SEC Filing - Acadia Realty Trust

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

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

Date of Report (Date of Earliest Event Reported): July 24, 2017

ACADIA REALTY TRUST

(Exact name of registrant as specified in its charter)



Maryland	1-12002	23-2715194
(State or other jurisdiction of incorporation)	(Commission File Number)	(I.R.S. Employer Identification No.)

411 Theodore Fremd Avenue

Suite 300

Rye, New York 10580

(Address of principal executive offices) (Zip Code)

(914) 288-8100

(Registrant’s telephone number, including area code)

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

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

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

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

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

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

Indicate by check mark whether the registrant is an emerging growth company as defined in as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company o

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o



Item 2.02.	Results of Operations and Financial Condition.

On July 25, 2017, Acadia Realty Trust (the “Company”) issued a press release announcing its consolidated financial results for the quarter ended June 30, 2017. A copy of this press release is attached to this report on Form 8-K as Exhibit 99.1 and incorporated herein by reference. In addition, on July 25, 2017, the Company made available supplemental information concerning the ownership, operations and portfolio of the Company as of and for the quarter ended June 30, 2017. A copy of this supplemental information is attached to this report on Form 8-K as Exhibit 99.2 and incorporated herein by reference.

The information included in this Item 2.02, including the information included in Exhibits 99.1 and 99.2 attached hereto, is intended to be furnished solely pursuant to this Item 2.02, and is not deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or incorporated by reference into any filing under the Securities Act of 1933, as amended (“Securities Act”) or the Exchange Act, or otherwise subject to the liabilities of Sections 11 and 12 (a) (2) of the Securities Act.



Item 5.03.	Amendments to Articles of Incorporation or Bylaws; Change in Fiscal Year.

On June 27, 2017, the Board of Directors (the “Board”) of the Company authorized and approved an amendment to Section 6.1 of the Company’s Declaration of Trust, effective as of its filing on July 24, 2017 to increase the number of authorized shares from 100,000,000 to 200,000,000 and change the par value of the authorized and undesignated shares of beneficial interest of the Company from without par value to $0.001 par value per share. As previously reported, the increase in authorized shares had been recommended by the Board and approved by the Company’s shareholders at its annual meeting held on May 10, 2017 (the “Annual Meeting”).

The foregoing description of the amendment to the Company’s Declaration of Trust is qualified in its entirety by reference to the copy of such amendment attached hereto as Exhibit 3.1 and incorporated herein by reference.



Item 5.07.	Submission of Matters to a Vote of Security Holders.

At the Annual Meeting, the Company’s shareholders voted, among other matters, on an advisory basis, as to the frequency with which executive compensation will be subject to future advisory shareholder votes. As previously reported, the greatest number of votes was cast in favor of every “One-Year”.

In accordance with the Board’s recommendation as set forth in the Company’s proxy statement for the Annual Meeting and consistent with the stated preference of the Company’s shareholders, the Board has determined that future advisory shareholder votes on executive compensation will be conducted on an annual basis, until the next advisory vote on this matter is held.



Item 9.01.	Financial Statements and Exhibits.

(d) Exhibits



Exhibit Number	Description
3.1	Sixth Amendment to the Declaration of Trust dated July 24, 2017.
99.1	Press release of the Company dated July 25, 2017.
99.2	Financial and Operating Reporting Supplement of the Company for the quarter ended June 30, 2017.

SIGNATURES

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



Dated:	ACADIA REALTY TRUST (Registrant)
July 28, 2017	By: /s/ John Gottfried Name: John Gottfried Title: Sr. Vice President and Chief Financial Officer

Exhibit

EXHIBIT 3.1

ACADIA REALTY TRUST

ARTICLES OF AMENDMENT

SIXTH AMENDMENT TO DECLARATION OF TRUST

Dated: July 24, 2017

Acadia Realty Trust, a Maryland real estate investment trust (the “Trust”), hereby certifies to the State Department of Assessments and Taxation of Maryland that:

FIRST: The Declaration of Trust (the “Declaration of Trust”) of the Trust is hereby amended by deleting therefrom in its entirety Section 6.1 of Article VI and inserting in lieu thereof a new Section 6.1 to read as follows:

“SECTION 6.1 Shares. The beneficial interest in the Trust shall be divided into Shares. The total number of Shares which the Trust has authority to issue is 200,000,000, $.001 par value per share, and shall consist of common Shares and such other types or classes of Securities of the Trust as the Trustees may create and authorize from time to time and designate as representing a beneficial interest in the Trust. Shares may be issued for such consideration as the Trustees determine or, if issued as a result of a Share dividend of Share split, without any consideration, in which case all Shares so issued shall be fully paid and nonassessable.”

SECOND: The total number of shares of beneficial interest which the Trust had authority to issue immediately prior to the foregoing amendment of the Declaration of Trust was 100,000,000 shares of beneficial interest, $.001 par value per share. The aggregate par value of all authorized shares of stock having par value was $100,000.

THIRD: The total number of shares of beneficial interest which the Trust has authority to issue pursuant to the foregoing amendment of the Declaration of Trust is 200,000,000 shares of beneficial interest, $.001 par value per share. The aggregate par value of all authorized shares of stock having par value is $200,000.

FOURTH: The foregoing amendment of the Declaration of Trust has been duly advised by the Board of Trustees of the Trust and approved by the shareholders of the Trust as required by law, except that a change expressly authorized by Section 2-605(a)(2) of the Maryland General Corporation Law was approved by the Board of Trustees of the Trust.

FIFTH: The undersigned acknowledges these Articles of Amendment to be the trust act of the Trust and as to all matters or facts required to be verified under oath, the undersigned acknowledges that to the best of his knowledge, information and belief, these matters and facts are true in all material respects and that this statement is made under the penalties for perjury.

[SIGNATURE PAGE FOLLOWS]

IN WITNESS WHEREOF, the Trust has caused these Articles of Amendment to be signed in its name and on its behalf by its President and Chief Executive Officer and attested to by its Secretary on this 24th day of July, 2017.

ATTEST: ACADIA REALTY TRUST

/s/ Jason Blacksberg By: /s/ Kenneth F. Bernstein

Jason Blacksberg Kenneth F. Bernstein

Secretary President and Chief Executive Officer

Exhibit

Exhibit 99.1

ACADIA REALTY TRUST REPORTS SECOND QUARTER 2017 OPERATING RESULTS

RYE, NY (July 25, 2017) - Acadia Realty Trust (NYSE:AKR) (“Acadia” or the “Company”) today reported operating results for the quarter ended June 30, 2017. All per share amounts are on a fully-diluted basis.

Acadia operates dual platforms, comprised of a high-quality core real estate portfolio (“Core Portfolio”), which owns and operates meaningful concentrations of assets in the nation’s most dynamic urban and street-retail corridors, and a series of discretionary, institutional funds (“Funds”) that target opportunistic and value-add investments.

Please refer to the tables and notes accompanying this press release for further details on operating results and additional disclosures related to FFO and net income.

Highlights


•	Earnings: Generated earnings per share of $0.14 for the second quarter; funds from operations (“FFO”) per share of $0.37 for the second quarter, and FFO of $0.38 per share before acquisition costs


•	Core Portfolio Operating Results: Generated same-property net operating income growth of 1.8% for the second quarter; reported a leased rate of 95.2% as of quarter end


•	Fund Acquisitions: Fund V acquired its first investment during the second quarter for $35 million; Fund V also has $44 million of acquisitions under contract


•	Fund Dispositions: Completed a $6 million Fund IV disposition during the second quarter, resulting in a 29% IRR and 2.2x multiple; additionally, Fund III sold a $22 million property in July 2017, resulting in a 14% IRR and 1.6x multiple; Fund II also has $96 million under contract for sale


•	Balance Sheet: Maintained conservative leverage levels during 2017, as indicated by a net debt to EBITDA ratio of 4.5x and a fixed-charge coverage ratio of 4.5x, both for the Core Portfolio; Acadia did not issue any equity during the second quarter

“Our company continues to successfully execute its dual-platform strategy, as reflected in our solid second-quarter results,” stated Kenneth F. Bernstein, President and CEO of Acadia Realty Trust. “Over the past several years, we have built a high-quality core portfolio, with a concentration of live-work-play, urban and street-retail locations in our nation’s key gateway cities. Not only is there significant growth to harvest within our existing core and fund investments, but also, we have dry powder, in both platforms, that enables us to opportunistically respond to overreactions to today’s cyclical headwinds and secular shifts. All in all, we remain well positioned and active.”

FINANCIAL RESULTS

Net income attributable to common shareholders for the quarter ended June 30, 2017 was $12 million, or $0.14 per share. Net income attributable to common shareholders for the quarter ended June 30, 2016 was $18 million, or $0.24 per share, which included $4 million, or $0.06 per share, of gain from a Fund property disposition. Net income attributable to common shareholders for the six months ended June 30, 2017 was $27 million, or $0.33 per share. Net income attributable to common shareholders for the six months ended June 30, 2016 was $46 million, or $0.64 per share, which included $19 million, or $0.27 per share, of gain from two Fund property dispositions.

FFO for the quarter ended June 30, 2017 was $33 million, or $0.37 per share, which was net of $0.2 million of acquisition costs. This compares to FFO for the quarter ended June 30, 2016 of $29 million, or $0.37 per share, which was net of $0.7 million of acquisition costs. FFO for the six months ended June 30, 2017 was $69 million, or $0.77 per share, which was net of $0.3 million of acquisition costs. This compares to FFO for the six months ended June 30, 2016 of $60 million, or $0.78 per share, which was net of $0.9 million of acquisition costs.

CORE PORTFOLIO

Core Operating Results

Same-property NOI in the Core Portfolio increased 1.8% for the quarter ended June 30, 2017, compared to 2016, excluding redevelopment activities. The Company reaffirms its previously-announced guidance for full-year same-property NOI growth of 0.0% to 2.0%.

The Core Portfolio was 95.0% occupied and 95.2% leased as of June 30, 2017, compared to 95.6% occupied and 95.7% leased as of March 31, 2017. The leased rate includes space that is leased but not yet occupied.

During the quarter, the Company generated a 14.6% increase in average rents on a GAAP basis, and a 9.5% increase on a cash basis, on 20 new and renewal leases aggregating approximately 173,000 square feet.

FUND PLATFORM

Fund Acquisitions

Through June 30, 2017, the Company has completed $71 million of Fund acquisitions, including $35 million completed during second quarter 2017 as follows:

Plaza Santa Fe, Santa Fe, NM (Fund V). In June 2017, Acadia acquired a 230,000 square-foot suburban shopping center in Santa Fe, NM for $35 million. The property is 99% leased and key tenants include TJ Maxx, Ross Dress for Less, PetSmart and Ulta. Staples, recently, did not exercise its option, and the suite was immediately filled by Total Wine at a higher rent. This investment is consistent with the Fund platform’s high-yield opportunistic strategy.

Shaw's Plaza - Windham, Windham, ME (Fund IV). In June 2017, Acadia opportunistically acquired a 124,000 square-foot grocery-anchored property in Windham, ME. As previously reported, Fund IV made a $9 million loan on the property as part of its acquisition of the Northeast Grocery Portfolio in October 2016. As such, this acquisition is excluded from the above volume metrics.

Fund V also has $44 million of acquisitions under contract (the “Pending Acquisition Amount”). As the Pending Acquisition Amount is subject to customary closing conditions, no assurance can be given that the Company will successfully close on the Pending Acquisition Amount.

Fund Dispositions

Through June 30, 2017, the Company has completed $53 million of Fund dispositions, including $6 million completed during second quarter 2017 as follows:

1701 Belmont Ave, Baltimore, MD (Fund IV). In June 2017, Fund IV, in partnership with MCB Real Estate, completed the sale of 1701 Belmont Ave, a 59,000-square foot property in Baltimore, MD, for $6 million. In December 2012, the fund opportunistically acquired this high-yield property, which was fully leased to Best Buy, for $5 million. Best Buy’s lease expired in January 2017, and the next use is expected to be self-storage. This sale generated a 29% IRR and 2.2x multiple on the fund’s equity investment. During the 4.6-year hold period, the property’s net operating income returned 79% of the original purchase price.

In July 2017, the Company completed $22 million of Fund dispositions as follows:

New Hyde Park Shopping Center, New Hyde Park, NY (Fund III). In July 2017, Fund III completed the sale of New Hyde Park Shopping Center, a 32,000-square foot retail strip center in New Hyde Park, NY, for $22 million. This compares to an all-in cost basis of $18 million. During its 5.5-year hold period, the fund recaptured and re-tenanted a 16,000-square foot, below-market Annie Sez with PetSmart and Chop’t, completed a façade renovation, and executed

new small-shop leases with Smashburger, European Wax Center, and Club Pilates. This sale generated a 14% IRR and 1.6x multiple on the fund’s equity investment.

Fund II also has $96 million under contract for sale (the “Pending Disposition Amount”). As the Pending Disposition Amount is subject to customary closing conditions, no assurance can be given that the Company will successfully close on the Pending Disposition Amount.

Fund Promote

During the six months ended June 30, 2017, the Company generated $0.6 million (less than $0.01 per share) of net promote income from Fund III. No promote was earned during the second quarter of 2017.

BALANCE SHEET

The Company did not issue any equity during 2017.

Additionally, the Company maintained its solid, low-leveraged balance sheet. As of June 30, 2017, the Company’s net debt to EBITDA ratio for the Core Portfolio was 4.5x. Including its pro-rata share of Fund debt, the Company’s net debt to EBITDA ratio was 5.6x over the same period.

GUIDANCE

The Company is confirming its full-year 2017 guidance for FFO per share of $1.44 to $1.54 and for earnings per share of $0.58 to $0.63. The guidance is before any acquisition-related costs, and gains/losses on sale or impairment of depreciated and non-operating properties.

CONFERENCE CALL

Management will conduct a conference call on Wednesday, July 26, 2017 at 12:00 PM ET to review the Company’s earnings and operating results. Dial-in and webcast information is listed below.

Live Conference Call:

Date: Wednesday, July 26, 2017

Time: 12:00 PM ET

Dial#: 844-309-6711

Passcode: “Acadia Realty” or “43097389”

Webcast (Listen-only): www.acadiarealty.com under Investors, Presentations & Events

Phone Replay:

Dial#: 855-859-2056

Passcode: “43097389”

Available Through: Wednesday, August 2, 2017

Webcast Replay: www.acadiarealty.com under Investors, Presentations & Events

About Acadia Realty Trust

Acadia Realty Trust is an equity real estate investment trust focused on delivering long-term, profitable growth via its dual - Core and Fund - operating platforms and its disciplined, location-driven investment strategy. Acadia Realty Trust is accomplishing this goal by building a best-in-class core real estate portfolio with meaningful concentrations of assets in the nation’s most dynamic urban and street-retail corridors; making profitable opportunistic and value-add investments through its series of discretionary, institutional funds; and maintaining a strong balance sheet. For further information, please visit www.acadiarealty.com.

Safe Harbor Statement

Certain matters in this press release may constitute forward-looking statements within the meaning of federal securities law and as such may involve known and unknown risks, uncertainties and other factors that may cause the actual results, performances or achievements of Acadia to be materially different from any future results, performances or achievements expressed or implied by such forward-looking statements. These forward-looking statements include statements regarding Acadia’s future financial results and its ability to capitalize on potential investment opportunities. Factors that could cause the Company’s forward-looking statements to differ from its future results include, but are not limited to, those discussed under the headings “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the Company’s most recent annual report on Form 10-K filed with the SEC on February 24, 2017 (“Form 10-K”) and other periodic reports filed with the SEC, including risks related to: (i) political and economic uncertainty; (ii) the Company’s reliance on revenues derived from major tenants; (iii) the Company’s limited control over joint venture investments; (iv) the Company’s partnership structure; (v) real estate and the geographic concentration of the Company’s properties; (vi) market interest rates; (vii) leverage; (viii) liability for environmental matters; (ix) the Company’s growth strategy; (x) the Company’s status as a REIT; (xi) uninsured losses; (xii) information technology security threats and (xiii) the loss of key executives. Copies of the Form 10-K and the other periodic reports Acadia files with the SEC are available on the Company’s website at www.acadiarealty.com. Any forward-looking statements in this press release speak only as of the date hereof. Acadia expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in Acadia’s expectations with regard thereto or change in events, conditions or circumstances on which any such statement is based.

ACADIA REALTY TRUST AND SUBSIDIARIES

Consolidated Statements of Operations ^(a)

(dollars and Common Shares in thousands, except per share data)




	Three Months Ended June 30,						Six Months Ended June 30,
	2017			2016			2017			2016
Revenues
Rental income	$	48,468		$	35,186		$	97,053		$	73,776
Expense reimbursements	10,074			7,769			22,390			15,728
Other	962			963			2,060			2,459
Total revenues	59,504			43,918			121,503			91,963
Operating expenses
Depreciation and amortization	26,057			14,678			50,593			31,527
General and administrative	8,864			8,521			17,333			17,873
Real estate taxes	8,034			5,640			18,640			11,805
Property operating	9,364			5,105			17,561			10,642
Other operating	443			538			737			829
Total operating expenses	52,762			34,482			104,864			72,676

Operating income	6,742			9,436			16,639			19,287

Equity in earnings and gains of unconsolidated affiliates inclusive of gains on disposition of properties of $3,285, $0, $14,771 and $0, respectively	4,340			1,740			17,043			3,694
Interest income	8,203			7,415			17,187			12,053
Interest expense	(12,750		)	(8,897		)	(24,238		)	(16,935		)
Income from continuing operations before income taxes	6,535			9,694			26,631			18,099
Income tax provision	(427		)	(111		)	(552		)	(34		)
Income from continuing operations before gain on disposition of properties	6,108			9,583			26,079			18,065
Gain on disposition of properties, net of tax	—			16,572			—			81,965
Net income	6,108			26,155			26,079			100,030
Net loss (income) attributable to noncontrolling interests	5,952			(8,237		)	1,612			(53,187		)
Net income attributable to Acadia	$	12,060		$	17,918		$	27,691		$	46,843

Less: net income attributable to participating securities	(126		)	(223		)	(372		)	(589		)
Net income attributable to Common Shareholders - basic	$	11,934		$	17,695		$	27,319		$	46,254

Weighted average shares for diluted earnings per share	83,662			72,896			83,654			71,859

Net Earnings per share - basic and diluted ^(b)	$	0.14		$	0.24		$	0.33		$	0.64

ACADIA REALTY TRUST AND SUBSIDIARIES

Reconciliation of Consolidated Net Income to Funds From Operations ^{(a, c)}

(dollars and Common Shares and Units in thousands, except per share data)



	Three Months Ended June 30,						Six Months Ended June 30,
	2017			2016			2017			2016

Net income attributable to Acadia	$	12,060		$	17,918		$	27,691		$	46,843

Depreciation of real estate and amortization of leasing costs (net of noncontrolling interests' share)	21,093			14,112			42,626			29,440

Gain on sale (net of noncontrolling interests’ share)	(753		)	(4,117		)	(3,495		)	(19,257		)
Income attributable to Common OP Unit holders	719			1,110			1,642			2,964
Distributions - Preferred OP Units	138			139			277			278
Funds from operations attributable to Common Shareholders and Common OP Unit holders	$	33,257		$	29,162		$	68,741		$	60,268

Funds From Operations per Share - Diluted
Weighted average number of Common Shares and Common OP Units^(d)	88,973			77,899			88,998			76,872
Diluted Funds from operations, per Common Share and Common OP Unit	$	0.37		$	0.37		$	0.77		$	0.78

ACADIA REALTY TRUST AND SUBSIDIARIES

Reconciliation of Consolidated Operating Income to Net Property Operating Income (“NOI”) ^(a)

(dollars in thousands)



	Three Months Ended June 30,						Six Months Ended June 30,
	2017			2016			2017			2016

Consolidated Operating Income	$	6,742		$	9,436		$	16,639		$	19,287
Add back:
General and administrative	8,864			8,521			17,333			17,873
Depreciation and amortization	26,057			14,678			50,593			31,527
Less:
Above/below market rent, straight-line rent and other adjustments	(3,956		)	(2,400		)	(9,943		)	(5,900		)
Consolidated NOI	37,707			30,235			74,622			62,787

Noncontrolling interest in consolidated NOI	(7,046		)	(5,200		)	(13,585		)	(12,200		)
Less: Operating Partnership's interest in Fund NOI included above	(2,029		)	(1,200		)	(3,976		)	(2,600		)
Add: Operating Partnership's share of unconsolidated joint ventures NOI ^(e)	4,980			3,839			9,687			7,154
NOI - Core Portfolio	$	33,612		$	27,674		$	66,748		$	55,141

ACADIA REALTY TRUST AND SUBSIDIARIES

Consolidated Balance Sheets^(a)

(dollars in thousands)



	As of
	June 30, 2017			December 31, 2016
ASSETS
Investments in real estate, at cost
Land	$	647,087		$	693,252
Buildings and improvements	2,529,079			2,048,508
Construction in progress	23,910			19,789
Properties under capital lease	76,965			76,965
	3,277,041			2,838,514
Less: accumulated depreciation	(319,497		)	(287,066		)
Operating real estate, net	2,957,544			2,551,448
Real estate under development, at cost	208,966			543,486
Net investments in real estate	3,166,510			3,094,934
Notes receivable, net	249,848			276,163
Investments in and advances to unconsolidated affiliates	272,736			272,028
Other assets, net	207,203			192,786
Cash and cash equivalents	43,442			71,805
Rents receivable, net	50,096			43,842
Restricted cash	24,311			22,904
Assets of properties held for sale	34,699			21,498
Total assets	$	4,048,845		$	3,995,960

LIABILITIES
Mortgage and other notes payable, net	$	1,122,131		$	1,055,728
Unsecured notes payable, net	397,622			432,990
Unsecured line of credit	24,000			—
Accounts payable and other liabilities	215,621			208,672
Capital lease obligation	70,367			70,129
Dividends and distributions payable	23,349			36,625
Distributions in excess of income from, and investments in, unconsolidated affiliates	15,358			13,691
Total liabilities	1,868,448			1,817,835
Commitments and contingencies
EQUITY
Acadia Shareholders' Equity
Common shares, $0.001 par value, authorized 100,000,000 shares, issued and outstanding 83,659,353 and 83,597,741 shares, respectively	84			84
Additional paid-in capital	1,592,069			1,594,926
Accumulated other comprehensive loss	(520		)	(798		)
Distributions in excess of accumulated earnings	(21,439		)	(5,635		)
Total Acadia shareholders’ equity	1,570,194			1,588,577
Noncontrolling interests	610,203			589,548
Total equity	2,180,397			2,178,125
Total liabilities and equity	$	4,048,845		$	3,995,960

ACADIA REALTY TRUST AND SUBSIDIARIES

Notes to Financial Highlights:


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

(b)

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

(c)

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

(d)

In addition to the weighted-average Common Shares outstanding, basic and diluted FFO also assume full conversion of a weighted-average 4,755 thousand and 4,400 thousand OP Units into Common Shares for the quarters ended June 30, 2017 and 2016 and 4,755 thousand and 4,461 thousand OP Units into Common Shares for the six months ended June 30, 2017 and 2016, respectively. Diluted FFO also includes: (i) the assumed conversion of Preferred OP Units into 512 thousand and 427 thousand Common Shares for the quarters ended June 30, 2017 and 2016 and 504 thousand and 428 thousand Common Shares for the six months ended June 30, 2017 and 2016, respectively; and (ii) the effect of 44 thousand and 176 thousand employee share options, restricted share units and LTIP units for the quarters ended June 30, 2017 and 2016 and 91 thousand and 157 thousand for the six months ended June 30, 2017 and 2016, respectively.


(e)	The Pro-rata portion share of NOI is based upon our stated ownership percentages in each operating agreement. Does not include the Operating Partnership's share of NOI from unconsolidated joint ventures within the Funds

Exhibit

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Table of Contents



Section I - Second Quarter 2017 Earnings Press Release
Section II - Financial Information		Section III - Core Portfolio Information

Company Information	3	Core Properties	25
Market Capitalization	4	Core Top Tenants	28
Operating Statements		Core Lease Expirations	29
Consolidated Income Statements	6	Core New and Renewal Rent Spreads	30
Income Statement - Pro-rata Adjustments	7	Core Capital Expenditures	31
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	32
Transactional Activity	16	Fund Properties	33
2017 Guidance	17	Fund Lease Expirations	35
Net Asset Valuation Information	18	Fund Development Activity	36
Selected Financial Ratios	19
Debt Analysis
Summary	21
Detail	22
Maturities	24	Important Notes	37

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

Supplemental Report – June 30, 2017



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@keybanccm.com



	Boenning & Scattergood	Citigroup - Global Markets	J.P. Morgan Securities, Inc.
	Floris van Dijkum - (212) 922-3572	Christy McElroy - (212) 816-6981	Michael W. Mueller, CFA - (212) 622-6689
	fvandijkum@boenninginc.com	christy.mcelroy@citi.com	michael.w.mueller@jpmorgan.com



		Green Street Advisors
		Daniel Busch - (949) 640-8780
		dbucsh@greenstreetadvisors.com



Supplemental Report - June 30, 2017	- 3 -



Market Capitalization
(including pro-rata share of Fund debt, in thousands)
														Weighted Average
	Total Market Capitalization ($)				%		Capitalization Based on Net Debt¹		Changes in Total Outstanding Common Shares and OP Units (in thousands)					Diluted EPS		FFO
Equity Capitalization										Common Shares	Common OP Units		Total	Quarter	YTD	Quarter	YTD
Common Shares	83,659								Balance at 12/31/2016	83,598	4,529		88,127
Common Operating Partnership ("OP") Units	4,751								Other	7	248		255
Combined Common Shares and OP Units	88,410								OP Conversions	25	(25	)	—
									Balance at 3/31/2017	83,630	4,752		88,382	83,647	83,647	89,024	89,024
Share Price at June 30, 2017	$	27.80							OP Conversions	16	(12	)	4
									Equity Issuance	—	—		—
Equity Capitalization - Common Shares and OP Units	$	2,457,799							Other	13	11		24
Preferred OP Units	14,244			²					Balance at 6/30/2017	83,659	4,751		88,410	83,662	83,654	88,973	88,998
Total Equity Capitalization	2,472,043				72	%	73	%

Debt Capitalization
Consolidated debt	1,560,980
Adjustment to reflect pro-rata share of debt	(576,207		)
Total Debt Capitalization	984,773				28	%	27	%

Total Market Capitalization	$	3,456,816		³	100	%	100	%

__________


1.	Reflects debt net of Core Portfolio cash of $21,002 and pro-rata share of Funds cash of $8,709, for total cash netted against debt of $29,711.


2.	Represents 188 Series A and 140,343 Series C Preferred OP Units convertible into 25,067 and 487,299 Common OP Units, respectively, multiplied by the Common Share price at quarter end


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

https://cdn.kscope.io/03b2b4fe0baee0392ee01c23f4de2513-exhibit992_chart-13780.jpg



Supplemental Report - June 30, 2017	- 4 -



Income Statements
(in thousands)

	June 30, 2017 ¹
	Quarter			Year to Date
CONSOLIDATED INCOME STATEMENT

Revenues
Rental income	$	48,468		$	97,053
Expense reimbursements	10,074			22,390
Other	962			2,060
Total revenues	59,504			121,503
Operating expenses
Depreciation and amortization	26,057			50,593
General and administrative	8,864			17,333
Real estate taxes	8,034			18,640
Property operating	9,364			17,561
Other operating	443			737
Total operating expenses	52,762			104,864
Operating income	6,742			16,639
Equity in earnings and gains of unconsolidated affiliates inclusive of gains on disposition of properties of $3,285 and $14,771, respectively	4,340			17,043
Interest income	8,203			17,187
Interest expense	(12,750		)	(24,238		)
Income from continuing operations before income taxes	6,535			26,631
Income tax provision	(427		)	(552		)
Net income	6,108			26,079
Net loss attributable to noncontrolling interests	5,952			1,612
Net income attributable to Acadia	$	12,060		$	27,691



Supplemental Report - June 30, 2017	- 5 -



Income Statements - Detail
(in thousands)

	June 30, 2017 ¹
	Quarter			Year to Date

CORE PORTFOLIO AND FUND INCOME

PROPERTY REVENUES
Minimum rents	$	43,950		$	86,921
Percentage rents	49			88
Expense reimbursements - CAM	3,941			8,113
Expense reimbursements - Taxes	6,133			14,277
Other property income	819			1,426
Total Property Revenues	54,892			110,825

PROPERTY EXPENSES
Property operating - CAM	7,566			14,439
Other property operating (Non-CAM)	1,568			3,028
Real estate taxes	8,034			18,640
Total Property Expenses	17,168			36,107

NET OPERATING INCOME - PROPERTIES	37,724			74,718

OTHER INCOME (EXPENSE)
Interest income	8,203			17,187
Straight-line rent income	2,128			5,267
Above/below-market rent	2,184			4,795
Interest expense ²	(11,101		)	(20,856		)
Amortization of finance costs	(1,334		)	(2,504		)
Above/below-market interest expense	161			340
Asset and property management expense	(75		)	(118		)
Other income/expense	(173		)	(97		)
Transaction costs	(443		)	(682		)
Capital lease interest	(475		)	(1,218		)
CORE PORTFOLIO AND FUND INCOME	36,799			76,832

FEE INCOME
Asset and property management fees	281			581
Promote income from funds, net	—			—
Transactional fees ³	36			100
Income tax provision	(427		)	(552		)
Total Fee Income	(110		)	129

General and Administrative	(8,864		)	(17,333		)

Depreciation and amortization	(26,017		)	(50,321		)
Non-real estate depreciation and amortization	(40		)	(271		)
Gain on disposition of properties	—			—
Income before equity in earnings and noncontrolling interests	1,768			9,036

Equity in earnings of unconsolidated affiliates	4,340			17,043
Noncontrolling interests	5,952			1,612

NET INCOME ATTRIBUTABLE TO ACADIA	$	12,060		$	27,691



Supplemental Report - June 30, 2017	- 6 -



Income Statements - Pro Rata Adjustments
(in thousands)
(in thousands)
	Quarter Ended June 30, 2017						Year to Date June 30, 2017
	Noncontrolling Interest in Consolidated Subsidiaries ⁴			Company’s Interest in Unconsolidated Subsidiaries ⁵			Noncontrolling Interest in Consolidated Subsidiaries ⁴			Company’s Interest in Unconsolidated Subsidiaries ⁵
CORE PORTFOLIO AND FUND INCOME

PROPERTY REVENUES
Minimum rents	$	(12,371	)	$	7,191		$	(24,196	)	$	14,762
Percentage rents	(38		)	34			(82		)	61
Expense reimbursements - CAM	(943		)	828			(1,949		)	1,456
Expense reimbursements - Taxes	(814		)	1,200			(1,720		)	2,416
Other property income	(333		)	8			(673		)	26
Total Property Revenues	(14,499		)	9,261			(28,620		)	18,721

PROPERTY EXPENSES
Property operating - CAM	(3,452		)	880			(6,341		)	1,764
Other property operating (Non-CAM)	(690		)	293			(1,387		)	583
Real estate taxes	(2,005		)	1,346			(4,365		)	2,793
Total Property Expenses	(6,147		)	2,519			(12,093		)	5,140

NET OPERATING INCOME - PROPERTIES	(8,352		)	6,742			(16,527		)	13,581

OTHER INCOME (EXPENSE)
Interest income	(1,946		)	—			(3,725		)	—
Straight-line rent income	(994		)	117			(2,624		)	432
Above/below-market rent	(362		)	303			(1,026		)	553
Interest expense	4,498			(1,834		)	8,064			(3,639		)
Amortization of finance costs	939			(150		)	1,640			(255		)
Above/below-market interest expense	—			21			—			41
Asset and property management expense	81			(275		)	116			(472		)
Other income/expense	(258		)	222			(255		)	77
Transaction costs	221			—			318			106
Capital lease interest	—			—			—			—
CORE PORTFOLIO AND FUND INCOME	(6,173		)	5,146			(14,019		)	10,424

FEE INCOME
Asset and property management fees	3,806			185			7,634			492
Promote income from funds, net	—			—			576			—
Transactional fees	1,763			7			2,783			7
Income tax provision	71			(10		)	105			(12		)
Total Fee Income	5,640			182			11,098			487

General and Administrative	598			(58		)	1,352			(110		)

Depreciation and amortization	9,139			(4,215		)	16,224			(8,529		)
Non-real estate depreciation and amortization	—			—			—			—
Gain on disposition of properties	(2,532		)	3,285			(11,400		)	14,771
Income before equity in earnings and noncontrolling interests	6,672			4,340			3,255			17,043

Equity in earnings of unconsolidated affiliates	—			—			—			—
Noncontrolling interests ⁶	(720		)	—			(1,643		)	—

NET INCOME ATTRIBUTABLE TO ACADIA	$	5,952		$	4,340		$	1,612		$	17,043



Supplemental Report - June 30, 2017	- 7 -



Consolidated Balance Sheet ⁷
(in thousands)
	Consolidated
	Balance
	Sheet
ASSETS	As Reported			Line Item Details:
Real estate
Land	$	647,087
Buildings and improvements	2,529,079
Construction in progress	23,910
Properties under capital lease	76,965			The components of Real estate under development, at cost are as follows:
	3,277,041
Less: accumulated depreciation	(319,497		)
Operating real estate, net	2,957,544			Fund II	$	24,303
Real estate under development, at cost	208,966			Fund III	47,874
Net investments in real estate	3,166,510			Fund IV	134,806
Notes receivable, net	249,848			Other	1,983
Investments in and advances to unconsolidated affiliates	272,736
Other assets, net	207,203			Total	$	208,966
Cash and cash equivalents	43,442
Straight-line rents receivable, net	36,987
Rents receivable, net	13,109
Restricted cash	24,311			Summary of other assets, net:
Assets of properties held for sale	34,699
				Lease intangibles, net	$	119,002
				Deferred charges, net	28,361
Total Assets	$	4,048,845		Prepaid expenses	16,901
				Other receivables	12,569
LIABILITIES AND SHAREHOLDERS' EQUITY				Accrued interest receivable	10,168
				Deposits	5,501
Mortgage and other notes payable, net	$	1,122,131		Due from seller	4,300
Unsecured notes payable, net	397,622			Deferred tax assets	3,880
Unsecured line of credit	24,000			Derivative financial instruments	2,648
Accounts payable and other liabilities	215,621			Due from related parties	1,406
Capital lease obligation	70,367			Corporate assets	540
Dividends and distributions payable	23,349			Income taxes receivable	1,927
Distributions in excess of income from, and investments in, unconsolidated affiliates	15,358			Total	$	207,203

Total Liabilities	1,868,448
Shareholders' equity				Summary of accounts payable and other liabilities:
Common shares	84
Additional paid-in capital	1,592,069			Lease intangibles, net	$	103,980
Accumulated other comprehensive loss	(520		)	Accounts payable and accrued expenses	57,305
Distributions in excess of accumulated earnings	(21,439		)	Deferred income	33,722
Total controlling interest	1,570,194			Tenant security deposits, escrow and other	15,486
Noncontrolling interests	610,203			Derivative financial instruments	3,546
Total Shareholders' Equity	2,180,397			Income taxes payable	1,582

Total Liabilities and Shareholders' Equity	$	4,048,845		Total	$	215,621



Supplemental Report - June 30, 2017	- 8 -



Pro-Rata Balance Sheet Adjustments ⁷
(in thousands)

	Noncontrolling Interest in Consolidated Subsidiaries ⁴			Company’s Interest in Unconsolidated Subsidiaries ⁵
ASSETS
Real estate
Land	$	(138,806	)	$	72,041
Buildings and improvements	(814,899		)	293,747
Construction in progress	(14,426		)	673
Properties under capital lease	—			—
	(968,131		)	366,461
Less: accumulated depreciation	39,708			(40,206		)
Operating real estate, net	(928,423		)	326,255
Real estate under development, at cost	(146,548		)	4,126
Net investments in real estate	(1,074,971		)	330,381
Notes receivable, net	(37,783		)	—
Investments in and advances to unconsolidated affiliates	(71,941		)	(199,113		)
Other assets, net	(10,293		)	32,571
Cash and cash equivalents	(21,134		)	7,403
Straight-line rents receivable, net	(11,884		)	4,219
Rents receivable, net	(1,841		)	2,797
Restricted cash	(15,570		)	921
Assets of properties held for sale	(15,408		)	—


Total Assets	$	(1,260,825	)	$	179,179

LIABILITIES AND SHAREHOLDERS' EQUITY

Mortgage and other notes payable, net	$	(624,022	)	$	161,294
Unsecured notes payable, net	(103,489		)	—
Unsecured line of credit	—			—
Accounts payable and other liabilities	(66,140		)	33,243
Capital lease obligation	—			—
Dividends and distributions payable	—			—
Distributions in excess of income from, and investments in, unconsolidated affiliates	—			(15,358		)

Total Liabilities	(793,651		)	179,179
Shareholders' equity
Common shares	—			—
Additional paid-in capital	—			—
Accumulated other comprehensive loss	—			—
Distributions in excess of accumulated earnings	—			—
Total controlling interest	—			—
Noncontrolling interests	(467,174		)	—
Total Shareholders' Equity	(467,174		)	—

Total Liabilities and Shareholders' Equity	$	(1,260,825	)	$	179,179



Supplemental Report - June 30, 2017	- 9 -

__________

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


1.	Quarterly and year-to-date 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.	Net of capitalized interest of $4.7 million and $9.6 million for the quarterly and year-to-date periods, respectively.


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


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


5.	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.


6.	Adjustment to noncontrolling interests exclude income allocable to Operating Partnership Units of $0.7 million and $1.6 million for the quarter and year-to-date period, respectively, ended June 30, 2017.


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



Supplemental Report - June 30, 2017	- 10 -



Funds from Operations ("FFO") ¹
(in thousands)

	Quarter Ended			Quarter Ended			Year to Date
Funds from operations ("FFO"):	March 31, 2017			June 30, 2017			June 30, 2017

Net Income	$	15,631		$	12,060		$	27,691
Add back:
Depreciation of real estate and amortization of leasing costs (net of noncontrolling interest share)	21,533			21,093			42,626
Gain on disposition of properties (net of noncontrolling interest share)	(2,742		)	(753		)	(3,495		)
Income attributable to noncontrolling interests' share in Operating Partnership	1,062			857			1,919
FFO to Common Shareholders and Common OP Unit holders	$	35,484		$	33,257		$	68,741

Add back: Transaction costs	37			222			259
FFO before transaction costs	$	35,521		$	33,479		$	69,000

Adjusted Funds from operations ("AFFO"):
Diluted FFO	$	35,484		$	33,257		$	68,741
Straight-line rent, net	(1,824		)	(1,251		)	(3,075		)
Above/below-market rent	(2,197		)	(2,125		)	(4,322		)
Amortization of finance costs	574			545			1,119
Above/below-market interest	(199		)	(182		)	(381		)
Non-real estate depreciation	231			40			271
Leasing commissions	(474		)	(202		)	(676		)
Tenant improvements	(1,747		)	(1,622		)	(3,369		)
Capital expenditures	(47		)	(59		)	(106		)
AFFO to Common Shareholders and Common OP Unit holders	$	29,801		$	28,401		$	58,202

Total weighted average diluted shares and OP Units	89,024			88,973			88,998

Diluted FFO per Common share and OP Unit:
FFO	$	0.40		$	0.37		$	0.77
FFO before transaction costs	$	0.40		$	0.38		$	0.78

__________


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.



Supplemental Report - June 30, 2017	- 11 -



EBITDA
(in thousands)

	Quarter Ended June 30, 2017									Year to Date June 30, 2017
	Core									Core
	Portfolio			Funds			Total			Portfolio			Funds			Total

NET INCOME ATTRIBUTABLE TO ACADIA	$	12,490		$	(430	)	$	12,060		$	25,136		$	2,555		$	27,691

Adjustments:
Depreciation and amortization	18,222			2,911			21,133			37,782			5,115			42,897
Interest expense	7,226			1,211			8,437			14,305			2,126			16,431
Amortization of finance costs	247			298			545			621			498			1,119
Above/below-market interest	(182		)	—			(182		)	(381		)	—			(381		)
Gain on disposition of properties	—			(753		)	(753		)	124			(3,495		)	(3,371		)
Transaction costs	163			59			222			171			88			259
Provision for income taxes	343			23			366			425			34			459
Noncontrolling interest - OP	720			—			720			1,643			—			1,643

EBITDA	$	39,229		$	3,319		$	42,548		$	79,826		$	6,921		$	86,747



Supplemental Report - June 30, 2017	- 12 -



Core Portfolio
Same Property Performance ¹
(in thousands)

	Quarter Ended								Year to Date
							Change						Change
	June 30, 2017			June 30, 2016			Favorable/(Unfavorable)		June 30, 2017		June 30, 2016		Favorable/(Unfavorable)

Summary
Minimum rents	$	26,648		$	26,466		0.7	%	$	53,465	$	52,691	1.5	%
Expense reimbursements	6,874			6,235			10.2	%	15,585		12,622		23.5	%
Other property income	166			192			(13.5	)%	204		401		(49.1	)%

Total Revenue	33,688			32,893			2.4	%	69,254		65,714		5.4	%

Expenses
Property operating - CAM & Real estate taxes	7,806			7,476			(4.4	)%	17,508		14,862		(17.8	)%
Other property operating (Non-CAM)	527			506			(4.2	)%	1,061		704		(50.7	)%

Total Expenses	8,333			7,982			(4.4	)%	18,569		15,566		(19.3	)%

Same Property NOI - Core properties	$	25,355		$	24,911		1.8	%	$	50,685	$	50,148	1.1	%

Reconciliation of Same Property NOI to Core NOI
NOI of Properties excluded from Same Property NOI	8,257			2,763					16,063		4,993
Core NOI	$	33,612		$	27,674				$	66,748	$	55,141

Other same property information
Physical Occupancy	96.2		%	97.0		%
Leased Occupancy	96.4		%	97.2		%

__________


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



Supplemental Report - June 30, 2017	- 13 -



Fee Income by Fund
(in thousands)

	Fund II		Fund III		Fund IV		Fund V		Other		Total
Year to Date June 30, 2017
Asset and property management fees	$	1,119	$	1,406	$	2,677	$	3,116	$	266	$	8,584
Transactional fees	1,182		519		799		310		80		2,890
Total fees	$	2,301	$	1,925	$	3,476	3,426		$	346	$	11,474


Quarter Ended June 30, 2017
Asset and property management fees	$	568	$	678	$	1,337	1,558		$	132	$	4,273
Transactional fees	914		149		435		276		32		1,806
Total fees	$	1,482	$	827	$	1,772	1,834		$	164	$	6,079


Quarter Ended March 31, 2017
Asset and property management fees	$	551	$	728	$	1,340	1,558		$	134	$	4,311
Transactional fees	268		370		364		34		48		1,084
Total fees	$	819	$	1,098	$	1,704	1,592		$	182	$	5,395



Supplemental Report - June 30, 2017	- 14 -



Structured Financing Portfolio
(in thousands)


	March 31, 2017						Current Period											Stated		Effective
	Principal		Accrued									Current		Accrued		Balance at		Interest		Interest		Maturity
Investment	Balance		Interest		Total		Advances		Repayments			Principal		Interest		June 30, 2017		Rate		Rate¹		Dates


First mortgage notes	$	206,400	$	5,658	$	212,058	$	—	$	(28,005	)	$	178,395	$	4,013	$	182,408	7.88	%	7.93	%	Jun-18 to Apr-19

Mezzanine, preferred equity and other notes	10,000		36		10,036		10,000		—			20,000		67		20,067		8.00	%	8.67	%	Sep-19

Total Core notes receivable	$	216,400	$	5,694	$	222,094	$	10,000	$	(28,005	)	$	198,395	$	4,080	$	202,475	7.89	%	8.00	%

__________
1. Inclusive of points and exit fees.

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

Total Notes Receivable per above												$	198,395
Pro-rata share of Fund loans												13,670

Total Pro-rata Notes Receivable												$	212,065



Supplemental Report - June 30, 2017	- 15 -



Transactional Activity
(in thousands)

PROPERTY ACQUISTIONS AND DISPOSITIONS

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

ACQUISITIONS
Core:
907 King Street	Alexandria, VA	—	January 4, 2017	$	3,000		20.00	%	$	—		$	600

Fund IV:
Lincoln Place Shopping Center	Fairview Heights, IL	Kohl's, Marshalls	March 13, 2017	35,400			100.00	%	35,400			7,115

Fund V:
Plaza Santa Fe	Santa Fe, NM	TJ Maxx, Ross Dress for Less	June 5, 2017	35,220			100.00	%	35,220			8,143

				$	73,620				$	70,620		$	15,858

DISPOSITIONS
Fund III:
Arundel Plaza	Glen Burnie, MD	Giant Foods, Lowes	February 15, 2017	$	28,800		90.00	%	$	25,920		$	10,272
New Hyde Park Shopping Center	New Hyde Park, NY	Petsmart	July 6, 2017	22,100			100.00	%	22,100			8,758
				50,900					48,020			19,030
Fund IV:
2819 Kennedy Boulevard	North Bergen, NJ	Aldi	January 31, 2017	19,000			90.00	%	17,100			3,954
1701 Belmont Avenue	Catonsville, MD	—	June 30, 2017	5,600			90.00	%	5,040			1,165
				24,600					22,140			5,119

				$	75,500				$	70,160		$	24,149

STRUCTURED FINANCING ACTIVITY

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

Core:
Brandywine Portfolio	Conversion		May 1, 2017	$	(16,005	)	100.00	%	$	—		$	(16,005	)
182-186 Spring Street	Redemption		June 9, 2017	(12,000		)	100.00	%	—			(12,000		)
Gotham	Additional Funding		June 30, 2017	10,000			100.00	%	—			10,000
				(18,005		)			—			(18,005		)
Fund IV:
Shaws Windham	Conversion		June 30, 2017	(9,000		)	100.00	%	(9,000		)	(2,081		)

				$	(27,005	)			$	(9,000	)	$	(20,086	)



Supplemental Report - June 30, 2017	- 16 -



2017 Annual Guidance
(in millions except per share amounts, all per share amounts are fully diluted)


	2017 Guidance ¹	2016 Actual
Summary:

Funds from Operations ("FFO") per share (before acquisition and other costs)	$1.44 to $1.54	$1.55	²

Earnings per Share ("EPS") (before acquisition and other costs)	$0.58 to $0.63	$1.05

FFO Components:

Core and pro-rata share of Fund portfolio income (before acquisition and other costs)	$142.0 to $151.5	$125.9	³

Fund fee income, net of taxes	$20.9 to $22.9	$21.1

Other Fund and transactional income	$0.6 to $0.6	$10.4	⁴

General and administrative expense	$(32.5) to $(33.0)	$(31.0)

FFO	$131.0 to $142.0	$126.4

Additional Guidance Assumptions:

Fully diluted Common Shares and OP Units - weighted average	91.0 to 92.0	81.25

Same property net operating income ("NOI") growth	0.0% to 2.0%

Core acquisitions	$300.0 to $500.0

Fund acquisitions	$200.0 to $600.0

__________


1.	2017 FFO and EPS guidance and comparable 2016 results are before acquisition and gains/losses on sale or impairment of depreciated and non-operating properties.


2.	Before 2016 acquisition and retirement costs, which totaled $0.06 and $0.05 per share, respectively.


3.	2016 acquisition and retirement costs totaled $5.1 million and $4.2 million, respectively.


4.	Net of projected payments under the Company's Long-Term Fund Investment Alignment Program ("FIAP").



Supplemental Report - June 30, 2017	- 17 -



Net Asset Valuation Information
(in thousands)

	CORE				FUND II											FUND III											FUND IV											FUND V
					Fund Level						AKR Pro-rata Share					Fund Level						AKR Pro-rata share					Fund Level						AKR Pro-rata share					Fund Level				AKR Pro-rata share
	Quarterly		Annualized (x4)		Quarterly			Annualized (x4)			%		$			Quarterly			Annualized (x4)			%		$			Quarterly			Annualized (x4)			%		$			Quarterly		Annualized (x4)		%		$
Current NOI
Net Operating Income ¹	$	33,612	$	134,448	$	1,578		$	6,312		28.3	%	$	1,788		$	1,201		$	4,804		39.6	%	$	1,904		$	8,071		$	32,284		23.1	%	$	7,464		$	194	$	776	20.1	%	$	156
Less:
(Income) loss from properties sold or under contract	—		—		(578		)	(2,312		)			(655		)	(219		)	(876		)			(347		)	59			236					55			—		—				—
(Income) loss from pre-stabilized assets ²	—		—		(1,020		)	(4,080		)			(1,156		)	(994		)	(3,976		)			(1,576		)	(1,359		)	(5,436		)			(1,257		)	—		—				—
(Income) loss from development projects ³	—		—		109			436					124			12			48					19			(1,637		)	(6,548		)			(1,514		)	—		—				—
Net Operating Income of stabilized assets	$	33,612	$	134,448	$	89		$	356				$	101		$	—		$	—				$	—		$	5,134		$	20,536				$	4,748		$	194	$	776			$	156

Assets under contract for sale, net of debt								$	4,931				$	1,397					$	11,555				$	4,579					$	—				$	—				$	—			$	—

Costs to Date
Pre-stabilized assets ²			$	—				$	700,724				$	198,515					$	61,872				$	24,520					$	132,085				$	30,538				$	—			$	—
Development projects ³			21,000					36,700					10,397						41,900					16,605						295,100					68,227					—				—

Total Costs to Date			$	21,000				$	737,424				$	208,912					$	103,772				$	41,125					$	427,185				$	98,765				$	—			$	—

Debt			$	735,602				$	412,184				$	110,106					$	79,859				$	24,138					$	475,493				$	106,003				$	44,400			$	8,924

__________


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


2.	Consists of the following projects for Fund II: 161st Street; Fund III: 640 Broadway, 654 Broadway and Nostrand; Fund IV: Paramus Plaza, 17 East 71st Street, 1035 Third Avenue, 1151 Third Avenue and Eden Square.


3.	See “Development Activity” page in this Supplemental Report.



Supplemental Report - June 30, 2017	- 18 -



Selected Financial Ratios
(in thousands)

	Quarter Ended June 30,						Year to Date June 30,							Quarter Ended
	2017			2016			2017			2016				June 30, 2017			March 31, 2017
COVERAGE RATIOS ¹													LEVERAGE RATIOS

Fixed-Charge Coverage Ratios													Debt/Market Capitalization Ratios

EBITDA ² divided by:	$	39,229		$	33,406		$	79,826		$	68,207		Debt + Preferred Equity (Preferred O.P. Units)	$	999,017		$	991,089
Interest expense	7,226			6,026			14,305			11,813			Total Market Capitalization	3,456,816			3,647,852
Principal Amortization	1,267			984			2,546			2,018			Debt+Preferred Equity/Total Market Capitalization	29		%	27		%
Preferred Dividends ³	138			139			277			278
Fixed-Charge Coverage Ratio - Core Portfolio	4.5		x	4.7		x	4.7		x	4.8		x

EBITDA divided by:	$	42,548		$	35,802		$	86,747		$	73,184		Debt ⁶	$	969,306		$	959,529
Interest expense	8,437			6,534			16,431			12,887			Total Market Capitalization	3,456,816			3,616,292
Principal Amortization	1,457			1,229			2,919			2,387			Net Debt+Preferred Equity/Total Market Capitalization	28		%	27		%
Preferred Dividends	138			139			277			278
Fixed-Charge Coverage Ratio - Core Portfolio and Funds	4.2		x	4.5		x	4.4		x	4.7		x

Payout Ratios													Debt/EBITDA Ratios

Dividends declared (per share/OP Unit)	$	0.26		$	0.25		$	0.52		$	0.50		Debt	$	735,602		$	737,462
													EBITDA (Annualized) ⁷	157,492			160,164
Dividends (Shares) & Distributions (OP Units) declared	$	23,341		$	20,152		$	46,702		$	39,494		Debt/EBITDA - Core Portfolio	4.7		x	4.6		x
FFO	33,257			29,162			68,741			60,268
FFO Payout Ratio	70		%	69		%	68		%	66		%	Debt ⁵	$	714,600		$	712,491
FFO Payout Ratio before acquisition costs	70		%	67		%	68		%	65		%	EBITDA (Annualized) ⁷	157,492			160,164
													Net Debt/EBITDA - Core Portfolio	4.5		x	4.4		x
Dividends (Shares) & Distributions (OP Units) declared	$	23,341		$	20,152		$	46,702		$	39,494
AFFO	28,401			25,339			58,202			51,889			Debt ⁴	$	984,773		$	976,176
AFFO Payout Ratio	82		%	80		%	80		%	76		%	EBITDA (Annualized) ⁷	170,768			174,572
AFFO Payout Ratio before acquisition costs	82		%	77		%	80		%	75		%	Debt/EBITDA - Core Portfolio and Funds	5.8		x	5.6		x

													Debt ⁶	$	955,062		$	944,616
													EBITDA (Annualized) ⁷	170,768			174,572
													Net Debt/EBITDA - Core Portfolio and Funds	5.6		x	5.4		x



Supplemental Report - June 30, 2017	- 19 -

__________

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.


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


3.	Represents preferred distributions on Preferred Operating partnership Units.


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


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


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


7.	Annualized EBITDA is adjusted to include the amount of net Promote income to be earned during 2017:



Reconciliation of EBTIDA to Adjusted EBITDA

Core EBITDA as reported	$	39,229
Less promote for quarter	—
Adjusted Core EBITDA	39,229

Annualized	156,916

Add: Annualized net Promote	576

Adjusted Annualized Core EBITDA	157,492

Add in Funds	13,276

Adjusted Annualized EBITDA Core and Funds	$	170,768



Supplemental Report - June 30, 2017	- 20 -



Portfolio Debt - Summary
(in thousands)


	Acadia Pro-Rata Share of Debt ²														Reconciliation to Consolidated Debt as Reported
	Core Portfolio				Funds				Total						Add: Noncontrolling Interest Share of Debt ³		Less: Pro-rata Share of Unconsolidated Debt ⁴			Acadia Consolidated Debt as Reported
Unsecured Debt	Principal Balance		Interest Rate		Principal Balance		Interest Rate		Principal Balance		Interest Rate


Fixed-Rate Debt ¹	$	248,629	3.0	%	$	—	n/a		$	248,629	3.0	%	25	%	$	—	$	—		$	248,629
Variable-Rate Debt	75,371		2.4	%	21,621		3.1	%	96,992		2.5	%	10	%	77,699		—			174,691
													35	%
Mortgage and Other Notes Payable

Fixed-Rate Debt ¹	379,602		4.2	%	92,989		4.4	%	472,591		4.2	%	48	%	295,713		(116,746		)	651,558
Variable-Rate Debt	32,000		2.8	%	134,561		3.7	%	166,561		3.5	%	17	%	365,085		(45,544		)	486,102
													65	%

Total	$	735,602	3.5	%	$	249,171	3.9	%	$	984,773	3.6	%	100	%	$	738,497	$	(162,290	)	1,560,980
Unamortized premium																				997
Unamortized loan costs																				(18,224		)
Total																				$	1,543,753

_________


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.



Supplemental Report - June 30, 2017	- 21 -



Portfolio Debt - Detail
(in thousands)
		Principal Balance			Acadia's Pro-rata Share					Interest	Maturity	Extension
Property		June 30, 2017			Percent		Amount			Rate	Date	Options

CORE PORTFOLIO

Fixed-Rate Debt
Brandywine ²		$	26,250		22.22	%	$	5,833		6.00%	7/1/2016	None
Bedford Green		28,457			100.00	%	28,457			5.10%	9/5/2017	None
163 Highland Avenue		9,237			100.00	%	9,237			4.66%	2/1/2024	None
Crossroads Shopping Center		67,500			49.00	%	33,075			3.94%	10/6/2024	None
555 9th Street		60,000			100.00	%	60,000			3.99%	1/1/2025	None
840 N. Michigan		73,500			88.43	%	64,996			4.36%	2/10/2025	None
Georgetown Portfolio (2008 Investment)		17,074			50.00	%	8,537			4.72%	12/10/2027	None
State & Washington		25,232			100.00	%	25,232			4.40%	9/5/2028	None
239 Greenwich Avenue		27,000			75.00	%	20,250			3.88%	1/10/2029	None
North & Kingsbury		13,113			100.00	%	13,113			4.01%	11/5/2029	None
151 North State Street		14,323			100.00	%	14,323			4.03%	12/1/2029	None
Concord & Milwaukee		2,838			100.00	%	2,838			4.40%	6/1/2030	None
California & Armitage		2,649			100.00	%	2,649			5.89%	4/15/2035	None
Unsecured interest rate swaps ¹		248,629			100.00	%	248,629			2.95%	Various
Secured interest rate swaps ¹		81,077			99.81	%	80,924			3.94%	Various

Sub-Total Fixed-Rate Debt		696,879					618,093			3.72%

Secured Variable-Rate Debt
664 N. Michigan		41,215			100.00	%	41,215			LIBOR+165	6/28/2018	1 x 60 mos.
4401 N. White Plains Road		5,815			100.00	%	5,815			LIBOR+190	9/1/2022	None
28 Jericho Turnpike		14,637			100.00	%	14,637			LIBOR+190	1/23/2023	None
60 Orange Street		7,646			98.00	%	7,493			LIBOR+175	4/3/2023	None
Gotham Plaza		20,689			49.00	%	10,138			LIBOR+160	6/10/2023	None
Georgetown Portfolio (2016 Investment)		160,000			20.00	%	32,000			LIBOR+170	8/1/2023	None
330-340 River Street		11,764			100.00	%	11,764			LIBOR+170	6/1/2026	None
Secured interest rate swaps ¹		(81,077		)	99.81	%	(80,924		)	LIBOR+288

Unsecured Variable-Rate Debt
Unsecured Line of Credit ³		24,000			100.00	%	24,000			LIBOR+140	6/27/2020	2 x 6 mos.
Unsecured Term Loan		50,000			100.00	%	50,000			LIBOR+130	7/2/2020	None
Unsecured Term Loan		50,000			100.00	%	50,000			LIBOR+130	1/4/2021	None
Unsecured Term Loan		150,000			100.00	%	150,000			LIBOR+130	6/27/2021	None
Unsecured Term Loan		50,000			100.00	%	50,000			LIBOR+160	12/18/2022	None
Unsecured interest rate swaps ¹		(248,629		)	100.00	%	(248,629		)	LIBOR+189

Sub-Total Variable-Rate Debt		256,060					117,509			LIBOR+146

Total Debt - Core Portfolio		$	952,939				$	735,602		3.53%

Funds
Fixed-Rate Debt
216th Street ⁴	Fund II	$	25,500		28.07	%	$	7,159		5.80%	10/1/2017	None
CityPoint ⁴	Fund II	19,000			25.39	%	4,824			1.25%	12/23/2017	None
CityPoint ^4,5	Fund II	5,262			26.67	%	1,403			1.00%	8/23/2019	None
CityPoint ⁴	Fund II	200,000			26.67	%	53,341			4.75%	5/29/2020	None
1964 Union Street ⁴	Fund IV	1,463			20.80	%	304			3.80%	10/1/2025	None
2207 Fillmore Street ⁴	Fund IV	1,120			20.80	%	233			4.50%	10/31/2025	None
2208-2216 Fillmore Street ⁴	Fund IV	5,606			20.80	%	1,166			3.40%	6/1/2026	None
1861 Union Street ⁴	Fund IV	2,315			20.80	%	482			3.40%	6/1/2026	None
Interest rate swaps ¹	Funds II & IV	101,116			23.81	%	24,077			4.07%	Various
Sub-Total Fixed-Rate Debt		361,382					92,989			4.39%



Supplemental Report - June 30, 2017	- 22 -



Portfolio Debt - Detail
(in thousands)
		Principal Balance			Acadia's Pro-rata Share					Interest	Maturity	Extension
Property		June 30, 2017			Percent		Amount			Rate	Date	Options
Variable-Rate Debt
New Hyde Park Shopping Center	Fund III	10,520			39.63	%	4,169			LIBOR+185	8/1/2017	2 x 12 mos.
938 W. North Avenue	Fund IV	12,500			23.12	%	2,890			LIBOR+235	8/1/2017	1 x 12 mos.
Acadia Strategic Opportunity IV LLC	Fund IV	34,500			23.12	%	7,976			LIBOR+275	8/9/2017	None
CityPoint ⁴	Fund II	20,000			26.67	%	5,334			LIBOR+170	8/23/2017	None
210 Bowery	Fund IV	7,000			23.12	%	1,618			LIBOR+275	10/15/2017	1 x 12 mos.
Promenade at Manassas ⁴	Fund IV	25,000			22.78	%	5,696			LIBOR+170	11/19/2017	1 x 12 mos.
Eden Square ⁴	Fund IV	22,500			22.78	%	5,127			LIBOR+200	12/17/2017	1 x 12 mos.
CityPoint ⁴	Fund II	62,000			25.39	%	15,742			SIFMA+160	12/23/2017	None
Acadia Strategic Opportunity IV LLC	Fund IV	20,420			23.12	%	4,721			LIBOR+165	12/31/2017	None
654 Broadway	Fund III	5,023			39.63	%	1,991			LIBOR+170	3/1/2018	1 x 12 mos.
230/240 W. Broughton	Fund IV	10,246			11.56	%	1,184			LIBOR+300	5/1/2018	None
Nostrand Avenue	Fund III	10,877			39.63	%	4,311			LIBOR+265	5/1/2018	2 x 12 mos.
Sherman Plaza	Fund II	14,250			28.07	%	4,001			LIBOR+325	7/1/2018	1 x 12 mos.
1151 Third Avenue	Fund IV	12,481			23.12	%	2,886			LIBOR+175	12/3/2018	2 x 12 mos.
Paramus Plaza ⁴	Fund IV	18,802			11.56	%	2,174			LIBOR+170	2/20/2019	None
Lake Montclair	Fund IV	14,307			23.12	%	3,308			LIBOR+215	5/1/2019	None
146 Geary Street	Fund IV	27,700			23.12	%	6,404			LIBOR+340	7/14/2019	2 x 12 mos.
Broughton Street Portfolio	Fund IV	30,000			23.12	%	6,936			LIBOR+300	11/8/2019	1 x 12 mos.
161st Street ⁴	Fund II	46,500			28.07	%	13,055			LIBOR+250	12/2/2019	2 x 12 mos.
717 N. Michigan Avenue	Fund IV	63,900			23.12	%	14,774			LIBOR+395	12/9/2019	2 x 12 mos.
640 Broadway ⁴	Fund III	48,970			25.02	%	12,250			LIBOR+465	1/9/2020	2 x 12 mos.
Wake Forest Crossing	Fund IV	24,000			23.12	%	5,549			LIBOR+160	2/14/2020	2 x 12 mos.
Lincoln Place	Fund IV	23,100			23.12	%	5,341			LIBOR+185	3/13/2020	None
650 Bald Hill Road	Fund IV	7,386			20.81	%	1,537			LIBOR+265	4/27/2020	None
Subscription Line	Fund V	44,400			20.10	%	8,924			LIBOR+160	5/4/2020	None
17 E. 71st Street	Fund IV	19,000			23.12	%	4,393			LIBOR+190	6/9/2020	None
Cortlandt Crossing ⁷	Fund III	—			39.63	%	—			LIBOR+300	6/19/2020	None
1035 Third Avenue	Fund IV	41,610			23.12	%	9,620			LIBOR+235	1/27/2021	None
Restaurants at Fort Point	Fund IV	6,500			23.12	%	1,503			LIBOR+235	8/25/2021	None
CityPoint ⁴	Fund II	19,672			26.67	%	5,247			LIBOR+139	11/1/2021	None
3104 M Street ^4,6	Fund III	4,469			31.70	%	1,417			Prime+50	12/10/2021	None
Airport Mall	Fund IV	5,678			23.12	%	1,313			LIBOR+200	4/1/2022	None
Colonie Plaza	Fund IV	11,890			23.12	%	2,749			LIBOR+225	4/1/2022	None
Dauphin Plaza	Fund IV	10,390			23.12	%	2,402			LIBOR+200	4/1/2022	None
JFK Plaza	Fund IV	4,543			23.12	%	1,050			LIBOR+200	4/1/2022	None
Shaw's Plaza	Fund IV	8,129			23.12	%	1,879			LIBOR+200	4/1/2022	None
Wells Plaza	Fund IV	3,407			23.12	%	788			LIBOR+200	4/1/2022	None
Interest rate swaps ¹	Funds II & IV	(101,116		)	23.81	%	(24,077		)	LIBOR+301
Sub-Total Variable-Rate Debt		650,554					156,182			LIBOR+253
Total Debt - Funds		$	1,011,936				$	249,171		3.89%
Total Debt - Core Portfolio and Funds		$	1,964,875				$	984,773		3.62%

__________


1.	The Company has hedged a portion of its variable-rate debt with variable to fixed-rate swap agreements.


2.	This loan is in default as of June 30, 2017 and is accruing interest for accounting purposes at the default rate of 11%.


3.	This is an unsecured revolving facility which has a current capacity up to $150,000 and can be increased to $300,000. The interest rate will vary based on levels of leverage. As of June 30, 2017, the interest rate is LIBOR + 140 basis points.


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


5.	This loan was made in connection with the New Markets Tax Credit and contains a borrower option to purchase the loan for one dollar at the end of the term.


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


7.	No amounts were drawn on this construction loan as of June 30, 2017.



Supplemental Report - June 30, 2017	- 23 -



Future Debt Maturities ¹
(in thousands)

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

2017 (Remainder)	$	2,718	$	54,627	$	57,345	$	2,358	$	34,210	$	36,568	5.25	%	5.25	%	n/a
2018	5,258		40,058		45,316		4,214		40,058		44,272		2.71	%	n/a		2.71	%
2019	5,349		—		5,349		4,153		—		4,153		n/a		n/a		n/a
2020	5,592		74,000		79,592		4,344		74,000		78,344		2.39	%	n/a		2.39	%
2021	5,838		200,000		205,838		4,533		200,000		204,533		2.36	%	n/a		2.36	%
Thereafter	29,493		530,006		559,499		24,613		343,119		367,732		3.66	%	4.17	%	2.74	%
Total	$	54,248	$	898,691	$	952,939	$	44,215	$	691,387	$	735,602


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

2017 (Remainder)	$	1,503	$	181,517	$	183,020	$	385	$	47,445	$	47,830	2.87	%	3.97	%	2.49	%
2018	2,794		86,989		89,783		627		22,194		22,821		3.69	%	n/a		3.69	%
2019	2,616		205,409		208,025		609		47,857		48,466		3.88	%	1.00	%	3.97	%
2020	2,710		408,191		410,901		646		100,807		101,453		4.12	%	4.75	%	3.53	%
2021	1,455		50,072		51,527		346		11,960		12,306		3.48	%	n/a		3.48	%
Thereafter	620		68,060		68,680		155		16,140		16,295		2.99	%	3.57	%	2.89	%
Total	$	11,698	$	1,000,238	$	1,011,936	$	2,768	$	246,403	$	249,171

__________


1.	Does not include any applicable extension options.



Supplemental Report - June 30, 2017	- 24 -



Core Portfolio Retail Properties - Detail ¹
																	Leased
		Year	Acadia's		Gross Leasable Area (GLA)				In Place Occupancy								Occupancy		Annualized Base Rent Total		Annualized Base Rent PSF Total
Property	Key Tenants	Acquired	Interest		Street	Anchors	Shops	Total	Street		Anchors		Shops		Total		Total		Annualized Base Rent Total		Annualized Base Rent PSF Total

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	%	$	4,597,909	$	253.45
840 N. Michigan Avenue	H & M, Verizon Wireless	2014	88.4	%	87,135	—	—	87,135	100.0	%	—	%	—	%	100.0	%	100.0	%	7,673,433		88.06
Rush and Walton Streets Collection - 5 properties	Lululemon, BHLDN, Marc Jacobs	2011/12	100.0	%	32,501	—	—	32,501	85.3	%	—	%	—	%	85.3	%	85.3	%	5,779,371		208.47
651-671 West Diversey	Trader Joe's, Urban Outfitters	2011	100.0	%	46,259	—	—	46,259	100.0	%	—	%	—	%	100.0	%	100.0	%	2,008,816		43.43
Clark Street and W. Diversey Collection - 3 properties	Ann Taylor, Akira	2011/12	100.0	%	23,531	—	—	23,531	91.3	%	—	%	—	%	91.3	%	91.3	%	1,237,831		57.62
Halsted and Armitage Collection - 9 properties	Club Monaco	2011/12	100.0	%	44,658	—	—	44,658	76.7	%	—	%	—	%	76.7	%	76.7	%	1,231,331		35.95
North Lincoln Park Chicago Collection - 6 properties	Forever 21, Aldo, Carhartt	2011/14	100.0	%	22,125	—	28,836	50,961	100.0	%	—	%	73.5	%	85.0	%	85.0	%	1,727,522		39.88
State and Washington	H & M, Nordstrom Rack	2016	100.0	%	78,819	—	—	78,819	100.0	%	—	%	—	%	100.0	%	100.0	%	2,969,482		37.67
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	%	1,601,752		38.41
Concord and Milwaukee	—	2016	100.0	%	13,105	—	—	13,105	100.0	%	—	%	—	%	100.0	%	100.0	%	393,276		30.01
California and Armitage	—	2016	100.0	%	—	—	18,275	18,275	—	%	—	%	75.1	%	75.1	%	75.1	%	626,972		45.68
Roosevelt Galleria	Petco, Vitamin Shoppe	2015	100.0	%	—	—	37,995	37,995	—	%	—	%	63.4	%	63.4	%	63.4	%	701,982		29.14
Sullivan Center	Target, DSW	2016	100.0	%	176,181	—	—	176,181	98.6	%	—	%	—	%	98.6	%	98.6	%	6,410,625		36.90
					611,540	—	85,106	696,646	96.8	%	—	%	69.3	%	93.4	%	93.4	%	38,390,302		59.00
New York Metro
83 Spring Street	Paper Source	2012	100.0	%	3,000	—	—	3,000	100.0	%	—	%	—	%	100.0	%	100.0	%	686,272		228.76
152-154 Spring Street	—	2014	100.0	%	2,936	—	—	2,936	100.0	%	—	%	—	%	100.0	%	100.0	%	2,344,250		798.45
15 Mercer Street	3 X 1 Denim	2011	100.0	%	3,375	—	—	3,375	100.0	%	—	%	—	%	100.0	%	100.0	%	444,187		131.61
5-7 East 17th Street	Union Fare	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	91.7	%	—	%	—	%	91.7	%	91.7	%	2,248,252		424.40
61 Main Street	—	2014	100.0	%	3,400	—	—	3,400	—	%	—	%	—	%	—	%	—	%	—		—
181 Main Street	TD Bank	2012	100.0	%	11,350	—	—	11,350	100.0	%	—	%	—	%	100.0	%	100.0	%	870,274		76.68
4401 White Plains Road	Walgreens	2011	100.0	%	—	12,964	—	12,964	—	%	100.0	%	—	%	100.0	%	100.0	%	625,000		48.21
Bartow Avenue	Mattress Firm	2005	100.0	%	—	—	14,590	14,590	—	%	—	%	100.0	%	100.0	%	100.0	%	479,036		32.83
239 Greenwich Avenue	Betteridge Jewelers	1998	75.0	%	16,553	—	—	16,553	100.0	%	—	%	—	%	100.0	%	100.0	%	1,546,912		93.45
252-256 Greenwich Avenue	Madewell, Calypso, Jack Wills	2014	100.0	%	7,986	—	—	7,986	100.0	%	—	%	—	%	100.0	%	100.0	%	1,347,655		168.75
2914 Third Avenue	Planet Fitness	2006	100.0	%	—	21,650	18,670	40,320	—	%	100.0	%	100.0	%	100.0	%	100.0	%	951,285		23.59
868 Broadway	Dr. Martens	2013	100.0	%	2,031	—	—	2,031	100.0	%	—	%	—	%	100.0	%	100.0	%	723,607		356.28
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, Citibank	2013	100.0	%	13,838	—	—	13,838	100.0	%	—	%	—	%	100.0	%	100.0	%	2,243,574		162.13
131-135 Prince Street	Folli Follie, Uno De 50	2014	100.0	%	3,200	—	—	3,200	100.0	%	—	%	—	%	100.0	%	100.0	%	1,307,412		408.57
2520 Flatbush Avenue	Bob's Discount Furniture, Capital One	2014	100.0	%	—	—	29,114	29,114	—	%	—	%	100.0	%	100.0	%	100.0	%	1,064,374		36.56
991 Madison Avenue	Vera Wang, Perrin Paris	2016	100.0	%	7,513	—	—	7,513	65.6	%	—	%	—	%	65.6	%	65.6	%	1,520,470		308.50
Shops at Grand	Stop & Shop (Ahold)	2014	100.0	%	—	52,336	47,639	99,975	—	%	100.0	%	93.7	%	97.0	%	97.0	%	2,980,556		30.74
Gotham Plaza	Bank of America, Children's Place	2016	49.0	%	—	—	26,180	26,180	—	%	—	%	80.9	%	80.9	%	80.9	%	1,221,167		57.66
					99,026	86,950	136,193	322,169	93.5	%	100.0	%	94.1	%	95.5	%	95.5	%	24,383,457		79.25
San Francisco Metro
City Center	City Target, Best Buy	2015	100.0	%	—	174,311	30,337	204,648	—	%	100.0	%	87.3	%	98.1	%	98.1	%	7,759,488		38.65
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	%	6,013,668		40.41
					—	294,173	59,307	353,480	—	%	100.0	%	93.5	%	98.9	%	98.9	%	13,773,156		39.40



Supplemental Report - June 30, 2017	- 25 -



Core Portfolio Retail Properties - Detail ¹
																	Leased
		Year	Acadia's		Gross Leasable Area (GLA)				In Place Occupancy								Occupancy		Annualized Base Rent Total		Annualized Base Rent PSF Total
Property	Key Tenants	Acquired	Interest		Street	Anchors	Shops	Total	Street		Anchors		Shops		Total		Total		Annualized Base Rent Total		Annualized Base Rent PSF Total
District of Columbia Metro
1739-53 & 1801-03 Connecticut Avenue	Ruth Chris Steakhouse, TD Bank	2012	100.0	%	20,669	—	—	20,669	100.0	%	—	%	—	%	100.0	%	100.0	%	1,253,121		60.63
Rhode Island Place Shopping Center	TJ Maxx	2012	100.0	%	—	24,996	32,533	57,529	—	%	100.0	%	65.3	%	80.4	%	89.1	%	1,388,511		30.02
M Street and Wisconsin Corridor - 25 Properties ³	Lululemon, North Face, Coach	2011/16	25.4	%	241,182	—	—	241,182	90.0	%	—	%	—	%	90.0	%	90.0	%	16,195,494		74.61
					261,851	24,996	32,533	319,380	90.8	%	100.0	%	65.3	%	88.9	%	90.5	%	18,837,126		66.34
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	%	1,200,045		22.13
165 Newbury Street	Starbucks	2016	100.0	%	1,050	—	—	1,050	100.0	%	—	%	—	%	100.0	%	100.0	%	254,153		242.05
					1,050	40,800	13,426	55,276	100.0	%	100.0	%	100.0	%	100.0	%	100.0	%	1,454,198		26.31

Total Street and Urban Retail					973,467	446,919	326,565	1,746,951	94.9	%	100.0	%	84.9	%	94.3	%	94.6	%	$	96,838,239	$	58.78

Acadia Share Total Street and Urban Retail					779,324	446,919	313,213	1,539,456	95.9	%	100.0	%	85.1	%	94.9	%	95.2	%	$	83,067,240	$	56.86

SUBURBAN PROPERTIES
New Jersey
Elmwood Park Shopping Center	Walgreens, Acme	1998	100.0	%	—	62,610	81,300	143,910	—	%	100.0	%	95.0	%	97.2	%	97.2	%	$	3,857,643	$	27.58
Marketplace of Absecon	Rite Aid, Dollar Tree	1998	100.0	%	—	46,724	57,832	104,556	—	%	100.0	%	85.9	%	92.2	%	92.2	%	1,406,275		14.59
60 Orange Street	Home Depot	2012	98.0	%	—	101,715	—	101,715	—	%	100.0	%	—	%	100.0	%	100.0	%	695,000		6.83

New York
Village Commons Shopping Center	—	1998	100.0	%	—	—	87,128	87,128	—	%	—	%	95.6	%	95.6	%	95.6	%	2,697,953		32.39
Branch Plaza	LA Fitness, The Fresh Market	1998	100.0	%	—	76,264	47,114	123,378	—	%	100.0	%	75.2	%	90.5	%	91.4	%	2,838,343		25.42
Amboy Center	Stop & Shop (Ahold)	2005	100.0	%	—	37,266	26,024	63,290	—	%	100.0	%	100.0	%	100.0	%	100.0	%	2,066,367		32.65
Pacesetter Park Shopping Center	Stop & Shop (Ahold)	1999	100.0	%	—	52,052	45,754	97,806	—	%	100.0	%	95.4	%	97.8	%	100.0	%	1,278,441		13.37
LA Fitness	LA Fitness	2007	100.0	%	—	55,000	—	55,000	—	%	100.0	%	—	%	100.0	%	100.0	%	1,391,500		25.30
Crossroads Shopping Center	Home Goods, PetSmart, Kmart, DSW	1998	49.0	%	—	202,727	109,225	311,952	—	%	100.0	%	81.9	%	93.7	%	94.6	%	6,675,815		22.84
New Loudon Center	Price Chopper, Marshalls	1993	100.0	%	—	251,058	4,615	255,673	—	%	100.0	%	100.0	%	100.0	%	100.0	%	2,149,907		8.41
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	%	74.0	%	84.9	%	84.9	%	2,494,665		32.44
Connecticut
Town Line Plaza	Wal-Mart, Stop & Shop (Ahold)	1998	100.0	%	—	163,159	43,187	206,346	—	%	100.0	%	93.6	%	98.7	%	98.7	%	1,754,129		16.30

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	%	73.4	%	92.5	%	92.5	%	1,803,223		8.94
201 Needham Street	Michael's	2014	100.0	%	—	20,409	—	20,409	—	%	100.0	%	—	%	100.0	%	100.0	%	591,861		29.00
163 Highland Avenue	Staples, Petco	2015	100.0	%	—	40,505	—	40,505	—	%	100.0	%	—	%	100.0	%	100.0	%	1,275,673		31.49

Vermont
The Gateway Shopping Center	Shaw's (Supervalu)	1999	100.0	%	—	73,184	28,471	101,655	—	%	100.0	%	89.4	%	97.0	%	97.0	%	2,012,733		20.41

Illinois
Hobson West Plaza	Garden Fresh Markets	1998	100.0	%	—	51,692	47,445	99,137	—	%	100.0	%	67.5	%	84.4	%	84.4	%	892,840		10.67

Indiana
Merrillville Plaza	Jo-Ann Fabrics, TJ Maxx	1998	100.0	%	—	123,220	112,867	236,087	—	%	100.0	%	93.4	%	96.8	%	96.8	%	3,346,184		14.64

Michigan
Bloomfield Town Square	Best Buy, Home Goods, TJ Maxx, Dick's Sporting Goods	1998	100.0	%	—	153,839	81,847	235,686	—	%	100.0	%	83.9	%	94.4	%	94.4	%	3,365,469		15.13



Supplemental Report - June 30, 2017	- 26 -



Core Portfolio Retail Properties - Detail ¹
																	Leased
		Year	Acadia's		Gross Leasable Area (GLA)				In Place Occupancy								Occupancy		Annualized Base Rent Total		Annualized Base Rent PSF Total
Property	Key Tenants	Acquired	Interest		Street	Anchors	Shops	Total	Street		Anchors		Shops		Total		Total		Annualized Base Rent Total		Annualized Base Rent PSF Total
Ohio
Mad River Station	Babies 'R' Us	1999	100.0	%	—	58,185	65,150	123,335	—	%	100.0	%	56.7	%	77.1	%	77.1	%	1,396,788		14.69

Delaware
Brandywine Town Center	Lowes, Bed Bath & Beyond, Target, Dick's Sporting Goods	2003	22.2	%	—	775,803	48,608	824,411	—	%	89.1	%	80.0	%	88.6	%	88.6	%	11,926,110		16.33
Market Square Shopping Center	Trader Joe's, TJ Maxx	2003	61.1	%	—	42,850	59,197	102,047	—	%	100.0	%	100.0	%	100.0	%	100.0	%	3,032,180		29.71
Naamans Road	—	2006	100.0	%	—	—	19,984	19,984	—	%	—	%	29.9	%	29.9	%	29.9	%	394,350		66.00

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	%	850,978		5.45
Route 6 Plaza	Kmart	1994	100.0	%	—	146,568	29,021	175,589	—	%	100.0	%	100.0	%	100.0	%	100.0	%	1,319,495		7.51
Chestnut Hill	—	2006	100.0	%	—	—	37,646	37,646	—	%	—	%	100.0	%	100.0	%	100.0	%	940,139		24.97
Abington Towne Center	Target, TJ Maxx	1998	100.0	%	—	184,616	31,662	216,278	—	%	100.0	%	70.4	%	95.7	%	95.7	%	1,060,127		18.88

Total Suburban Properties					—	3,375,703	1,206,076	4,581,779	—	%	97.5	%	84.8	%	94.2	%	94.3	%	$	66,934,325	$	16.42

Acadia Share Total Suburban Properties					—	2,650,035	1,089,527	3,739,561	—	%	99.3	%	84.9	%	95.1	%	95.2	%	$	53,057,728	$	16.01

TOTAL CORE PROPERTIES					973,467	3,822,622	1,532,641	6,328,730	94.9	%	97.8	%	84.8	%	94.2	%	95.8	%	$	163,772,564	$	28.62

Acadia Share Total Core Properties					779,324	3,096,954	1,402,740	5,279,017	95.9	%	99.4	%	84.9	%	95.0	%	95.2	%	$	136,124,968	$	28.52

__________


1.	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.


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


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



Supplemental Report - June 30, 2017	- 27 -



Core Portfolio Top Tenants - Ranked by Annual Base Rent (ABR) ¹

		Pro-Rata
	Number of Stores in Core Portfolio	Combined			Percentage of Total
Tenant	Number of Stores in Core Portfolio	GLA	ABR		GLA		ABR

Target	3	302,586	$	6,979,002	5.8	%	5.2	%

H & M	2	81,246	5,309,815		1.6	%	3.9	%

Royal Ahold ²	4	207,513	3,639,387		4.0	%	2.7	%

Walgreens	5	78,254	3,598,966		1.5	%	2.7	%

Best Buy	2	86,686	3,594,913		1.7	%	2.7	%

Nordstrom, Inc.	2	88,982	3,339,492		1.7	%	2.5	%

Albertsons Companies ³	3	171,182	3,154,331		3.3	%	2.3	%

Ascena Retail Group ⁴	5	23,233	2,566,755		0.4	%	1.9	%

Bed, Bath, and Beyond ⁵	3	95,448	2,387,812		1.8	%	1.8	%

LA Fitness International LLC	2	100,000	2,336,500		1.9	%	1.7	%

Lululemon	2	7,533	2,260,467		0.1	%	1.7	%
TJX Companies ⁶	8	209,198	2,049,901		4.0	%	1.5	%
Trader Joe's	3	32,351	1,935,311		0.6	%	1.4	%
Home Depot	3	312,718	1,893,791		6.0	%	1.4	%
Gap	3	28,643	1,501,004		0.5	%	1.1	%
Kate Spade	2	4,250	1,454,547		0.1	%	1.1	%
Ulta Salon Cosmetic & Fragrance	3	31,497	1,395,401		0.6	%	1.0	%
JP Morgan Chase	7	28,715	1,370,053		0.5	%	1.0	%
DSW	2	35,842	1,318,894		0.7	%	1.0	%
Mattress Firm	9	39,936	1,242,050		0.8	%	0.9	%
TOTAL	73	1,965,813	$	53,328,392	37.6	%	39.5	%

__________


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


2.	Stop and Shop (4 locations)


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


4.	Ann Taylor Loft (2 locations), Catherine’s (1 location), Dress Barn (1), Lane Bryant (1 location)


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


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



Supplemental Report - June 30, 2017	- 28 -



Core Portfolio Lease Expirations


	Street Tenants								Anchor Tenants								Shop Tenants								Total Tenants
		GLA			ABR					GLA			ABR					GLA			ABR					GLA			ABR
	Leases	Expiring	Percent				Percent		Leases	Expiring	Percent				Percent		Leases	Expiring	Percent				Percent		Leases	Expiring	Percent				Percent
Year	Expiring	SF	of Total		PSF		of Total		Expiring	SF	of Total		PSF		of Total		Expiring	SF	of Total		PSF		of Total		Expiring	SF	of Total		PSF		of Total

M to M ¹	—	—	—	%	$	—	—	%	—	—	—	%	$	—	—	%	—	27,960	2.2	%	$	17.56	1.2	%	6	27,960	0.4	%	$	17.56	0.3	%
2017	5	14,769	1.6	%	122.28		2.5	%	—	24,996	0.7	%	13.50		0.6	%	—	46,396	3.6	%	30.36		3.6	%	25	86,161	2.9	%	41.22		2.2	%
2018	6	22,773	2.5	%	87.31		2.8	%	—	334,193	9.6	%	23.25		14.6	%	—	176,943	13.6	%	30.57		13.7	%	66	533,909	10.1	%	28.41		9.3	%
2019	11	65,439	7.1	%	59.60		5.5	%	—	382,487	11.0	%	11.02		7.9	%	—	103,701	8.0	%	25.95		6.8	%	52	551,627	9.7	%	19.59		6.6	%
2020	14	47,751	5.2	%	95.69		6.4	%	—	451,223	13.0	%	12.40		10.5	%	—	97,844	7.5	%	26.78		6.6	%	53	596,818	10.8	%	21.42		7.8	%
2021	21	131,030	14.2	%	57.70		10.6	%	—	599,685	17.2	%	14.52		16.4	%	—	176,918	13.6	%	24.66		11.1	%	77	907,633	15.7	%	22.73		12.6	%
2022	12	62,923	6.8	%	81.30		7.2	%	—	296,442	8.5	%	12.57		7.0	%	—	136,204	10.5	%	31.12		10.8	%	53	495,569	8.4	%	26.39		8.0	%
2023	9	151,206	16.4	%	66.96		14.2	%	—	227,079	6.5	%	17.60		7.5	%	—	91,932	7.1	%	29.19		6.8	%	33	470,217	6.9	%	35.74		10.3	%
2024	13	94,855	10.3	%	84.19		11.2	%	—	330,390	9.5	%	20.41		12.7	%	—	116,895	9.0	%	30.66		9.1	%	44	542,140	9.4	%	33.78		11.2	%
2025	11	48,583	5.3	%	131.99		9.0	%	—	178,571	5.1	%	18.57		6.2	%	—	79,893	6.1	%	38.56		7.8	%	41	307,047	5.3	%	41.72		7.8	%
2026	12	46,392	5.0	%	78.98		5.2	%	—	32,570	0.9	%	17.71		1.1	%	—	75,095	5.8	%	30.98		5.9	%	31	154,057	2.6	%	42.63		4.0	%
Thereafter	17	238,397	25.6	%	75.49		25.4	%	—	625,972	18.0	%	13.20		15.5	%	—	170,396	13.0	%	38.20		16.6	%	60	1,034,765	17.8	%	31.67		19.9	%
Total	131	924,118	100.0	%	$	76.96	100.0	%	—	3,483,608	100.0	%	$	15.28	100.0	%	—	1,300,177	100.0	%	$	30.31	100.0	%	541	5,707,903	100.0	%	$	28.69	100.0	%

Anchor GLA Owned by Tenants		—								254,916								—								254,916
Total Vacant		49,349								84,098								232,464								365,911
Total Square Feet		973,467								3,822,622								1,532,641								6,328,730

_________


1.	Leases currently under month to month or in process of renewal



Supplemental Report - June 30, 2017	- 29 -



Core Portfolio - New and Renewal Rent Spreads ¹

	Quarter Ended				Quarter Ended				Year to Date
	March 31, 2017				June 30, 2017				June 30, 2017
	GAAP ²		Cash ³		GAAP ²		Cash ³		GAAP ²		Cash ³
New leases
Number of new leases executed	4		4		4		4		8		8
GLA	8,121		8,121		15,969		15,969		24,090		24,090
New base rent	$149.48		$139.58		$27.27		$26.79		$68.47		$64.81
Previous base rent	$124.63		$136.13		$24.48		$24.81		$58.24		$62.34
Average cost per square foot	$123.79		$123.79		$63.69		$63.69		$83.95		$83.95
Weighted Average Lease Term (years)	9.4		9.4		10.0		10.0		9.8		9.8
Percentage growth in base rent	19.9	%	2.5	%	11.4	%	8.0	%	17.6	%	4.0	%

Renewal leases
Number of renewal leases executed	15		15		16		16		31		31
GLA	156,327		156,327		157,478		157,478		313,805		313,805
New base rent	$19.11		$18.80		$22.81		$22.36		$20.97		$20.59
Expiring base rent	$15.73		$17.34		$19.83		$20.38		$17.79		$18.87
Average cost per square foot	$0.24		$0.24		$0.00		$0.00		$0.12		$0.12
Weighted Average Lease Term (years)	3.4		3.4		5.4		5.4		4.4		4.4
Percentage growth in base rent	21.5	%	8.4	%	15.0	%	9.7	%	17.9	%	9.1	%

Total new and renewal leases
Number of new and renewal leases executed	19		19		20		20		39		39
GLA commencing	164,448		164,448		173,447		173,447		337,895		337,895
New base rent	$25.55		$24.76		$23.22		$22.77		$24.35		$23.74
Expiring base rent	$21.11		$23.21		$20.26		$20.79		$20.67		$21.97
Average cost per square foot	$6.34		$6.34		$5.86		$5.86		$6.09		$6.09
Weighted average lease term (years)	3.7		3.7		5.8		5.8		4.8		4.8
Percentage growth in base rent	21.0	%	6.7	%	14.6	%	9.5	%	17.8	%	8.1	%

__________


1.	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.


2.	Rents are calculated on a straight-line ("GAAP") basis.


3.	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.



Supplemental Report - June 30, 2017	- 30 -



Core Portfolio Capital Expenditures




	Quarter Ended		Quarter Ended		Year to Date		Prior Year Ended
	March 31, 2017		June 30, 2017		June 30, 2017		December 31, 2016

Leasing Commissions	$	474	$	202	$	676	$	2,252
Tenant Improvements	1,747		1,622		3,369		9,477
Capital Expenditures	47		59		106		1,074
Total Capital Expenditures	$	2,268	$	1,883	$	4,151	$	12,803



Supplemental Report - June 30, 2017	- 31 -



Fund Overview


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		%	42.6		%	39.6		%	38.5		%	36.1		%	38.7		%
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	$	396.7	Million	$	390.7	Million	$	0.0	Million	$	1,221.1	Million
Cumulative Net Distributions ³	$	194.5	Million	$	131.6	Million	$	551.0	Million	$	101.9	Million	$	0.0	Million	$	979.0	Million
Net Distributions/Contributions	224.6		%	37.9		%	138.9		%	26.1		%	N/A			80.2		%
Unfunded Commitment ⁴	$0.0 Million			$0.0 Million			$	53.3	Million	$	139.3	Million	$	520.0	Million	$	712.6	Million
Acquisition Dry Powder ⁵	N/A			N/A			N/A			N/A			$	504.0	Million	$	504.0	Million
Investment Period Closes	Closed			Closed			Closed			Closed			Aug-2019
Currently in a Promote Position? (Yes/No)	Yes			No			Yes			No			No

II. FEES & PRIORITY DISTRIBUTIONS EARNED BY ACADIA
Type:	Applicable to			Description
Asset Management ⁶	Fund I, II & III			1.5% of Implied Capital
Asset Management ⁶	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

__________


1.	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%.


2.	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.


3.	Net of fees and promote

Unfunded Commitments are set aside to complete leasing and development at existing fund investments, to acquire new identified Fund IV 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.


5.	Unfunded Commitments available to deploy into new unidentified investments.


6.	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.



Supplemental Report - June 30, 2017	- 32 -



Fund Retail Properties - Detail ¹
																	Leased		Annualized		Annualized
		Year	Ownership		Gross Leasable Area				In Place Occupancy								Occupancy		Base Rent		Base Rent
	Anchors	Acquired	%		Street	Anchors	Shops	Total	Street		Anchors		Shops		Total		Total		Total		PSF
Fund II Portfolio Detail

NEW YORK
New York
City Point - Phase I and II	—	2007	94.2	%	—	307,049	167,951	475,000	—	%	100.0	%	17.2	%	70.7	%	79.9	%	$	8,883,140	$	26.45
216th Street	NYC Human Resources Administration	2005	99.1	%	—	60,000	—	60,000	—	%	100.0	%	—	%	100.0	%	100.0	%	2,574,000		42.90
161st Street ²	Various New York City & State agencies	2005	99.1	%	—	166,005	99,662	265,667	—	%	46.8	%	61.7	%	52.4	%	74.1	%	4,824,577		34.66

Total - Fund II					—	533,054	267,613	800,667	—	%	83.4	%	33.8	%	66.8	%	79.5	%	$	16,281,717	$	30.44

Fund III Portfolio Detail

NEW YORK
New York
654 Broadway	Penguin (Perry Ellis)	2011	100.0	%	2,896	—	—	2,896	100.0	%	—	%	—	%	100.0	%	100.0	%	$	601,000	$	207.53
640 Broadway	Swatch	2012	63.1	%	4,247	—	—	4,247	70.6	%	—	%	—	%	70.6	%	70.6	%	954,218		318.24
3104 M Street	—	2012	80.0	%	—	—	3,608	3,608	—	%	—	%	—	%	—	%	—	%	—		—
New Hyde Park Shopping Center	PetSmart	2011	100.0	%	—	13,507	18,815	32,322	—	%	100.0	%	65.9	%	80.2	%	96.4	%	1,150,964		44.40
Nostrand Avenue	—	2013	100.0	%	—	—	42,628	42,628	—	%	—	%	78.8	%	78.8	%	78.8	%	1,616,298		48.12

Total - Fund III					7,143	13,507	65,051	85,701	82.5	%	100.0	%	70.7	%	76.3	%	82.4	%	$	4,322,480	$	66.10

Fund IV Portfolio Detail

NEW YORK
New York
1151 Third Avenue	Vineyard Vines	2013	100.0	%	13,250	—	—	13,250	100.0	%	—	%	—	%	100.0	%	100.0	%	$	1,787,393	$	134.90
17 East 71st Street	The Row	2014	100.0	%	8,432	—	—	8,432	100.0	%	—	%	—	%	100.0	%	100.0	%	1,848,724		219.25
1035 Third Avenue ³	—	2015	100.0	%	7,617	—	—	7,617	60.0	%	—	%	—	%	60.0	%	60.0	%	805,570		176.27
Colonie Plaza	Price Chopper, Big Lots	2016	100.0	%	—	96,000	57,483	153,483	—	%	100.0	%	91.7	%	96.9	%	96.9	%	1,666,687		11.21

New Jersey
Paramus Plaza	Babies R Us, Ashley Furniture	2013	50.0	%	—	64,235	88,274	152,509	—	%	61.1	%	79.8	%	71.9	%	71.9	%	1,835,118		16.74

BOSTON
Massachusetts
Restaurants at Fort Point	—	2016	100.0	%	15,711	—	—	15,711	100.0	%	—	%	—	%	100.0	%	100.0	%	312,019		19.86

NORTHEAST
Maine
Airport Mall	Hannaford, Marshalls	2016	100.0	%	—	131,042	90,718	221,760	—	%	100.0	%	73.3	%	89.1	%	89.1	%	1,317,587		6.67
Wells Plaza	Reny's, Dollar Tree	2016	100.0	%	—	62,471	30,792	93,263	—	%	100.0	%	77.8	%	92.7	%	92.7	%	650,143		7.52
Shaw's Plaza (Waterville)	Shaw's	2016	100.0	%	—	87,492	31,523	119,015	—	%	100.0	%	87.3	%	96.6	%	96.6	%	1,324,076		11.52
Shaw's Plaza (Windham)	Shaw's	2017	100.0	%		66,698	57,632	124,330	—	%	100.0	%	70.8	%	86.5	%	86.5	%	1,006,916		9.36
JFK Plaza	Hannaford, TJ Maxx	2016	100.0	%	—	104,426	46,681	151,107	—	%	100.0	%	28.9	%	78.0	%	78.0	%	744,207		6.31

Pennsylvania
Dauphin Plaza	Price Rite, Ashley Furniture	2016	100.0	%	—	122,621	83,106	205,727	—	%	100.0	%	60.9	%	84.2	%	84.2	%	1,616,339		9.33
Mayfair Shopping Center	—	2016	100.0	%	—	25,673	89,738	115,411	—	%	—	%	80.2	%	62.4	%	62.4	%	1,349,847		18.74

MID-ATLANTIC
Virginia
Promenade at Manassas	Home Depot	2013	98.6	%	—	194,038	71,404	265,442	—	%	85.6	%	95.1	%	88.2	%	88.2	%	3,173,833		13.56
Lake Montclair	Food Lion	2013	100.0	%	—	33,000	72,832	105,832	—	%	100.0	%	89.0	%	92.4	%	92.4	%	1,881,119		19.24



Supplemental Report - June 30, 2017	- 33 -



Fund Retail Properties - Detail ¹
																	Leased		Annualized		Annualized
		Year	Ownership		Gross Leasable Area				In Place Occupancy								Occupancy		Base Rent		Base Rent
	Anchors	Acquired	%		Street	Anchors	Shops	Total	Street		Anchors		Shops		Total		Total		Total		PSF
Delaware
Eden Square	Giant Food, LA Fitness	2014	98.6	%	—	163,217	68,227	231,444	—	%	71.1	%	77.8	%	73.1	%	73.1	%	2,417,917		14.29

MIDWEST
Illinois
938 W. North Avenue	Sephora	2013	100.0	%	33,228	—	—	33,228	16.1	%	—	%	—	%	16.1	%	16.1	%	326,350		61.00
Lincoln Place	Kohl's, Marshall's	2017	100.0	%	—	—	271,866	271,866	—	%	—	%	90.4	%	90.4	%	90.4	%	2,793,805		11.37

SOUTHEAST
Georgia
Broughton Street Portfolio - 21 properties ⁴	J. Crew, L'Occitane, Lululemon, Michael Kors	2014	50.0	%	114,141	—	—	114,141	89.1	%	—	%	—	%	89.1	%	89.1	%	3,914,576		38.49

North Carolina
Wake Forest Crossing	—	2016	100.0	%	—	113,353	89,653	203,006	—	%	100.0	%	95.3	%	97.9	%	97.9	%	2,907,092		14.63

WEST
California
146 Geary Street	—	2015	100.0	%	11,436	—	—	11,436	100.0	%	—	%	—	%	100.0	%	100.0	%	300,000		26.23
Union and Fillmore Collection - 4 properties	—	2015	90.0	%	10,148	—	—	10,148	80.8	%	—	%	—	%	80.8	%	80.8	%	557,790		68.03

Total - Fund IV					213,963	1,264,266	1,149,929	2,628,158	78.8	%	90.1	%	81.3	%	85.3	%	85.0	%	$	34,537,108	$	15.41

Fund V Portfolio Detail

SOUTHWEST
New Mexico
Santa Fe Plaza	TJ Maxx, Best Buy, Ross Dress for Less	2017	100.0	%	—	93,578	130,645	224,223	—	%	100.0	%	83.6	%	90.4	%	99.0	%	3,494,544		17.24

Total - Fund V					—	93,578	130,645	224,223	—	%	—	%	83.6	%	90.4	%	99.0	%	$	3,494,544	$	17.24

__________


1.	Excludes properties under development, see “Development 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.


2.	Currently operating, but redevelopment activities have commenced.


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


4.	Represents 21 of the 24 properties in this portfolio that have been leased. The remaining properties are still in development.



Supplemental Report - June 30, 2017	- 34 -



Fund Lease Expirations

	FUND II										FUND III
		Gross Leased Area					Base Rent					Gross Leased Area					Base Rent
	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	1	9,967	1.9	%	$	100	$	0.01	0.6	%	1	1,130	1.7	%	$	65,097	$	57.61	1.5	%
2017	—	—	—		—		—		—	%	—	—	—	%	—		—		—	%
2018	—	—	—		—		—		—	%	3	5,247	8.0	%	262,273		49.99		6.1	%
2019	—	—	—		—		—		—	%	2	3,037	4.6	%	124,106		40.86		2.9	%
2020	—	—	—		—				—	%	2	2,976	4.6	%	129,590		43.55		3.0	%
2021	—	—	—		—		—		—	%	2	4,238	6.5	%	172,076		40.60		4.0	%
2022	—	—	—		—		—		—	%	3	4,300	6.6	%	351,882		81.83		8.1	%
2023	—	—	—		—		—		—	%	4	6,495	9.9	%	999,502		153.89		23.1	%
2024	—	—	—		—		—		—	%	3	18,177	27.8	%	725,898		39.93		16.8	%
2025	—	—	—		—				—	%	3	2,812	4.3	%	295,397		105.05		6.8	%
2026	2	3,185	0.6	%	274		0.09		1.7	%	4	3,482	5.3	%	579,869		166.53		13.4	%
Thereafter	13	521,941	97.5	%	15,908		0.03		97.7	%	3	13,510	20.7	%	616,790		45.65		14.3	%
Total	16	535,093	100.0	%	$	16,282	$	0.03	100.0	%	30	65,404	100.0	%	$	4,322,480	$	66.10	100.0	%

		265,574	Total Vacant									20,297	Total Vacant
		800,667	Total Square Feet									85,701	Total Square Feet


	FUND IV										FUND V
		Gross Leased Area					Base Rent					Gross Leased Area					Base Rent
	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	3	6,500	0.3	%	$	139,680	$	0.02	0.4	%	—	—	—	%	$	—	$	—	—	%
2017	16	61,671	2.8	%	1,274,460		20.67		3.7	%	2	6,650	3.3	%	144,742		7.23		4.1	%
2018	40	219,304	9.8	%	2,415,271		11.01		7.0	%	2	8,305	4.1	%	197,420		9.87		5.6	%
2019	28	170,985	7.6	%	1,954,244		11.43		5.7	%	1	1,250	0.6	%	35,000		1.75		1.0	%
2020	33	229,229	10.2	%	2,924,504		12.76		8.5	%	1	31,452	15.5	%	408,876		20.43		11.7	%
2021	39	345,306	15.4	%	4,780,712		13.84		13.8	%	6	42,648	21.0	%	779,794		38.97		22.3	%
2022	28	260,988	11.6	%	3,566,841		13.67		10.3	%	3	40,226	19.8	%	721,880		36.08		20.7	%
2023	13	129,844	5.8	%	1,626,436		12.53		4.7	%	2	21,407	10.6	%	487,695		24.37		14.0	%
2024	22	240,207	10.7	%	5,574,609		23.21		16.1	%	1	30,900	15.2	%	372,963		18.64		10.7	%
2025	21	101,401	4.5	%	4,278,654		42.20		12.4	%	—	—	—	%	—		—		—	%
2026	17	149,139	6.7	%	2,119,600		14.21		6.1	%	—	—	—	%	—		—		—	%
Thereafter	18	327,649	14.6	%	3,882,097		11.85		11.2	%	2	20,010	9.9	%	346,174		17.30		9.9	%
Total	278	2,242,223	100.0	%	$	34,537,108	$	15.41	100.0	%	20	202,848	100.0	%	$	3,494,544	$	17.24	100.0	%

		385,935	Total Vacant									21,375	Total Vacant
		2,628,158	Total Square Feet									224,223	Total Square Feet

__________


1.	Leases currently under month to month or in process of renewal



Supplemental Report - June 30, 2017	- 35 -



Development Activity
($ in millions)

								Acquisition & Development Costs
Property	Ownership	Location	Estimated Stabilization	Est. SQFT Upon Completion	Leased Rate ¹		Key Tenants	Incurred		Estimated Future Range					Estimated Total Range					Outstanding Debt
FUND II

Sherman Plaza	99.1%	New York, NY	TBD	TBD	—		TBD	$	36.7	TBD			TBD		TBD			TBD		$	14.3
								$	36.7	TBD			TBD		TBD			TBD		$	14.3

FUND III

Cortlandt Crossing	100.0%	Mohegan Lake, NY	2018	130,000	50	%	ShopRite	$	25.8	$	34.2	to	$	39.2	$	60.0	to	$	65.0	$	—
Broad Hollow Commons	100.0%	Farmingdale, NY	2018	180,000 - 200,000	—		TBD	16.1		33.9		to	43.9		50.0		to	60.0		—
								$	41.9	$	68.1		$	83.1	$	110.0		$	125.0	$	—


FUND IV

210 Bowery	100.0%	New York, NY	2017	16,000	—		TBD	$	23.0	$	0.5	to	$	1.5	$	23.5	to	$	24.5	$	7.0
Broughton Street Portfolio ²	50.0%	Savannah, GA	2017	190,000	89	%	J. Crew, Lululemon, H&M	77.1		2.9		to	7.9		80.0		to	85.0		30.0
27 E. 61st Street	100.0%	New York, NY	2017	9,500	—		TBD	24.1		1.4		to	4.4		25.5		to	28.5		—
801 Madison Avenue	100.0%	New York, NY	2017	5,000	20	%	TBD	37.4		2.6		to	5.6		40.0		to	43.0		—
650 Bald Hill Road	90.0%	Warwick, RI	2017	161,000	72	%	Dick's Sporting Goods, Burlington Coat Factory	25.3		2.2		to	7.2		27.5		to	32.5		7.4
717 N. Michigan Avenue	100.0%	Chicago, IL	2018	62,000	25	%	Disney Store	108.2		11.8		to	19.3		120.0		to	127.5		63.9
								$	295.1	$	21.4		$	45.9	$	316.5		$	341.0	$	108.3

CORE

613-623 West Diversey	100.0%	Chicago, IL	2018	30,000	75	%	TJ Maxx	$	13.2	$	9.8		$	11.3	$	23.0		$	24.5	$	—
56 E Walton Street	100.0%	Chicago, IL	2018	TBD	—		TBD	7.8		2.7			3.7		10.5			11.5		—
								$	21.0	$	12.5		$	15.0	$	33.5		$	36.0	$	—

__________


1.	The leased rate excludes pre-redevelopment tenants.


2.	This portfolio includes 24 buildings, including 21 which are operating.



Reconciles to Consolidated Balance Sheet as follows:

Development costs above	$	394.7

Development held as operating real estate	(47.5		)
Development costs of unconsolidated properties	(102.4		)
Deferred costs and other amounts	(35.8		)

Total per consolidated balance sheet	$	209.0



Supplemental Report - June 30, 2017	- 36 -



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. 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.



Supplemental Report - June 30, 2017	- 37 -