wisconsin Avenue ²	Washington, DC		—	May 2, 2019		—		100.00	%		—		—
41, 47, 51 and 53 Greene Street - Soho Collection	New York, NY	Frame Denim, A.L.C., Stone Island, Theory		March 15, 2019 March 27, 2019 May 29, 2019 July 30, 2019		74,638		100.00	%		—		74,638
3104 M Street	Washington, DC		—	January 24, 2019		10,681		20.00	%		—		2,136
						93,121					—		84,576
Fund IV:
110 University Place ³	New York, NY		—	April 30, 2019		10,536		100.00	%		10,536		2,436

Fund V:
Washington REIT Portfolio	Frederick County, MD	Kmart, Kohl's, Best Buy		August 21, 2019		54,870		90.00	%		49,383		9,926
Landstown Commons	Virginia Beach, VA	Best Buy, Ross, Ulta		August 2, 2019		86,961		100.00	%		86,961		17,479
Lincoln Commons ⁴	Lincoln, RI	Stop and Shop, Marshall's		June 21, 2019		54,299		100.00	%		54,299		10,914
Palm Coast Landing	Palm Coast, FL	TJ Maxx, Michaels, PetSmart		May 6, 2019		36,644		100.00	%		36,644		7,365
Tri-City Plaza	Vernon, CT	TJ Maxx, HomeGoods		April 30, 2019		36,706		90.00	%		33,035		6,640
Family Center at Riverdale	Riverdale, UT	Target		March 19, 2019		48,549		90.00	%		43,694		8,782
						318,029					304,016		61,106
					$	421,686				$	314,552	$	148,118

DISPOSITIONS
Fund III:
3104 M Street	Washington, DC			January 24, 2019	$	10,500		80.00	%	$	8,400	$	2,061
Nostrand Avenue	Brooklyn, NY			August 22, 2019		27,650		100.00	%		27,650		6,785
						38,150					36,050		8,846
Fund IV:
938 W. North Street	Chicago, IL			September 27, 2019		32,000		100.00	%		32,000		7,398
JFK Plaza	Waterville, ME			July 24, 2019		7,800		100.00	%		7,800		1,803
						39,800					39,800		9,201
					$	77,950				$	75,850	$	18,047

STRUCTURED FINANCING ACTIVITY

Note Description	Transaction Type			Date of Transaction	Transaction Amount		Ownership %			Fund Share		Acadia Share

Fund IV:
900 W. Randolph Note	Redemption			June 20, 2019	$	15,250		100.00	%	$	15,250	$	3,526

Transactional Activity

Supplemental Report – September 30, 2019

(in thousands)

________

Acquisition amounts include capitalized acquisition costs, where applicable.

Property under ground lease which has been accounted for as a finance lease in the amount of $11.2 million. See “Development and Redevelopment Activity” page in this Supplemental Report.

Property under ground lease which has been accounted for as an operating lease. Amount represents the price paid for the leasehold interest. See “Development and Redevelopment Activity” page in this Supplemental Report.

Acquisition amount includes $1.6 million placed into escrow to cover potential contingent costs for selected tenants.

2019 Guidance

Supplemental Report – September 30, 2019

(in thousands)

	2019 Guidance
	Revised	Prior

Net income per share attributable to Common Shareholders	$0.44 to $0.50	$0.39 to $0.46
Impact of transactional activity and tenant recapture	(0.09) to (0.13)	(0.09) to (0.12)
Depreciation of real estate and amortization of leasing costs
(net of noncontrolling interests' share)	0.96	0.96
Gain on disposition of properties (net of noncontrolling interests' share)	(0.03)		—
Noncontrolling interest in Operating Partnership	0.02	0.02
Funds from operations, prior to additional transactional activity, per share	1.30 to 1.32	1.28 to 1.32

Fund acquisitions and related fees	0.01	0.01 to 0.02
Net Promote and other transactional income	0.02	0.02 to 0.03
Accelerated tenant recapture - GAAP adjustments	0.07	0.07
Funds from operations per share attributable to Common Shareholders and Common OP Unit holders	$1.40 to $1.42	$1.38 to $1.44

Net Asset Valuation Information

Supplemental Report – September 30, 2019

(in thousands)

	CORE			FUND II ²			FUND III			FUND IV			FUND V

Ownership Percentage	N/A				28.33	%		24.54	%		23.12	%		20.10	%

Current Quarter NOI
Net Operating Income ¹	$	35,235		N/A			$	1,019		$	6,907		$	11,420
Less:
(Income) loss from properties sold or under contract		—		N/A				(187	)		(464	)		—
(Income) loss from pre-stabilized assets, development and redevelopment projects ^{3, 4}		(1,471	)	N/A				(832	)		64			—
Net Operating Income of stabilized assets	$	33,764		N/A			$	—		$	6,507		$	11,420

Costs to Date (Pro Rata)
Pre-stabilized assets ³	$	20,595		N/A			$	25,107		$	34,532		$	—
Development and redevelopment projects ⁴		174,997		N/A				7,374			38,677			—
Total Costs to Date	$	195,592		N/A			$	32,481		$	73,209		$	—

Debt (Pro Rata)	$	728,897		$	76,157		$	14,623		$	91,508		$	77,507

Finance Lease (Pro Rata)	$	103,764		$	1,535		$	—		$	—		$	—

__________

Does not include a full quarter of NOI for any assets purchased during the current quarter. See “Transactional Activity” page in this Supplemental Report for descriptions of those acquisitions.

Fund II has been substantially liquidated except for its investment in City Point with pre-stabilized assets of $528.1 million and debt of $283.1 million.

Pre-stabilized assets consist of the following projects for the Core Portfolio: 613-623 West Diversey; Fund III: 640 Broadway and Cortlandt Crossing; Fund IV: Paramus Plaza, 210 Bowery, 801 Madison, 27 E 61st Street and 1035 Third Avenue.

See “Development and Redevelopment Activity” page in this Supplemental Report.

Selected Financial Ratios

Supplemental Report – September 30, 2019

(in thousands)


	Quarter Ended September 30,						Year to Date September 30,							Quarter Ended
COVERAGE RATIOS ¹	2019			2018			2019			2018			LEVERAGE RATIOS	September 30, 2019			June 30, 2019
Fixed-Charge Coverage Ratios													Debt/Market Capitalization Ratios

EBITDA ² divided by:	$	36,214		$	36,289		$	112,262		$	105,810		Debt + Preferred Equity (Preferred O.P. Units)	$	1,002,963		$	1,002,532
Interest expense		6,894			6,425			19,700			19,509		Total Market Capitalization		3,624,178			3,453,953
Principal Amortization		1,036			901			3,053			2,894		Debt + Preferred Equity/
Preferred Dividends ³		649			135			2,031			404		Total Market Capitalization		28	%		29	%
Fixed-Charge Coverage Ratio - Core Portfolio		4.2	x		4.9	x		4.5	x		4.6	x

EBITDA divided by:	$	42,491		$	40,216		$	128,107		$	117,911		Debt ⁶	$	977,486		$	986,549
Interest expense		9,435			9,066			27,263			26,260		Total Market Capitalization		3,624,178			3,453,953
Principal Amortization		1,230			1,144			3,717			3,625		Net Debt + Preferred Equity/
Preferred Dividends		649			135			2,031			404		Total Market Capitalization		27	%		29	%
Fixed-Charge Coverage Ratio - Core Portfolio and Funds		3.8	x		3.9	x		3.9	x		3.9	x

Payout Ratios													Debt/EBITDA Ratios

Dividends declared (per share/OP Unit)	$	0.28		$	0.27		$	0.84		$	0.81		Debt	$	728,897		$	719,932
													EBITDA		151,106			151,146
Dividends (Shares) & Distributions (OP Units) declared	$	26,025		$	23,710		$	76,390		$	71,433		Debt/EBITDA - Core Portfolio		4.8	x		4.8	x
FFO		30,994			30,103			97,581			89,103
FFO Payout Ratio		84	%		79	%		78	%		80	%	Debt ⁵	$	712,760		$	712,051
													EBITDA		151,106			151,146
													Net Debt/EBITDA - Core Portfolio		4.7	x		4.7	x
Dividends (Shares) & Distributions (OP Units) declared	$	26,025		$	23,710		$	76,390		$	71,433
AFFO		27,292			22,111			78,502			69,910		Debt ⁴	$	988,692		$	988,865
AFFO Payout Ratio		95	%		107	%		97	%		102	%	EBITDA		172,571			170,798
													Debt/EBITDA - Core Portfolio and Funds		5.7	x		5.8	x

													Debt ⁶	$	963,215		$	972,882
													EBITDA		172,571			170,798
													Net Debt/EBITDA - Core Portfolio and Funds		5.6	x		5.7	x

Selected Financial Ratios

Supplemental Report – September 30, 2019

(in thousands)

__________

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 coverage ratios include the Company's pro-rata share of FFO, AFFO, EBITDA, interest expense and principal amortization related to both the Company's consolidated and unconsolidated investments in joint ventures.

See EBITDA page in this Supplemental Report for a reconciliation of EBITDA to Net Income attributable to Acadia.

Represents preferred distributions on Preferred Operating partnership Units.

Includes the Company's pro-rata share of consolidated and unconsolidated joint venture debt. Excludes capital lease obligations.

Reflects debt net of the current Core Portfolio cash balance at end of period.

Reflects debt net of the current Core Portfolio and pro-rata share of the Funds cash balance at end of period.

Reconciliation of EBITDA to Adjusted EBITDA

Core EBITDA as reported	$	36,214
Less tenant recapture for quarter		—
Adjusted Core EBITDA		36,214

Annualized Core EBITDA		144,856
Add: Annualized tenant recapture		6,250
Adjusted Annualized Core EBITDA		151,106

Funds EBITDA as reported		6,277
Less promote and other transactional income for quarter		(1,344	)
Adjusted Fund EBITDA		4,933

Annualized Fund EBITDA		19,732
Add: Annualized net Promote and other transactional income		1,733
Adjusted annualized Fund EBITDA		21,465
Adjusted Annualized EBITDA Core and Funds	$	172,571

Portfolio Debt - Summary

Supplemental Report – September 30, 2019

(in thousands)

	Acadia Pro-Rata Share of Debt ²
	Core Portfolio							Funds							Total										Reconciliation to Consolidated Debt as Reported
Unsecured Debt	Principal Balance		Interest Rate			WA Years to Maturity ⁶		Principal Balance		Interest Rate			WA Years to Maturity ⁶		Principal Balance		%			Interest Rate			WA Years to Maturity ⁶		Add: Noncontrolling Interest Share of Debt ³		Less: Pro-rata Share of Unconsolidated Debt ⁴			Acadia Consolidated Debt as Reported
Fixed-Rate Debt ¹	$	350,000		3.3	%		3.6	$	—		—			—	$	350,000		36	%		3.3	%		3.6	$	—	$	—		$	350,000
Variable-Rate Debt ⁵		—		—			—		61,415		3.8	%		0.2		61,415		6	%		3.8	%		0.2		214,590		—			276,005
																		42	%
Mortgage and Other Notes Payable

Fixed-Rate Debt ¹		345,983		4.2	%		6.7		119,480		5.7	%		1.7		465,463		47	%		4.6	%		5.4		373,358		(126,360	)		712,461
Variable-Rate Debt ⁵		32,914		3.8	%		3.8		78,900		2.6	%		1.5		111,814		11	%		3.0	%		2.2		255,791		(41,929	)		325,676
																		58	%

Total	$	728,897		3.8	%		5.0	$	259,795		4.3	%		1.3	$	988,692		100	%		3.9	%		4.1	$	843,739	$	(168,289	)		1,664,142

Unamortized premium																															676
Net unamortized loan costs																															(9,463	)
Total																														$	1,655,355

_________

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

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

Represents the noncontrolling interest pro-rata share of consolidated partnership debt based on its percent ownership.

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

Variable rate debt includes certain borrowings that are subject to interest rate cap agreements.

Based on debt maturity date without regard to swap expirations or available extension options.

Portfolio Debt - Detail

Supplemental Report – September 30, 2019

(in thousands)

		Principal Balance at			Acadia's Pro-rata Share						Interest		Extension
Property		September 30, 2019			Percent			Amount			Rate	Maturity	Options

CORE PORTFOLIO

Fixed-Rate Debt
Brandywine ²		$	26,250			22.22	%	$	5,833		6.00%	07/01/16	None
163 Highland Avenue			8,651			100.00	%		8,651		4.66%	02/01/24	None
Crossroads Shopping Center			65,261			49.00	%		31,978		3.94%	10/06/24	None
555 9th Street			60,000			100.00	%		60,000		3.99%	01/01/25	None
840 N. Michigan			73,500			88.43	%		64,996		4.36%	02/10/25	None
Georgetown Portfolio (2008 Investment)			16,250			50.00	%		8,125		4.72%	12/10/27	None
State & Washington			24,023			100.00	%		24,023		4.40%	09/05/28	None
239 Greenwich Avenue			26,686			75.00	%		20,015		3.88%	01/10/29	None
North & Kingsbury			12,263			100.00	%		12,263		4.01%	11/05/29	None
151 North State Street			13,652			100.00	%		13,652		4.03%	12/01/29	None
Concord & Milwaukee			2,669			100.00	%		2,669		4.40%	06/01/30	None
California & Armitage			2,521			100.00	%		2,521		5.89%	04/15/35	None
Unsecured interest rate swaps ¹			350,000			100.00	%		350,000		3.33%	3.6 YRS
Secured interest rate swaps¹			101,371			90.02	%		91,257		4.10%	6.7 YRS

Sub-Total Fixed-Rate Debt			783,097						695,983		3.76%

Secured Variable-Rate Debt
3104 M Street⁵			4,569			20.00	%		914		Prime+50	12/10/21	None
28 Jericho Turnpike			13,544			100.00	%		13,544		LIBOR+190	01/23/23	None
60 Orange Street			7,068			98.00	%		6,927		LIBOR+175	04/03/23	None
Gotham Plaza			19,554			49.00	%		9,581		LIBOR+160	06/10/23	None
Georgetown Portfolio (2016 Investment)			160,000			20.00	%		32,000		LIBOR+170	08/01/23	None
330-340 River Street			11,205			100.00	%		11,205		LIBOR+170	06/01/26	None
Sullivan Center			50,000			100.00	%		50,000		LIBOR+150	11/16/28	None
Secured interest rate swaps ¹			(101,371	)		90.02	%		(91,257	)	LIBOR+201	6.7 YRS

Unsecured Variable-Rate Debt
Unsecured Line of Credit ³			—			100.00	%		—		LIBOR+115	03/31/22	2 x 6 mos.
Unsecured Term Loan			350,000			100.00	%		350,000		LIBOR+125	03/31/23	None
Unsecured interest rate swaps ¹			(350,000	)		100.00	%		(350,000	)	LIBOR+124	3.6 YRS

Sub-Total Variable-Rate Debt			164,569						32,914		LIBOR+175

Total Debt - Core Portfolio		$	947,666					$	728,897		3.76%

Funds
Fixed-Rate Debt
CityPoint⁴	Fund II		200,000			26.67	%		53,340		4.75%	05/29/20	None
1964 Union Street⁴	Fund IV		1,463			20.80	%		304		3.80%	10/01/25	None
2207 Fillmore Street ⁴	Fund IV		1,120			20.80	%		233		4.50%	10/31/25	None
2208-2216 Fillmore Street⁴	Fund IV		5,606			20.80	%		1,166		3.40%	06/01/26	None
Interest rate swaps¹	Funds II, IV & V		477,400			23.33	%		111,387		3.77%	0.8 YRS
Sub-Total Fixed-Rate Debt			685,589						166,430		4.08%

Variable-Rate Debt
717 N. Michigan Avenue	Fund IV		56,700			23.12	%		13,109		LIBOR+310	12/09/19	2 x 12 mos.
Acadia Strategic Opportunity IV LLC	Fund IV		8,400			23.12	%		1,942		LIBOR+165	12/31/19	None
640 Broadway ⁴	Fund III		39,470			15.49	%		6,114		LIBOR+310	01/09/20	2 x 12 mos.
Wake Forest Crossing	Fund IV		23,431			23.12	%		5,417		LIBOR+160	02/14/20	2 x 12 mos.
Lincoln Place	Fund IV		23,100			23.12	%		5,341		LIBOR+185	03/13/20	2 x 12 mos.

Portfolio Debt - Detail

Supplemental Report – September 30, 2019

(in thousands)

		Principal Balance at			Acadia's Pro-rata Share						Interest		Extension
Property		September 30, 2019			Percent			Amount			Rate	Maturity	Options
650 Bald Hill Road ⁴	Fund IV		16,624			20.81	%		3,459		LIBOR+265	04/27/20	None
Acadia Strategic Opportunity Fund V LLC	Fund V		148,380			20.10	%		29,824		LIBOR+160	05/04/20	None
Eden Square ⁴	Fund IV		24,389			22.78	%		5,556		LIBOR+215	06/01/20	1 x 12 mos.
17 E. 71st Street	Fund IV		18,896			23.12	%		4,369		LIBOR+190	06/09/20	None
Cortlandt Crossing	Fund III		34,675			24.54	%		8,509		LIBOR+275	06/19/20	2 x 12 mos.
Acadia Strategic Opportunity Fund II, LLC	Fund II		40,000			28.33	%		11,332		LIBOR+165	09/20/20	2 x 12 mos.
Hickory Ridge	Fund V		28,613			20.10	%		5,751		LIBOR+225	10/05/20	2 x 12 mos.
Santa Fe Plaza	Fund V		22,893			20.10	%		4,601		LIBOR+215	01/24/21	2 x 12 mos.
New Towne Center	Fund V		16,900			20.10	%		3,397		LIBOR+220	02/01/21	2 x 12 mos.
Broughton Street Portfolio	Fund IV		29,175			23.12	%		6,745		LIBOR+250	05/01/21	None
Fairlane Green	Fund V		40,300			20.10	%		8,100		LIBOR+190	06/05/21	2 x 12 mos.
Trussville Promenade	Fund V		29,370			20.10	%		5,903		LIBOR+185	06/15/21	2 x 12 mos.
Acadia Strategic Opportunity IV LLC	Fund IV		79,225			23.12	%		18,317		LIBOR+200	06/30/21	None
146 Geary Street	Fund IV		22,900			23.12	%		5,294		LIBOR+340	07/14/21	1 x 12 mos.
Restaurants at Fort Point	Fund IV		6,098			23.12	%		1,410		LIBOR+235	08/25/21	None
CityPoint⁴	Fund II		19,138			26.67	%		5,104		LIBOR+139	11/01/21	None
Promenade at Manassas⁴	Fund IV		25,840			22.78	%		5,886		LIBOR+175	12/05/21	2 x 12 mos.
Airport Mall	Fund IV		5,370			23.12	%		1,242		LIBOR+200	04/01/22	None
Colonie Plaza	Fund IV		11,781			23.12	%		2,724		LIBOR+225	04/01/22	None
Dauphin Plaza	Fund IV		9,801			23.12	%		2,266		LIBOR+200	04/01/22	None
Shaw's Plaza (Waterville)	Fund IV		7,688			23.12	%		1,777		LIBOR+200	04/01/22	None
Wells Plaza	Fund IV		3,223			23.12	%		745		LIBOR+200	04/01/22	None
CityPoint Phase III ⁴	Fund II		23,925			26.67	%		6,381		LIBOR+300	04/01/22	2 x 12 mos.
Dauphin Plaza	Fund IV		3,000			23.12	%		694		LIBOR+200	04/01/22	None
Paramus Plaza ⁴	Fund IV		18,900			11.56	%		2,185		LIBOR+175	04/26/22	None
Riverdale ⁴	Fund V		32,233			17.97	%		5,794		LIBOR+170	05/28/22	2 x 12 mos.
Shaw's Plaza (Windham)	Fund IV		5,739			23.12	%		1,327		LIBOR+200	12/01/22	None
Elk Grove Commons	Fund V		41,500			20.10	%		8,342		LIBOR+150	01/01/23	1 x 12 mos.
Hiram Pavilion	Fund V		28,830			20.10	%		5,795		LIBOR+190	03/05/24	None
Interest rate swaps ¹	Funds II, IV & V		(477,400	)		23.33	%		(111,387	)	LIBOR+185	0.8 YRS
Sub-Total Variable-Rate Debt			469,107						93,365		LIBOR+266
Total Debt - Funds		$	1,154,696					$	259,795		4.32%
Total Debt - Core Portfolio and Funds		$	2,102,362					$	988,692		3.91%

_________

The Company has hedged a portion of its variable-rate debt with variable to fixed-rate swap agreements. Maturity reflects the weighted-average years to maturity of the swapped loans without regard to the expiration of the related swap agreements. Fund interest rate swaps include $155.4 million of Core swaps which are not designated to specific debt instruments.

This loan is in default as of September 30, 2019 and is accruing interest for accounting purposes at the default rate of 11%.

The interest rate on the unsecured revolving credit facility excludes a 20 basis point facility fee.

Acadia's interest in this Fund debt is also reflected net of other JV interests at the investment level.

Bears interest at the greater of 4% or the Prime Rate plus 50 basis points.

Future Debt Maturities ¹

Supplemental Report – September 30, 2019

(in thousands)

Core Portfolio	Total Debt Maturities						Acadia's Pro-Rata Share						Weighted Average Interest Rate
														Fixed-
	Scheduled						Scheduled						Total	Rate	Variable-
Year	Amortization		Maturities		Total		Amortization		Maturities		Total		Debt	Debt	Rate Debt

2019 (Remainder)	$	1,329	$	26,250	$	27,579	$	1,024	$	5,833	$	6,857	6.00%	6.00%	n/a
2020		5,433		—		5,433		4,188		—		4,188	n/a	n/a	n/a
2021		5,674		4,569		10,243		4,372		914		5,286	5.75%	n/a	5.75%
2022		5,894		—		5,894		4,540		—		4,540	n/a	n/a	n/a
2023		5,018		545,295		550,313		3,817		408,228		412,045	3.41%	n/a	3.41%
Thereafter		18,560		329,644		348,204		16,210		279,771		295,981	4.05%	4.17%	3.62%
Total	$	41,908	$	905,758	$	947,666	$	34,151	$	694,746	$	728,897


Funds	Total Debt Maturities						Acadia's Pro-Rata Share						Weighted Average Interest Rate
														Fixed-
	Scheduled						Scheduled						Total	Rate	Variable-
Year	Amortization		Maturities		Total		Amortization		Maturities		Total		Debt	Debt	Rate Debt

2019 (Remainder)	$	531	$	94,275	$	94,806	$	125	$	21,796	$	21,921	5.51%	5.51%	n/a
2020		2,023		597,229		599,252		468		138,934		139,402	4.66%	4.75%	4.60%
2021		1,575		261,551		263,126		371		57,747		58,118	4.35%	n/a	4.35%
2022		1,479		118,611		120,090		310		24,428		24,738	4.61%	n/a	4.61%
2023		677		40,947		41,624		136		8,230		8,366	3.93%	n/a	3.93%
Thereafter		27,609		8,189		35,798		5,546		1,704		7,250	2.44%	2.44%	n/a
Total	$	33,894	$	1,120,802	$	1,154,696	$	6,956	$	252,839	$	259,795

__________

Does not include any applicable extension options or subsequent refinancings.

Core Portfolio Retail Properties - Detail

Supplemental Report – September 30, 2019

(in thousands)

			Year	Acadia's			Gross Leasable Area (GLA)								In Place Occupancy												Leased Occupancy			Annualized Base Rent		ABR
Property	Key Tenants		Acquired	Interest			Street		Anchors		Shops		Total		Street			Anchors			Shops			Total			Total			(ABR)		PSF

STREET AND URBAN RETAIL
Chicago Metro
664 N. Michigan Avenue	Tommy Bahama, Ann Taylor Loft		2013		100.0	%		18,141		—		—		18,141		100.0	%		—	%		—	%		100.0	%		100.0	%	$	4,845,848	$	267.12
840 N. Michigan Avenue	H & M, Verizon Wireless		2014		88.4	%		87,135		—		—		87,135		100.0	%		—	%		—	%		100.0	%		100.0	%		8,313,164		95.41
Rush and Walton Streets Collection (5 properties)	Lululemon, BHLDN, Marc Jacobs		2011/12		100.0	%		40,210		—		—		40,210		88.1	%		—	%		—	%		88.1	%		88.1	%		6,376,339		179.96
651-671 West Diversey	Trader Joe's, Urban Outfitters		2011		100.0	%		46,259		—		—		46,259		100.0	%		—	%		—	%		100.0	%		100.0	%		2,037,056		44.04
Clark Street and W. Diversey Collection (3 properties)	Ann Taylor, Starbucks		2011/12		100.0	%		23,531		—		—		23,531		50.1	%		—	%		—	%		50.1	%		50.1	%		697,459		59.10
Halsted and Armitage Collection (9 properties)	Serena and Lily, Bonobos, Allbirds Warby Parker, Marine Layer		2011/12		100.0	%		49,304		—		—		49,304		91.3	%		—	%		—	%		91.3	%		91.3	%		2,240,011		49.78
North Lincoln Park Chicago Collection (6 properties)	Forever 21, Champion, Carhartt		2011/14		100.0	%		22,125		—		27,794		49,919		100.0	%		—	%		52.4	%		73.5	%		73.5	%		1,594,021		43.43
State and Washington	Nordstrom Rack		2016		100.0	%		78,771		—		—		78,771		64.8	%		—	%		—	%		64.8	%		100.0	%		2,409,875		47.23
151 N. State Street	Walgreens		2016		100.0	%		27,385		—		—		27,385		100.0	%		—	%		—	%		100.0	%		100.0	%		1,430,000		52.22
North and Kingsbury	Old Navy, Pier 1 Imports		2016		100.0	%		41,700		—		—		41,700		100.0	%		—	%		—	%		100.0	%		100.0	%		1,751,906		42.01
Concord and Milwaukee		—	2016		100.0	%		13,105		—		—		13,105		100.0	%		—	%		—	%		100.0	%		100.0	%		424,228		32.37
California and Armitage		—	2016		100.0	%		—		—		18,275		18,275		—	%		—	%		70.6	%		70.6	%		70.6	%		619,821		48.07
Roosevelt Galleria	Petco, Vitamin Shoppe		2015		100.0	%		—		—		37,995		37,995		—	%		—	%		47.7	%		47.7	%		47.7	%		599,497		33.07
Sullivan Center	Target, DSW		2016		100.0	%		176,181		—		—		176,181		98.6	%		—	%		—	%		98.6	%		98.6	%		6,842,444		39.38
								623,847		—		84,064		707,911		92.5	%		—	%		54.2	%		88.0	%		93.3	%		40,181,669		64.52
New York Metro
Soho Collection (7 properties)	Paper Source, Faherty, ALC 3x1 Jeans, Frame, Theory		2011 2014 2019		100.0	%		26,054		—		—		26,054		91.6	%		—	%		—	%		91.6	%		96.9	%		7,244,987		303.68
5-7 East 17th Street	Union Park Events		2008		100.0	%		11,467		—		—		11,467		100.0	%		—	%		—	%		100.0	%		100.0	%		1,300,014		113.37
200 West 54th Street	Stage Coach Tavern		2007		100.0	%		5,777		—		—		5,777		77.8	%		—	%		—	%		77.8	%		77.8	%		1,921,520		427.31
61 Main Street		—	2014		100.0	%		3,470		—		—		3,470		—	%		—	%		—	%		—	%		100.0	%		—		—
181 Main Street	TD Bank		2012		100.0	%		11,350		—		—		11,350		100.0	%		—	%		—	%		100.0	%		100.0	%		968,387		85.32
4401 White Plains Road	Walgreens		2011		100.0	%		—		12,964		—		12,964		—	%		100.0	%		—	%		100.0	%		100.0	%		625,000		48.21
Bartow Avenue		—	2005		100.0	%		—		—		14,590		14,590		—	%		—	%		66.6	%		66.6	%		66.6	%		324,007		33.33

Core Portfolio Retail Properties – Detail ¹

Supplemental Report – September 30, 2019

		Year	Acadia's			Gross Leasable Area (GLA)								In Place Occupancy												Leased Occupancy			Annualized Base Rent		ABR
Property	Key Tenants	Acquired	Interest			Street		Anchors		Shops		Total		Street			Anchors			Shops			Total			Total			(ABR)		PSF
239 Greenwich Avenue	Betteridge Jewelers	1998		75.0	%		16,553		—		—		16,553		100.0	%		—	%		—	%		100.0	%		100.0	%		1,641,124		99.14
252-256 Greenwich Avenue	Madewell, Jack Wills, Blue Mercury	2014		100.0	%		7,986		—		—		7,986		100.0	%		—	%		—	%		100.0	%		100.0	%		1,350,370		169.09
2914 Third Avenue	Planet Fitness	2006		100.0	%		—		21,650		18,670		40,320		—	%		100.0	%		100.0	%		100.0	%		100.0	%		985,972		24.45
868 Broadway	Dr. Martens	2013		100.0	%		2,031		—		—		2,031		100.0	%		—	%		—	%		100.0	%		100.0	%		790,705		389.32
313-315 Bowery ²	John Varvatos, Patagonia	2013		100.0	%		6,600		—		—		6,600		100.0	%		—	%		—	%		100.0	%		100.0	%		479,160		72.60
120 West Broadway	HSBC Bank	2013		100.0	%		13,838		—		—		13,838		79.8	%		—	%		—	%		79.8	%		79.8	%		1,971,384		178.59
2520 Flatbush Avenue	Bob's Disc. Furniture, Capital One	2014		100.0	%		—		—		29,114		29,114		—	%		—	%		100.0	%		100.0	%		100.0	%		1,163,976		39.98
991 Madison Avenue	Vera Wang, Gabriella Hearst	2016		100.0	%		7,513		—		—		7,513		100.0	%		—	%		—	%		100.0	%		100.0	%		3,046,736		405.53
Shops at Grand	Stop & Shop (Ahold)	2014		100.0	%		—		52,336		47,349		99,685		—	%		100.0	%		100.0	%		100.0	%		100.0	%		3,330,241		33.41
Gotham Plaza	Bank of America, Footlocker	2016		49.0	%		—		—		25,927		25,927		—	%		—	%		58.6	%		58.6	%		58.6	%		1,067,395		70.25
							112,639		86,950		135,650		335,239		91.3	%		100.0	%		88.5	%		92.4	%		93.9	%		28,210,978		91.04
San Francisco Metro
555 9th Street	Bed, Bath & Beyond, Nordstrom Rack	2016		100.0	%		—		119,862		28,970		148,832		—	%		100.0	%		100.0	%		100.0	%		100.0	%		6,218,177		41.78
							—		119,862		28,970		148,832		—	%		100.0	%		100.0	%		100.0	%		100.0	%		6,218,177		41.78
District of Columbia Metro
1739-53 & 1801-03 Connecticut Avenue	Ruth Chris Steak- house, TD Bank	2012		100.0	%		20,669		—		—		20,669		100.0	%		—	%		—	%		100.0	%		100.0	%		1,352,991		65.46
Rhode Island Place Shopping Center	Ross Dress for Less	2012		100.0	%		—		25,134		32,533		57,667		—	%		100.0	%		88.4	%		93.4	%		93.4	%		1,705,057		31.64
M Street and Wisconsin Corridor (26 Properties)³	Lululemon, Sephora, The Reformation	2011 2016 2019		25.2	%		244,853		—		—		244,853		90.7	%		—	%		—	%		90.7	%		90.7	%		16,365,859		73.69
							265,522		25,134		32,533		323,189		91.4	%		100.0	%		88.4	%		91.8	%		91.8	%		19,423,907		65.48
Boston Metro
330-340 River Street	Whole Foods	2012		100.0	%		—		40,800		13,426		54,226		—	%		100.0	%		100.0	%		100.0	%		100.0	%		1,243,517		22.93
165 Newbury Street	Starbucks	2016		100.0	%		1,050		—		—		1,050		100.0	%		—	%		—	%		100.0	%		100.0	%		269,630		256.79
							1,050		40,800		13,426		55,276		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%		1,513,147		27.37

Total Street and Urban Retail							1,003,058		272,746		294,643		1,570,447		92.1	%		100.0	%		80.4	%		91.3	%		94.0	%	$	95,547,878	$	66.66

Acadia Share Total Street and Urban Retail							805,581		272,746		281,420		1,359,747		92.4	%		100.0	%		81.4	%		91.7	%		94.8	%	$	77,873,790	$	62.48

Core Portfolio Retail Properties – Detail ¹

Supplemental Report – September 30, 2019

			Year	Acadia's			Gross Leasable Area (GLA)								In Place Occupancy												Leased Occupancy			Annualized Base Rent		ABR
Property	Key Tenants		Acquired	Interest			Street		Anchors		Shops		Total		Street			Anchors			Shops			Total			Total			(ABR)		PSF
SUBURBAN PROPERTIES
New Jersey
Elmwood Park Shopping Center	Walgreens, Acme		1998		100.0	%		—		62,610		81,300		143,910		—	%		100.0	%		67.1	%		81.4	%		84.3	%		3,446,551	$	29.42
Marketplace of Absecon	Rite Aid, Dollar Tree		1998		100.0	%		—		46,724		57,832		104,556		—	%		100.0	%		71.3	%		84.1	%		84.1	%		1,372,830		15.61
60 Orange Street	Home Depot		2012		98.0	%		—		101,715		—		101,715		—	%		100.0	%		—	%		100.0	%		100.0	%		730,000		7.18

New York
Village Commons Shopping Center		—	1998		100.0	%		—		—		87,128		87,128		—	%		—	%		93.6	%		93.6	%		98.1	%		2,670,206		32.74
Branch Plaza	LA Fitness, The Fresh Market		1998		100.0	%		—		76,264		47,081		123,345		—	%		100.0	%		83.2	%		93.6	%		94.2	%		3,138,339		27.19
Amboy Center	Stop & Shop (Ahold)		2005		100.0	%		—		37,266		26,024		63,290		—	%		100.0	%		62.7	%		84.7	%		89.9	%		1,793,037		33.46
Pacesetter Park Shopping Center	Stop & Shop (Ahold)		1999		100.0	%		—		52,052		45,754		97,806		—	%		100.0	%		90.0	%		95.3	%		95.3	%		1,314,920		14.10
LA Fitness	LA Fitness		2007		100.0	%		—		55,000		—		55,000		—	%		100.0	%		—	%		100.0	%		100.0	%		1,485,287		27.01
Crossroads Shopping Center	HomeGoods,Pet- Smart, Kmart		1998		49.0	%		—		202,727		109,177		311,904		—	%		100.0	%		76.5	%		91.8	%		91.8	%		7,088,075		24.76
New Loudon Center	Price Chopper, Marshalls		1993		100.0	%		—		251,058		4,615		255,673		—	%		100.0	%		100.0	%		100.0	%		100.0	%		2,186,706		8.55
28 Jericho Turnpike	Kohl's		2012		100.0	%		—		96,363		—		96,363		—	%		100.0	%		—	%		100.0	%		100.0	%		1,815,000		18.84
Bedford Green	Shop Rite, CVS		2014		100.0	%		—		37,981		52,608		90,589		—	%		100.0	%		70.7	%		83.0	%		83.0	%		2,459,094		32.71

Connecticut
Town Line Plaza ⁴	Wal-Mart, Stop & Shop (Ahold)		1998		100.0	%		—		163,159		43,187		206,346		—	%		100.0	%		93.6	%		98.7	%		98.7	%		1,794,483		16.68

Massachusetts
Methuen Shopping Center	Wal-Mart, Market Basket		1998		100.0	%		—		120,004		10,017		130,021		—	%		100.0	%		100.0	%		100.0	%		100.0	%		1,360,858		10.47
Crescent Plaza	Home Depot, Shaw's (Supervalu)		1993		100.0	%		—		156,985		61,163		218,148		—	%		100.0	%		67.7	%		90.9	%		90.9	%		1,905,550		9.60
201 Needham Street	Michael's		2014		100.0	%		—		20,409		—		20,409		—	%		100.0	%		—	%		100.0	%		100.0	%		646,965		31.70
163 Highland Avenue	Staples, Petco		2015		100.0	%		—		40,505		—		40,505		—	%		100.0	%		—	%		100.0	%		100.0	%		1,311,747		32.38

Vermont
The Gateway Shopping Center	Shaw's (Supervalu)		1999		100.0	%		—		73,184		28,471		101,655		—	%		100.0	%		93.7	%		98.2	%		98.2	%		2,143,280		21.46

Illinois
Hobson West Plaza	Garden Fresh Markets		1998		100.0	%		—		51,692		47,258		98,950		—	%		100.0	%		68.0	%		84.7	%		95.3	%		862,551		10.29

Core Portfolio Retail Properties – Detail ¹

Supplemental Report – September 30, 2019

			Year	Acadia's			Gross Leasable Area (GLA)								In Place Occupancy												Leased Occupancy			Annualized Base Rent		ABR
Property	Key Tenants		Acquired	Interest			Street		Anchors		Shops		Total		Street			Anchors			Shops			Total			Total			(ABR)		PSF
Indiana
Merrillville Plaza	Jo-Ann Fabrics, TJ Maxx		1998		100.0	%		—		123,220		112,867		236,087		—	%		100.0	%		80.9	%		90.9	%		90.9	%		3,227,552		15.04

Michigan
Bloomfield Town Square	Best Buy, HomeGoods, TJ Maxx		1998		100.0	%		—		153,839		81,183		235,022		—	%		100.0	%		89.7	%		96.4	%		96.4	%		3,730,037		16.46

Delaware
Town Center and Other (2 properties)	Lowes, Bed Bath & Beyond, Target		2003		65.1	%		—		748,210		51,808		800,018		—	%		91.6	%		85.7	%		91.3	%		91.3	%		12,642,074		17.32
Market Square Shopping Center	Trader Joe's, TJ Maxx		2003		100.0	%		—		42,850		59,197		102,047		—	%		100.0	%		100.0	%		100.0	%		100.0	%		3,110,286		30.48
Naamans Road		—	2006		100.0	%		—		—		19,850		19,850		—	%		—	%		30.1	%		30.1	%		30.1	%		433,785		72.60

Pennsylvania
Mark Plaza	Kmart		1993		100.0	%		—		104,956		1,900		106,856		—	%		100.0	%		100.0	%		100.0	%		100.0	%		244,279		2.29
Plaza 422	Home Depot		1993		100.0	%		—		139,968		16,311		156,279		—	%		100.0	%		100.0	%		100.0	%		100.0	%		894,880		5.73
Chestnut Hill		—	2006		100.0	%		—		—		37,646		37,646		—	%		—	%		100.0	%		100.0	%		100.0	%		988,897		26.27
Abington Towne Center ⁵	Target, TJ Maxx		1998		100.0	%		—		184,616		32,255		216,871		—	%		100.0	%		90.0	%		98.5	%		100.0	%		1,071,355		18.35

Total Suburban Properties								—		3,143,357		1,114,632		4,257,989		—	%		98.0	%		81.5	%		93.7	%		94.3	%		65,868,624	$	17.56

Acadia Share Total Suburban Properties								—		2,813,822		1,034,127		3,847,949		—	%		98.8	%		81.7	%		94.2	%		94.9	%	$	58,590,397	$	17.31

TOTAL CORE PROPERTIES								1,003,058		3,416,103		1,409,275		5,828,436		92.1	%		98.2	%		81.3	%		93.0	%		94.2	%		161,416,502	$	31.13

Acadia Share Total Core Properties								805,581		3,086,568		1,315,547		5,207,696		92.4	%		98.9	%		81.7	%		93.5	%		94.9	%	$	140,332,892	$	30.29

__________

Excludes properties under development, redevelopment and pre-stabilized, see “Development and Redevelopment Activity” page of this Supplemental Report. The above occupancy and rent amounts do not include space which is currently leased, other than "leased occupancy," but for which rent payment has not yet commenced.

Represents the annual base rent paid to Acadia pursuant to a master lessee and does not reflect the rent paid by the retail tenants at the property.

Excludes 94,000 of office GLA.

Anchor GLA includes a 97,300 square foot Wal-Mart store which is not owned by the Company. This square footage has been excluded for calculating annualized base rent per square foot.

Anchor GLA includes a 157,616 square foot Target store which is not owned by the Company. This square footage has been excluded for calculating annualized base rent per square foot.

Core Portfolio – Top Tenants ¹

Supplemental Report – September 30, 2019

(Pro Rata Basis)

	Number of		Combined				Percentage of Total
Tenant	Stores		GLA		ABR		GLA			ABR

Target		3		390,416	$	7,809,968		7.5	%		5.6	%
Walgreens ²		6		95,189		4,129,377		1.8	%		2.9	%
Royal Ahold ³		4		207,513		3,759,410		4.0	%		2.7	%
Nordstrom, Inc.		2		88,982		3,515,492		1.7	%		2.5	%
Albertsons Companies⁴		3		171,182		3,377,140		3.3	%		2.4	%
Bed, Bath, and Beyond ⁵		3		122,466		3,147,405		2.4	%		2.2	%
TJX Companies⁶		8		229,043		2,631,830		4.4	%		1.9	%
Ascena Retail Group⁷		4		19,914		2,558,108		0.4	%		1.8	%
LA Fitness International LLC		2		100,000		2,524,787		1.9	%		1.8	%
Lululemon		2		7,533		2,339,119		0.1	%		1.7	%
Trader Joe's		3		41,432		2,255,989		0.8	%		1.6	%
Home Depot		3		312,718		1,964,443		6.0	%		1.4	%
Gap ⁸		3		34,448		1,839,110		0.7	%		1.3	%
Bob's Discount Furniture		2		57,969		1,629,028		1.1	%		1.2	%
Tapestry ⁹		2		4,250		1,552,282		0.1	%		1.1	%
JP Morgan Chase		7		28,715		1,452,804		0.6	%		1.0	%
Ulta Salon Cosmetic & Fragrance		3		31,497		1,424,318		0.6	%		1.0	%
DSW		2		35,842		1,408,351		0.7	%		1.0	%
Dick's Sporting Goods, Inc		2		86,415		1,321,634		1.7	%		0.9	%
Citibank		4		16,160		1,267,025		0.2	%		1.0	%
TOTAL		68		2,081,684	$	51,907,620		40.0	%		37.0	%

__________

Does not include tenants that operate at only one Acadia Core location

Includes 2 locations previously categorized as Rite Aid

Stop and Shop (4 locations)

Shaw’s (2 locations), Acme (1 location)

Bed Bath and Beyond (2 locations), Christmas Tree Shops (1 location)

TJ Maxx (5 locations), Marshalls (1 location), HomeGoods (2 locations)

Ann Taylor Loft (2 locations), Catherine’s (1 location), Lane Bryant (1 location)

Old Navy (2 locations), Banana Republic (1 location)

Kate Spade (2 locations)

Core Portfolio – Lease Expirations

Supplemental Report – September 30, 2019

(Pro Rata Basis)

	Street Tenants												Anchor Tenants
			GLA					ABR							GLA					ABR
	Leases		Expiring		Percent					Percent			Leases		Expiring		Percent					Percent
Year	Expiring		SF		of Total			PSF		of Total			Expiring		SF		of Total			PSF		of Total
M to M ¹		2		3,916		0.5	%	$	50.34		0.3	%		—		—		—	%	$	—		—	%
2019		2		3,723		0.5	%		352.42		2.1	%		1		47,773		1.7	%		29.23		3.3	%
2020		12		30,293		4.1	%		148.80		7.0	%		2		65,258		2.3	%		13.06		2.0	%
2021		24		96,624		13.0	%		53.42		8.1	%		12		513,881		18.4	%		14.59		17.5	%
2022		10		49,117		6.6	%		91.47		7.0	%		5		187,442		6.7	%		16.79		7.4	%
2023		15		127,884		17.2	%		72.95		14.6	%		9		403,062		14.4	%		18.35		17.3	%
2024		11		75,314		10.1	%		76.31		9.0	%		12		470,161		16.8	%		11.91		13.1	%
2025		14		47,942		6.4	%		149.67		11.2	%		9		360,332		12.9	%		17.63		14.8	%
2026		16		35,485		4.8	%		134.57		7.5	%		3		72,216		2.6	%		13.07		2.2	%
2027		8		24,851		3.3	%		70.07		2.7	%		1		45,000		1.6	%		23.10		2.4	%
2028		10		145,048		19.5	%		61.27		13.9	%		7		409,288		14.6	%		12.93		12.4	%
Thereafter		18		104,411		14.0	%		101.82		16.6	%		6		223,459		8.0	%		14.74		7.6	%
Total		142		744,608		100.0	%	$	85.89		100.0	%		67		2,797,872		100.0	%	$	15.28		100.0	%

Anchor GLA Owned by Tenants				—												254,916
Total Vacant				60,973												33,780
Total Square Feet				805,581												3,086,568

	Shop Tenants												Total Tenants
			GLA					ABR							GLA					ABR
	Leases		Expiring		Percent					Percent			Leases		Expiring		Percent					Percent
Year	Expiring		SF		of Total			PSF		of Total			Expiring		SF		of Total			PSF		of Total
M to M ¹		4		10,419		1.0	%	$	18.44		0.6	%		6		14,335		0.3	%	$	27.16		0.3	%
2019		5		10,372		1.0	%		42.66		1.3	%		8		61,868		1.3	%		50.93		2.2	%
2020		30		82,094		7.6	%		24.51		6.0	%		44		177,645		3.8	%		41.50		5.3	%
2021		45		171,907		16.0	%		24.84		12.7	%		81		782,412		16.9	%		21.64		12.1	%
2022		41		135,717		12.6	%		33.25		13.4	%		56		372,276		8.1	%		32.64		8.7	%
2023		36		135,959		12.7	%		30.51		12.4	%		60		666,905		14.4	%		31.30		14.9	%
2024		36		140,220		13.1	%		29.57		12.4	%		59		685,695		14.9	%		22.59		11.0	%
2025		23		68,338		6.4	%		30.16		6.1	%		46		476,612		10.3	%		32.71		11.1	%
2026		15		66,804		6.2	%		31.58		6.3	%		34		174,505		3.8	%		44.86		5.6	%
2027		16		75,921		7.1	%		30.23		6.8	%		25		145,772		3.2	%		34.82		3.6	%
2028		23		104,486		9.7	%		37.67		11.7	%		40		658,822		14.3	%		27.50		12.9	%
Thereafter		21		72,081		6.6	%		47.77		10.3	%		45		399,951		8.7	%		43.43		12.3	%
Total		295		1,074,318		100.0	%	$	31.25		100.0	%		504		4,616,798		100.0	%	$	30.29		100.0	%

Anchor GLA Owned by Tenants				—												254,916
Total Vacant				241,229												335,982
Total Square Feet				1,315,547												5,207,696

_________

Leases currently under month to month or in process of renewal

Core Portfolio – New and Renewal Rent Spreads ¹

Supplemental Report – September 30, 2019

	Quarter Ended																		Year to Date
	March 31, 2019						June 30, 2019						September 30, 2019						September 30, 2019
	GAAP ²			Cash ³			GAAP ²			Cash ³			GAAP ²			Cash ³			GAAP ²			Cash ³
New Leases
Number of new leases executed		2			2			1			1			2			2			5			5
GLA		4,299			4,299			773			773			52,466			52,466			57,538			57,538
New base rent	$	58.64		$	55.99		$	36.21		$	38.12		$	20.38		$	17.63		$	23.45		$	20.77
Previous base rent	$	46.22		$	51.71		$	34.97		$	39.45		$	15.79		$	18.59		$	18.32		$	21.34
Average cost per square foot	$	68.49		$	68.49		$	51.69		$	51.69		$	28.66		$	28.66		$	31.95		$	31.95
Weighted Average Lease Term (years)		8.7			8.7			5.0			5.0			19.9			19.9			18.9			18.9
Percentage growth in base rent ⁴		26.9	%		8.3	%		3.5	%		(3.4	)%		29.1	%		(5.2	)%		28.0	%		(2.7	)%

Renewal Leases
Number of renewal leases executed		6			6			7			7			15			15			28			28
GLA		118,172			118,172			114,669			114,669			202,065			202,065			434,906			434,906
New base rent	$	4.49		$	4.47		$	15.69		$	15.41		$	25.16		$	24.35		$	17.05		$	16.59
Expiring base rent	$	4.39		$	4.43		$	14.54		$	14.55		$	21.56		$	22.85		$	15.04		$	15.66
Average cost per square foot	$	—		$	—		$	1.86		$	1.86		$	2.47		$	2.47		$	1.64		$	1.64
Weighted Average Lease Term (years)		4.8			4.8			5.9			5.9			5.4			5.4			5.4			5.4
Percentage growth in base rent		2.3	%		0.9	%		7.9	%		5.9	%		16.7	%		6.6	%		13.4	%		5.9	%

Total New and Renewal Leases
Number of new and renewal leases executed		8			8			8			8			17			17			33			33
GLA commencing		122,471			122,471			115,442			115,442			254,531			254,531			492,444			492,444
New base rent	$	6.39		$	6.28		$	15.83		$	15.56		$	24.17		$	22.96		$	17.80		$	17.08
Expiring base rent	$	5.86		$	6.09		$	14.68		$	14.72		$	20.37		$	21.97		$	15.43		$	16.32
Average cost per square foot	$	2.40		$	2.40		$	2.19		$	2.19		$	7.87		$	7.87		$	5.18		$	5.18
Weighted Average Lease Term (years)		5.0			5.0			5.9			5.9			8.4			8.4			7.0			7.0
Percentage growth in base rent		9.1	%		3.1	%		7.8	%		5.7	%		18.7	%		4.5	%		15.4	%		4.7	%

__________

Based on lease execution dates. Does not include leased square footage and costs related to first generation space and the Company's major redevelopment projects; renewal leases include exercised options.

Rents are calculated on a straight-line ("GAAP") basis and do not incorporate above- or below-market lease adjustments.

Rents have not been calculated on a straight-line basis. Previous/expiring rent is that as of time of expiration and includes any percentage rent paid as well. New rent is that which is paid at commencement.

Rent spreads for September 30, 2019 include a lease encompassing 414 square feet on Madison Avenue, New York City.

Core Portfolio – Capital Expenditures

Supplemental Report – September 30, 2019


	Quarter Ended						Year to Date
	March 31, 2019		June 30, 2019		September 30, 2019		September 30, 2019		December 31, 2018
Leasing Commissions	$	537	$	584	$	312	$	1,433	$	1,877
Tenant Improvements		1,810		1,834		450		4,094		10,076
Maintenance Capital Expenditures		527		231		1,220		1,978		3,154
Total Capital Expenditures	$	2,874	$	2,649	$	1,982	$	7,505	$	15,107

Fund Overview

Supplemental Report – September 30, 2019

I. KEY METRICS	Fund I				Fund II				Fund III				Fund IV				Fund V				Total
General Information:
Vintage		Sep-2001				Jun-2004				May-2007				May-2012				Aug-2016
Fund Size	$		90.0	Million	$		300.0	Million	$		502.5	Million	$		540.6	Million	$		520.0	Million	$		1,953.1	Million
Acadia's Commitment	$		20.0	Million	$		85.0	Million	$		123.3	Million	$		125.0	Million	$		104.5	Million	$		457.8	Million
Acadia's Pro Rata Share			22.2	%			28.3	%			24.5	%			23.1	%			20.1	%			23.4	%
Acadia's Promoted Share ¹			37.8	%			42.7	%			39.6	%			38.5	%			36.1	%			38.8	%
Preferred Return			9.0	%			8.0	%			6.0	%			6.0	%			6.0	%		6.4		%

Current-Quarter, Fund-Level Information:
Cumulative Contributions ²	$		86.6	Million	$		347.1	Million	$		436.4	Million	$		438.1	Million	$		258.6	Million	$		1,566.8	Million
Cumulative Net Distributions ³	$		195.4	Million	$		146.6	Million	$		568.8	Million	$		172.1	Million	$		2.0	Million	$		1,085.0	Million
Net Distributions/Contributions			225.6	%			42.2	%			130.3	%			39.3	%			0.8				69.2	%
Unfunded Commitment ⁴	$		0.0	Million	$		15.0	Million	$		13.6	Million	$		91.9	Million	$		261.4	Million	$		381.9	Million
Acquisition Dry Powder ⁵		N/A				N/A				N/A				N/A			$		208.0	Million	$		208.0	Million
Investment Period Closes ⁶		Closed				Closed				Closed				Closed				Aug-2020
Currently in a Promote Position? (Yes/No)		No				No				No				No				No

II. FEES & PRIORITY DISTRIBUTIONS EARNED BY ACADIA

Type:		Applicable to				Description
Asset Management ⁷		Fund I & II				1.5% of Implied Capital
Asset Management		Fund III				Until mid-May 2020, 1.5% of Implied Capital; from mid-May 2020 to mid-May 2021, 0.75% of Implied Capital excluding the Unfunded Commitment; thereafter $0
Asset Management ⁷		Fund IV & V				1.5% of Implied Capital during the investment period, 1.25% of Implied Capital post-investment period
Property Management		All funds				4.0% of gross property revenues
Leasing		All funds				Market-rate leasing commissions
Construction/Project Management		All funds				Market-rate fees
Development		Fund III, IV & V				3.0% of total project costs

__________

Acadia's "Promoted Share" reflects Acadia's share of fund profits once all partners (including Acadia) have received a return of their cumulative contributions plus their cumulative preferred return. Acadia's Promoted Share equals a 20% promote plus Acadia's pro rata share of the remaining 80%.

With regard to Fund II, the additional contributions over original Fund Size reflects a prior-period distribution that was re-contributed to the Fund during 2016 to fund the on-going redevelopment of existing Fund II investments.

Net of fees and promote. Fund I has made its final distribution and was fully liquidated in 2018.

Unfunded Commitments are set aside to complete leasing and development at existing fund investments and to make new Fund V investments. The Unfunded Commitment will not equal Fund Size less Cumulative Contributions in those instances where certain fund distributions have been marked as recallable or where the fund has released commitments due to, among other reasons, the closing of the fund's investment period or accelerated asset sales. With regard to Fund II, the Unfunded Commitment reflects a prior-period distribution that is subject to recontribution to the Fund until April 2021.

Unfunded Commitments available to deploy into new unidentified investments.

With regard to Fund V’s investment period, Acadia has a one-year extension option, at its discretion, through August 2021.

Implied Capital is Fund Size less capital attributed to sold investments or released. Post-investment period, Fund IV Implied Capital also excludes $50.0 million of general reserves.

Fund Portfolio Retail Properties – Detail ¹

Supplemental Report – September 30, 2019

		Year	Fund			Gross Leasable Area								In Place Occupancy												Leased			Annualized
Property	Key Tenants	Acquired	Ownership %			Street		Anchors		Shops		Total		Street			Anchors			Shops			Total			Occupancy			Base Rent (ABR)		ABR PSF

Fund II Portfolio Detail

NEW YORK
New York
City Point - Phase I and II	Century 21, Target, Alamo Drafthouse	2007		94.2	%		—		289,464		180,054		469,518		—	%		91.5	%		23.0	%		65.2	%		86.2	%	$	8,856,930	$	28.91

Total - Fund II							—		289,464		180,054		469,518		—	%		91.5	%		23.0	%		65.2	%		86.2	%	$	8,856,930	$	28.91

Fund III Portfolio Detail

NEW YORK
New York
654 Broadway	─	2011		100.0	%		2,896		—		—		2,896		100.0	%		—	%		—	%		100	%		100.0	%	$	455,000	$	157.11
640 Broadway	Swatch	2012		63.1	%		4,637		—		—		4,637		73.1	%		—	%		—	%		73.1	%		73.1	%		927,511		273.59
Cortlandt Crossing	ShopRite, HomeSense	2012		100.0	%		—		67,868		59,033		126,901		—	%		100.0	%		45.7	%		74.8	%		77.0	%		2,510,469		26.46

Total - Fund III							7,533		67,868		59,033		134,434		83.4	%		100.0	%		45.7	%		75.2	%		77.4	%	$	3,892,980	$	38.49

Fund IV Portfolio Detail

NEW YORK
New York
801 Madison Avenue	─	2015		100.0	%		2,625		—		—		2,625		—	%		—	%		—	%		—	%		—	%	$	—	$	—
210 Bowery	─	2012		100.0	%		2,538		—		—		2,538		—	%		—	%		—	%		—	%		—	%		—		—
27 East 61st Street	─	2014		100.0	%		4,177		—		—		4,177		—	%		—	%		—	%		—	%		—	%		—		—
17 East 71st Street	The Row	2014		100.0	%		8,432		—		—		8,432		100.0	%		—	%		—	%		100.0	%		100.0	%		2,113,110		250.61
1035 Third Avenue ²	─	2015		100.0	%		7,617		—		—		7,617		37.2	%		—	%		—	%		37.2	%		58.7	%		653,901		230.84
Colonie Plaza	Price Chopper, Big Lots	2016		100.0	%		—		96,000		57,483		153,483		—	%		100.0	%		86.5	%		94.9	%		95.8	%		1,662,356		11.41

New Jersey
Paramus Plaza	Ashley Furniture, Marshalls	2013		50.0	%		—		64,105		88,955		153,060		—	%		39.0	%		97.3	%		72.9	%		74.5	%		2,103,780		18.86

BOSTON
Massachusetts
Restaurants at Fort Point	─	2016		100.0	%		15,711		—		—		15,711		100.0	%		—	%		—	%		100.0	%		100.0	%		990,230		63.03

NORTHEAST
Maine
Airport Mall	Hannaford, Marshalls	2016		100.0	%		—		131,042		90,788		221,830		—	%		100.0	%		23.3	%		68.6	%		87.2	%		1,026,747		6.75
Wells Plaza	Reny's, Dollar Tree	2016		100.0	%		—		62,471		27,963		90,434		—	%		100.0	%		94.7	%		98.3	%		98.3	%		737,326		8.29
Shaw's Plaza (Waterville)	Shaw's	2016		100.0	%		—		87,492		31,523		119,015		—	%		100.0	%		100.0	%		100.0	%		100.0	%		1,400,053		11.76
Shaw's Plaza (Windham)	Shaw's	2017		100.0	%		—		66,698		57,632		124,330		—	%		100.0	%		75.0	%		88.4	%		88.4	%		1,035,744		9.42

Pennsylvania
Dauphin Plaza	Price Rite, Ashley Furniture	2016		100.0	%		—		114,765		91,441		206,206		—	%		100.0	%		79.9	%		91.1	%		91.1	%		1,834,481		9.77
Mayfair Shopping Center	Planet Fitness, Dollar Tree	2016		100.0	%		—		25,673		89,738		115,411		—	%		—	%		83.0	%		64.6	%		97.4	%		1,336,312		17.94

Rhode Island
650 Bald Hill Road	Dick's Sporting Goods, Burlington Coat Factory	2015		90.0	%		—		55,000		113,764		168,764		—	%		100.0	%		72.0	%		81.1	%		81.1	%		1,978,902		14.45

Fund Portfolio Retail Properties – Detail ¹

Supplemental Report – September 30, 2019

(in thousands)

		Year	Fund			Gross Leasable Area								In Place Occupancy												Leased			Annualized
Property	Key Tenants	Acquired	Ownership %			Street		Anchors		Shops		Total		Street			Anchors			Shops			Total			Occupancy			Base Rent (ABR)		ABR PSF
MID-ATLANTIC
Virginia
Promenade at Manassas	Home Depot	2013		98.6	%		—		209,356		71,404		280,760		—	%		79.3	%		94.7	%		83.2	%		98.6	%		3,115,972		13.33

Delaware
Eden Square	Giant Food, LA Fitness	2014		98.6	%		—		116,003		115,071		231,074		—	%		100.0	%		71.7	%		85.9	%		85.9	%		3,045,812		15.34

MIDWEST
Illinois
Lincoln Place	Kohl's, Marshall's, Ross	2017		100.0	%		—		144,302		127,758		272,060		—	%		100.0	%		82.9	%		92.0	%		97.8	%		3,017,279		12.06

SOUTHEAST
Georgia
Broughton Street Portfolio (13 properties)	H&M, Lululemon, Michael Kors, Starbucks	2014		82.8	%		100,440		—		—		100,440		83.9	%		—	%		—	%		83.9	%		83.9	%		3,130,140		37.13

North Carolina
Wake Forest Crossing	Lowe's, TJ Maxx	2016		100.0	%		—		113,353		89,527		202,880		—	%		100.0	%		97.0	%		98.7	%		98.7	%		2,941,085		14.69

WEST
California
Union and Fillmore Collection (3 properties)	Eileen Fisher, L'Occitane, Bonobos	2015		90.0	%		7,148		—		—		7,148		100.0	%		—	%		—	%		100.0	%		100.0	%		716,262		100.20

Total - Fund IV							148,688		1,286,260		1,053,047		2,487,995		79.7	%		91.6	%		78.9	%		85.5	%		91.3	%	$	32,839,492	$	15.43

Fund V Portfolio Detail

SOUTHWEST
New Mexico
Plaza Santa Fe	TJ Maxx, Best Buy, Ross Dress for Less	2017		100.0	%		—		153,983		70,240		224,223		—	%		100.0	%		98.2	%		99.4	%		99.4	%		3,949,489		17.71

MIDWEST
Michigan
New Towne Plaza	Kohl's, Jo-Ann's, DSW	2017		100.0	%		—		145,389		48,057		193,446		—	%		100.0	%		81.4	%		95.4	%		99.0	%		2,173,428		11.78
Fairlane Green	TJ Maxx, Michaels, Bed Bath & Beyond	2017		100.0	%		—		109,916		142,988		252,904		—	%		100.0	%		92.5	%		95.7	%		95.7	%		5,020,539		20.74

NORTHEAST
Maryland
Washington REIT Portfolio	Kmart, Kohl's, Best Buy, Ross Dress for Less,	2019		90.0	%		—		295,498		228,658		524,156		—	%		100.0	%		79.5	%		91.1	%		97.9	%		6,198,664		12.99

Connecticut
Tri-City Plaza	TJ Maxx, HomeGoods	2019		90.0	%		—		154,714		145,353		300,067		—	%		36.1	%		78.5	%		56.7	%		81.3	%		2,686,231		15.80

SOUTHEAST
Virginia
Landstown Commons	Best Buy, Bed Bath & Beyond, Ross Dress for Less	2019		100.0	%		—		87,883		316,695		404,578		—	%		100.0	%		86.5	%		89.4	%		97.3	%		7,311,803		20.21

Florida
Palm Coast Landing	TJ Maxx, PetSmart, Ross Dress for Less	2019		100.0	%		—		73,241		98,083		171,324		—	%		100.0	%		89.5	%		94.0	%		94.0	%		3,213,783		19.96

Fund Portfolio Retail Properties – Detail ¹

Supplemental Report – September 30, 2019

(in thousands)

		Year	Fund			Gross Leasable Area								In Place Occupancy												Leased			Annualized
Property	Key Tenants	Acquired	Ownership %			Street		Anchors		Shops		Total		Street			Anchors			Shops			Total			Occupancy			Base Rent (ABR)		ABR PSF
North Carolina
Hickory Ridge	Kohl's, Best Buy, Dick's	2017		100.0	%		—		266,584		113,981		380,565		—	%		100.0	%		72.7	%		91.8	%		98.4	%		4,051,394		11.59
Lincoln Commons	Stop and Shop, Marshalls, HomeGoods	2019		100.0	%		—		194,470		260,971		455,441		—	%		100.0	%		73.5	%		84.8	%		84.8	%		5,059,730		13.10

Alabama
Trussville Promenade	Wal-Mart, Regal Cinemas	2018		100.0	%		—		366,010		97,715		463,725		—	%		100.0	%		78.9	%		95.6	%		95.6	%		4,435,530		10.01

Georgia
Hiram Pavilion	Kohl's, HomeGoods	2018		100.0	%		—		209,423		153,252		362,675		—	%		100.0	%		95.6	%		98.2	%		98.2	%		4,221,512		11.86

WEST
California
Elk Grove Commons	Kohl's, HomeGoods	2018		100.0	%		—		132,315		88,411		220,726		—	%		100.0	%		91.9	%		96.7	%		96.7	%		4,724,918		22.13

Utah
Family Center at Riverdale	Target, Gordman's, Sportman's Warehouse	2019		90.0	%		—		256,352		171,476		427,828		—	%		100.0	%		91.7	%		96.7	%		96.7	%		4,024,907		9.73

Total - Fund V							—		2,445,778		1,935,880		4,381,658		—	%		96.0	%		84.4	%		90.9	%		94.8	%	$	57,071,928	$	14.33

TOTAL FUND PROPERTIES							156,221		4,089,370		3,228,014		7,473,605		79.8	%		94.3	%		78.5	%		87.2	%		92.8	%	$	102,661,330	$	15.75

Acadia Share of Total Fund Properties							31,634		876,434		690,892		1,598,960		77.3	%		94.9	%		77.3	%		87.0	%		92.9	%	$	22,103,271	$	15.90

__________

Excludes properties under development, see “Development and Redevelopment Activity” page of this Supplemental Report. The above occupancy and rent amounts do not include space which is currently leased, other than "leased occupancy," but for which rent payment has not yet commenced. Residential and office GLA is excluded.

Property also includes 12,371 sf of 2nd floor office space and 29,760 sf parking garage (131 spaces).

Fund Lease Expirations

Supplemental Report – September 30, 2019

(Pro Rata Basis)

	FUND II														FUND III
			GLA							ABR							GLA							ABR
	Leases		Expiring		Percent							Percent			Leases		Expiring		Percent							Percent
Year	Expiring		SF		of Total			Amount		PSF		of Total			Expiring		SF		of Total			Amount		PSF		of Total
M to M ¹		—		—		—	%	$	—	$	—		—	%		—		—		—	%	$	—	$	—		—	%
2019		—		—		—	%		—		—		—	%		—		—		—	%		—		—		—	%
2020		—		—		—	%		—		—		—	%		—		—		—	%		—		—		—	%
2021		—		—		—	%		—		—		—	%		—		—		—	%		0		—		—	%
2022		—		—		—	%		—		—		—	%		—		—		—	%		0		—		—	%
2023		—		—		—	%		—		—		—	%		2		161		0.7	%		42,136		261.71		4.8	%
2024		—		—		—	%		—		—		—	%		—		—		—	%		0		—		—	%
2025		1		655		0.8	%		67,187		102.58		2.8	%		1		112		0.5	%		36,025		321.65		4.1	%
2026		—		—		—	%		—		—		—	%		1		110		0.4	%		34,878		317.07		4.0	%
2027		2		5,951		7.3	%		388,325		65.25		16.4	%		—		—		—	%		0		—		—	%
2028		1		254		0.3	%		34,243		134.81		1.4	%		1		6,125		25.0	%		140,875		23.00		16.2	%
Thereafter		5		74,932		91.6	%		1,875,045		25.02		79.4	%		4		17,971		73.4	%		616,390		34.30		70.9	%
Total		9		81,792		100.0	%	$	2,364,800	$	28.91		100.0	%		9		24,479		100.0	%	$	870,304	$	35.56		100.0	%

				43,569	Total Vacant													8,040	Total Vacant
				125,361	Total Square Feet													32,519	Total Square Feet


	FUND IV														FUND V
			GLA							ABR							GLA							ABR
	Leases		Expiring		Percent							Percent			Leases		Expiring		Percent							Percent
Year	Expiring		SF		of Total			Amount		PSF		of Total			Expiring		SF		of Total			Amount		PSF		of Total
M to M ¹		5		7,709		1.6	%	$	48,157	$	6.25		0.7	%		9		7,348		0.9	%	$	124,282	$	16.91		1.1	%
2019		3		2,236		0.5	%		21,157		9.46		0.3	%		5		3,126		0.4	%		79,005		25.27		0.7	%
2020		27		37,673		8.0	%		424,792		11.28		5.9	%		57		161,842		19.9	%		1,956,164		12.09		16.7	%
2021		36		66,685		14.2	%		916,366		13.74		12.8	%		59		81,932		10.1	%		1,462,713		17.85		12.5	%
2022		22		44,975		9.6	%		580,495		12.91		8.1	%		61		110,777		13.6	%		1,814,834		16.38		15.5	%
2023		21		36,715		7.8	%		376,425		10.25		5.3	%		55		128,610		15.8	%		1,853,255		14.41		15.8	%
2024		21		44,690		9.5	%		706,984		15.82		9.9	%		48		114,053		14.0	%		1,677,237		14.71		14.3	%
2025		22		25,187		5.4	%		917,546		36.43		12.8	%		15		51,654		6.3	%		757,601		14.67		6.5	%
2026		22		36,586		7.8	%		658,169		17.99		9.2	%		19		24,410		3.0	%		498,634		20.43		4.3	%
2027		13		14,470		3.1	%		303,149		20.95		4.2	%		5		40,119		4.9	%		234,278		5.84		2.0	%
2028		10		19,684		4.2	%		273,619		13.90		3.8	%		15		25,355		3.1	%		454,067		17.91		3.9	%
Thereafter		26		133,464		28.3	%		1,932,656		14.48		27.0	%		18		64,773		8.0	%		796,582		12.30		6.7	%
Total		228		470,074		100.0	%	$	7,159,515	$	15.23		100.0	%		366		813,999		100.0	%	$	11,708,652	$	14.38		100.0	%

				77,492	Total Vacant													79,514	Total Vacant
				547,566	Total Square Feet													893,513	Total Square Feet

__________

Leases currently under month to month or in process of renewal

Development and Redevelopment Activity

Supplemental Report – September 30, 2019

				Est. SQFT						Acquisition & Development Costs
Property	Ownership¹	Location	Estimated Stabilization	Upon Completion		Leased Rate	Key Tenants	Outstanding Debt		Incurred ²		Estimated Future Range					Estimated Total Range
Development:
CORE
1238 Wisconsin	100.0%	Washington DC	2022		29,000	—	TBD	$	—	$	0.6		32.0	to		33.4	$	32.6	to	$	34.0

FUND II
City Point Phase III	94.2%	Brooklyn, NY	2021		63,000	—	TBD		23.9		9.1		52.9	to		55.9		62.0	to		65.0

FUND III
Broad Hollow Commons	100.0%	Farmingdale, NY	2021	180,000 - 200,000		—	TBD		—		17.7		32.3	to		42.3		50.0	to		60.0

FUND IV
110 University Place	100.0%	New York, NY	2022		46,000	—	TBD		—		12.6		8.0	to		12.4		20.6	to		25.0
146 Geary	100.0%	San Francisco, CA	2022		13,000	—	TBD		22.9		40.5		19.5	to		24.5		60.0	to		65.0
717 N. Michigan Avenue	100.0%	Chicago, IL	2020		62,000	30.0%	Disney Store		56.7		109.2		10.8	to		18.3		120.0	to		127.5
								$	103.5	$	189.7	$	155.5		$	186.8	$	345.2		$	376.5
Redevelopment:

CORE
City Center	100.0%	San Francisco, CA	2020		241,000	90.0%	Target	$	—	$	185.4	$	4.6	to	$	14.6	$	190.0	to	$	200.0
Route 6 Mall	100.0%	Honesdale, PA	TBD	TBD		100.0%	TBD		—		—	TBD			TBD		TBD			TBD
Mad River	100.0%	Dayton, OH	TBD	TBD		50.0%	TBD		—		—	TBD		to	TBD		TBD		to	TBD
								$	—	$	185.4	$	4.6		$	14.6	$	190.0		$	200.0
Pre-Stabilized:

CORE
613-623 West Diversey	100.0%	Chicago, IL	2019		29,778	76.1%	TJ Maxx, Blue Mercury	$	—
									—
FUND II
City Point, Phase I and II	94.2%	New York, NY	2020		475,000	86.2%	Century 21, Target, Alamo Drafthouse		259.1

FUND III
Cortlandt Crossing	100.0%	Mohegan Lake, NY	2019		125,906	77.0%	ShopRite, HomeSense		34.7
640 Broadway	63.1%	New York, NY	2019		4,637	73.1%	Swatch		39.5

FUND IV
Paramus Plaza	50.0%	Paramus, NJ	2019		150,660	74.5%	Ashley Furniture, Marshalls		18.9
210 Bowery	100.0%	New York, NY	2019		2,538	—	─		—
801 Madison	100.0%	New York, NY	2019		2,625	—	─		—
27 E 61st Street	100.0%	New York, NY	2019		4,177	—	─		—
1035 Third Avenue	100.0%	New York, NY	2019		7,617	58.7%	─		—
								$	352.2

_________

Development and Redevelopment Activity

Supplemental Report – September 30, 2019

__________

Ownership percentage represents the Core or Fund level ownership and not Acadia’s pro rata share.

Incurred amounts include costs associated with the initial carrying value. Reconciles to Consolidated Balance Sheet as follows:

Development costs above	$	189.7
Projects in redevelopment or partial development		75.2
Deferred costs and other amounts		(14.6	)

Total per consolidated balance sheet	$	250.3

Refer to “ Net Asset Valuation Information ” for pro-rata costs incurred

Important Notes

Supplemental Report – September 30, 2019

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. 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 supplemental adjustment more appropriately reflects the results of its operations. The Company also provides one other supplemental disclosure of operating performance, adjusted funds from operations (“AFFO”). 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.

USE OF NON-GAAP FINANCIAL MEASURES

Non-GAAP financial measures such as EBITDA, NOI, Same-Property NOI and lease spreads 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. Same-Property NOI includes properties in our Core Portfolio that we owned for both the current and prior periods presented, but excludes those properties which we acquired, sold or expected to sell, and redeveloped during these periods. The Company’s method of calculating EBITDA, NOI and Same-Property NOI may be different from methods used by other REITs and, accordingly, may not be comparable to such other REITs. EBITDA, NOI and Same-Property 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.