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Phoenix Retail Market ©2014 CoStar Group, Inc. The CoStar Retail Report A Mid-Year 2014 – Phoenix Table of Contents Table of Contents ...

The CoStar
Retail Report

Mid-Year 2014

Phoenix Retail Market

Mid-Year 2014 – Phoenix

Phoenix Retail Market

Table of Contents

Table of Contents . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . A

Methodology . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . B

Terms & Definitions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . C

Market Highlights & Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1

CoStar Markets & Submarkets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

Inventory & Development Analysis. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
Inventory & Development Analysis
Select Top Deliveries
Select Top Under Construction Properties

Figures at a Glance. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
Figures at a Glance by Building Type & Market
Figures at a Glance by Building Type & Submarket
Historical Figures at a Glance

Leasing Activity Analysis. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
Select Top Lease Transactions

Sales Activity Analysis . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21
Sales Activity Analysis
Select Top Sales Transactions

Analysis of Individual CoStar Submarket Clusters . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23
Airport Area Market
Downtown Phoenix Market
East Valley Market
Maricopa County Market
North Phoenix Market
North Scottsdale Market
Northwest Phoenix Market
Pinal County Market
Scottsdale Market
South Mountain Market
West Phoenix Market

©2014 CoStar Group, Inc. The CoStar Retail Report A

Phoenix – Mid-Year 2014

Phoenix Retail Market

Methodology

The CoStar Retail Report calculates Retail statistics using CoStar Group's base of existing, under
construction and under renovation Retail buildings in each given metropolitan area. All Retail
building types are included, including Community Center, Freestanding Retail, Neighborhood Center,
Power Center, Regional Mall, Specialty Center and Unanchored Strip Center, in both single-tenant
and multi-tenant buildings, including owner-occupied buildings. CoStar Group's national database
includes approximately 80.7 billion square feet of coverage in 3.5 million properties. All rental rates
reported in the CoStar Retail Report are calculated using Triple Net (NNN) rental rates.

For information on subscribing to CoStar’s other products and services, please
contact us at 1-877-7COSTAR, or visit our web site at www.costar.com

© Copyright 2012 CoStar Group, Inc. All Rights Reserved. Although CoStar makes efforts to ensure the accuracy and reliability of the
information contained herein, CoStar makes no guarantee, representation or warranty regarding the quality, accuracy, timeliness or
completeness of the information. The publication is provided ‘as is’ and CoStar expressly disclaims any guarantees, representations or
warranties of any kind, including those of MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE.

CoStar Group, Inc.
1331 L ST NW • Washington, DC 20005• (800) 204-5960 • www.costar.com • NASDAQ: CSGP

B The CoStar Retail Report ©2014 CoStar Group, Inc.

Mid-Year 2014 – Phoenix

Phoenix Retail Market

Terms & Definitions

Anchor Tenant: Alarge national or regional retailer that serves as represents the interests of the owner/landlord is referred to as the
a primarydrawfor a shopping center;a store strategicallylocated in a Landlord Rep.
retail property in order to enhance,bring attention to,or increase traf-
fic at the property. Sometimes called a “destination” tenant, usually Leased Space: All the space that has a financial lease obligation.
these tenants lease at least25,000 SF. It includes all leased space,regardless ofwhether the space is currently
occupied by a tenant.Leased space also includes space being offered
Availability Rate: The ratio of available space to total rentable for sublease.
space,calculated by dividing the total available square feet by the total
rentable square feet. Leasing Activity: The volume of square footage that is commit-
ted to and signed under a lease obligation for a specific building or
Available Space: The total amount of space that is currently market in a given period of time.It includes direct leases,subleases and
being marketed as available for lease in a given time period.It includes renewals of existing leases. It also includes any pre-leasing activity in
any space that is available,regardless of whether the space is vacant, planned,under construction,or under renovation buildings.
occupied,available for sublease,or available at a future date.
Lifestyle Center: An upscale,specialtyretail,main street concept
Buyer: The individual,group,company,or entity that has purchased shopping center. An open center, usually without anchors, about
a commercial real estate asset. 300,000 SF GLA or larger, located near affluent neighborhoods,
includes upscale retail, trendy restaurants and entertainment retail.
Cap Rate: Shortforcapitalizationrate.TheCapRateisacalculation Nicelylandscapedwith convenient parking located close to the stores.
that reflects the relationship between one year’s net operating income
and the current market value of a particular property.The Cap Rate Mall: The combined retail center types of Lifestyle Center, Regional
is calculated by dividing the annual net operating income by the sales Mall and Super Regional Mall.
price (or asking sales price).
Market: Geographic boundaries that serve to delineate core areas
Community Center: A shopping center development that has that are competitive with each other and constitute a generally
a total square footage between 100,000 – 350,000 SF. Generally will accepted primary competitive set of areas.Markets are building-type
have 2-3 large anchored tenants,but not department store anchors. specific,and are non-overlapping contiguous geographic designations
CommunityCenter typicallyoffers awider range ofapparel and other having a cumulative sum that matches the boundaries of the entire
soft goods than the Neighborhood Center. Among the more com- Region (See also: Region). Markets can be further subdivided into
mon anchors are supermarkets and super drugstores. Community Submarkets.(See also:Submarkets)
Center tenants sometime contain retailers selling such items as
apparel, home improvement/furnishings, toys, electronics or sporting Multi-Tenant: Buildings that house more than one tenant at a
goods. The center is usually configured as a strip, in a straight line, or given time. Usually, multi-tenant buildings were designed and built to
an “L” or “U” shape. accommodate many different floor plans and designs for different
tenant needs.(See also:Tenancy).
Construction Starts: Buildings that began construction during
a specific period of time.(See also:Deliveries) Neighborhood Center: Provides for the sales of convenience
goods (food,drugs,etc.) and personal services (laundry,dry cleaning,
Deliveries: Buildings that complete construction during a specified etc.) for day-to-dayliving needs of the immediate neighborhoodwith
period of time. In order for space to be considered delivered, a certifi- a supermarket being the principal tenant.In theory,the typical GLA is
cate of occupancymust have been issued for the property. 50,000 square feet. In practice, the GLA may range from 30,000 to
100,000 square feet.
Delivery Date: The date a building completes construction and
receives a certificate of occupancy. Net Absorption: The net change in occupied space over a given
period of time. Unless otherwise noted NetAbsorption includes direct
Developer: The company, entity or individual that transforms raw and sublease space.
land to improved property by use of labor,capital and entrepreneurial
efforts. New Space: Sometimes called first generation space, refers to
space that has never been occupied and/or leased bya tenant.
Direct Space: Spacethatisbeingofferedforleasedirectlyfromthe
landlord or owner of a building, as opposed to space being offered in Occupied Space: Space that is physically occupied by a tenant.
a building by another tenant (or broker of a tenant) trying to sublet a It does not include leased space that is not currently occupied by a
space that has alreadybeen leased. tenant.

Existing Inventory: The square footage of buildings that have Outlet Center: Usually located in a rural or occasionally in a
received a certificate of occupancy and are able to be occupied by tourist location, an Outlet Center consists of manufacturer’s outlet
tenants.It does not include space in buildings that are either planned, stores selling their own brands at a discount.50,000–500,000 SF. An
under construction or under renovation. Outlet Center does not have to be anchored. A strip configuration is
most common,although some are enclosed malls and others can be
Freestanding Retail: Single tenant building with a retail tenant. arranged in avillage cluster.
Examples includevideo stores,fast food restaurant,etc.
Owner: The company,entity,or individual that holds title on a given
Full Service Rental Rate: Rentalratesthatincludealloperating building or property.
expenses such as utilities,electricity,janitorial services,taxes and insur-
ance. Planned/Proposed: The status of a building that has been
announced for future development but notyet started construction.
General Retail: Typically are single tenant freestanding general-
purpose commercial buildings with parking. Many single retail build- Power Center: The center typically consists of several freestand-
ings fall into this use code,especiallywhen they don’t meet any of the ing (unconnected) anchors and only a minimum amount of small
more detailed use code descriptions. specialtytenants.250,000–600,000 SF. APower Center is dominated
by several large anchors, including discount department stores, off-
Growth in Inventory: The change in size of the existing square price stores, warehouse clubs, or "category killers," i.e., stores that
footage in a given area over a given period of time,generally due to the offer tremendous selection in a particular merchandise category at
construction of newbuildings. low prices.

Landlord Rep: (Landlord Representative) In a typical lease Preleased Space: The amount of space in a building that has
transaction between an owner/landlord and tenant, the broker that been leased prior to its construction completion date, or certificate

©2014 CoStar Group, Inc. The CoStar Retail Report C

Phoenix – Mid-Year 2014

Phoenix Retail Market

of occupancydate. and constitute a generally accepted primary competitive set, or peer
group. Submarkets are building type specific (office, industrial, retail,
Price/SF: Calculated by dividing the price of a building (either sales etc.),with distinct boundaries dependent on different factors relevant
price or asking sales price) bythe Rentable BuildingArea (RBA). to each building type. Submarkets are non-overlapping, contiguous
geographic designations having a cumulative sum that matches the
Quoted Rental Rate: The asking rate per square foot for a par- boundaries of the Market theyare locatedwithin (See also:Market).
ticular building or unit of space by a broker or property owner.Quoted
rental rates may differ from the actual rates paid by tenants following Super Regional Mall: Similar to a regional mall, but because
the negotiation of all terms and conditions in a specific lease. of its larger size, a super regional mall has more anchors, a deeper
selection of merchandise, and draws from a larger population base.
RBA: Abbreviation for Rentable Building Area. (See also: Rentable Aswith regional malls,the typical configuration is as an enclosed mall,
Building Area) frequentlywith multiple levels (See also:Regional Mall).

Region: Core areas containing a large population nucleus, that Tenancy: Aterm used to indicatewhether or not a building is occu-
togetherwith adjacent communities have a high degree ofeconomic pied by multiple tenants (See also: Multi-tenant) or a single tenant.
and social integration. Regions are further divided into market areas, (See also:Single-tenant)
called Markets.(See also:Markets)
Tenant Rep: Tenant Rep stands for Tenant Representative. In a
Regional Mall: Provides shopping goods, general merchandise, typical lease transaction between an owner/landlord and tenant,
apparel, and furniture, and home furnishings in full depth and variety. the broker that represents the interests of the tenant is referred to as
It is built around the full-line department store with a minimum GLA aTenant Rep.
of100,000 square feet,as the major drawing power.For even greater
comparative shopping, two, three, or more department stores may Theme/Festival Center: Thesecenterstypicallyemployaunify-
be included.In theory a regional center has a GLA of 400,000 square ing theme that is carried out by the individual shops in their architec-
feet, and may range from 300,000 to more than 1,000,000 square tural design and, to an extent, in their merchandise. Sometimes the
feet.Regional centers in excess of 750,000 square feet GLAwith three biggest appeal of these centers is to tourists; they can be anchored
or more department stores are considered Super Regional. (See also: by restaurants and entertainment facilities. These centers, generally
Super Regional Mall). located in urban areas, tend to be adapted from older, sometimes
historic, buildings, and can be part of mixed-use projects. 80,000
Relet Space: Sometimes called second generation or direct space, –250,000 SF.
refers to existing space that has previously been occupied by another
tenant. Under Construction: The status of a building that is in the pro-
cess of being developed,assembled,built or constructed.A building is
Rentable Building Area: (RBA) The total square footage of considered to be under construction after it has begun construction
a building that can be occupied by, or assigned to a tenant for the and until it receives a certificate of occupancy.
purpose of determining a tenant’s rental obligation. Generally RBA
includes a percentage of common areas including all hallways, main Vacancy Rate: A measurement expressed as a percentage of
lobbies,bathrooms,and telephone closets. the total amount of physically vacant space divided by the total
amount of existing inventory. Under construction space generally is
Rental Rates: The annual costs of occupancy for a particular not included invacancycalculations.
space quoted on a per square foot basis.
Vacant Space: Space that is not currently occupied by a tenant,
Sales Price: The total dollar amount paid for a particular property regardless of any lease obligation that may be on the space.Vacant
at a particular point in time. space could be space that is either available or not available. For
example, sublease space that is currently being paid for by a tenant
Sales Volume: Thesumofsalespricesforagivengroupofbuildings but not occupied by that tenant,would be considered vacant space.
in a given time period. Likewise,space that has been leased but notyet occupied because of
finishwork being done,would also be consideredvacant space.
Seller: Theindividual,group,company,or entitythat sells a particular
commercial real estate asset. Weighted Average Rental Rate: Rental rates that are cal-
culated by factoring in, or weighting, the square footage associated
SF: Abbreviation for Square Feet. with each particular rental rate. This has the effect of causing rental
rates on larger spaces to affect the average more than that of smaller
Shopping Center: The combined retail center types of spaces. The weighted average rental rate is calculated by taking the
CommunityCenter,Neighborhood Center and Strip Center. ratio of the square footage associated with the rental rate on each
individual available space to the square footage associated with rental
Single-Tenant: Buildings that are occupied, or intended to be rates on all available spaces, multiplying the rental rate by that ratio,
occupied bya single tenant.(See also:Build-to-suit andTenancy) andthenaddingtogetheralltheresultingnumbers. Unlessspecifically
specifiedotherwise,rentalrateaveragesincludebothDirectandSublet
Specialty Center: The combined retail center types of Airport available spaces.
Retail,Outlet Center andTheme/Festival Center.
Year Built: The year in which a building completed construction
Sports & Entertainment: A facility suited for recreational andwas issued a certificate of occupancy.
activities, including: Amusement Facility, Aquatic Facility/Swimming
Pool, Bowling Alley, Casino/Gaming Facility, Equestrian Center/Stable, YTD: Abbreviation for Year-to-Date. Describes statistics that are
Fitness,Court and Spa Facility,Golf Related,Racetrack,Skating Rink,Ski cumulative from the beginning of a calendar year through whatever
Resort,SportsArena/Stadium,andTheatre/PerformingArt Facility. time period is being studied.

Strip Center: A strip center is an attached row of stores or service
outlets managed as a coherent retail entity,with on-site parking usu-
ally located in front of the stores. Open canopies may connect the
storefronts,but a strip center does not have enclosedwalkways linking
the stores.A strip center may be configured in a straight line, or have
an "L" or "U" shape.

Sublease Space: Space that has been leased by a tenant and is
being offered for lease back to the market by the tenant with the lease
obligation.Sublease space is sometimes referred to as sublet space.

Submarkets: Specific geographic boundaries that serve to delin-
eate a core group of buildings that are competitive with each other

D The CoStar Retail Report ©2014 CoStar Group, Inc.

Mid-Year 2014 – Phoenix

Phoenix Retail Market

Overview

Phoenix’s Vacancy Decreases to 10.3%
Net Absorption Positive 377,131 SF in the Quarter

T he Phoenix retail market experienced a slight improve- end of the third quarter 2013, there were 836,331 square feet
ment in market conditions in the second quarter 2014. of vacant sublease space. Currently, there are 742,788 square
The vacancy rate went from 10.5% in the previous quar- feet vacant in the market.
ter to 10.3% in the current quarter. Net absorption was posi-
tive 377,131 square feet, and vacant sublease space decreased Largest Lease Signings
by (69,084) square feet. Quoted rental rates increased from The largest lease signings occurring in 2014 included: the
first quarter 2014 levels, ending at $14.19 per square foot per
year. A total of 6 retail buildings with 38,420 square feet of 80,328-square-foot-lease signed by Floor & Decor at 1919 E
retail space were delivered to the market in the quarter, with Camelback Rd; the 50,000-square-foot-renewal-deal signed
435,566 square feet still under construction at the end of the by Best Buy at 1949 E Camelback Rd; and the 45,500-square-
quarter. foot-lease signed by Covered Wagon Antiques at 6225 E Main
St.
Net Absorption
Retail net absorption was moderate in Phoenix second Rental Rates
Average quoted asking rental rates in the Phoenix retail
quarter 2014, with positive 377,131 square feet absorbed in the
quarter. In first quarter 2014, net absorption was negative market are up over previous quarter levels, and up from their
(1,946) square feet, while in fourth quarter 2013, absorption levels four quarters ago. Quoted rents ended the second quar-
came in at positive 705,568 square feet. In third quarter 2013, ter 2014 at $14.19 per square foot per year. That compares to
positive 757,727 square feet was absorbed in the market. $14.09 per square foot in the first quarter 2014, and $14.03 per
square foot at the end of the third quarter 2013. This repre-
Vacancy sents a 0.7% increase in rental rates in the current quarter, and
Phoenix’s retail vacancy rate decreased in the second a 1.13% increase from four quarters ago.

quarter 2014, ending the quarter at 10.3%. Over the past Inventory & Construction
four quarters, the market has seen an overall decrease in the During the second quarter 2014, five buildings totaling
vacancy rate, with the rate going from 10.7% in the third quar-
ter 2013, to 10.5% at the end of the fourth quarter 2013, staying 35,420 square feet were completed in the Phoenix retail mar-
at 10.5% at the end of the first quarter 2014, and decreasing to ket. Over the past four quarters, a total of 650,648 square feet
10.3% in the current quarter. of retail space has been built in Phoenix. In addition to the
current quarter,12 buildings with 95,674 square feet were com-
The amount of vacant sublease space in the Phoenix pleted in first quarter 2014, 29 buildings totaling 451,750 square
market has trended down over the past four quarters. At the feet completed in fourth quarter 2013, and 67,804 square feet
in 12 buildings completed in third quarter 2013.

Vacancy Rates by Building Type 2006-2014

Power Center Specialty Center General Retail Shopping Center Mall Total Market

21% 2007 1q 2008 1q 2009 1q 2010 1q 2011 1q 2012 1q 2013 1q 2014 1q
19%
17%
15%
13%
11%
9%
7%
5%
3%

1%
2006 1q

Source: CoStar Property®

Absorption©2014 CoStar Group, Inc. & Deliveries Vacancy & RentThe CoStar Retail Report 1

Past 8 Quarters Past 8 Quarters

Phoenix � Mid-Year 2014

Phoenix Retail Market

Overview

There were 435,566 square feet of retail space under con- positive 270,219 square feet was absorbed in the fourth quarter
struction at the end of the second quarter 2014. 2013, and positive 217,978 square feet was absorbed in the third
quarter 2013.
Some of the notable 2014 deliveries include: 4725 N
Scottsdale Rd, a 15,757-square-foot facility that delivered in Power Centers
first quarter 2014 and is now 100% occupied, and 6045 N The Power Center average vacancy rate was 5.7% in the
Scottsdale Rd , a 12,500-square-foot building that delivered in
first quarter 2014 and is now 100% occupied. second quarter 2014. With negative (10,644) square feet of
net absorption and no new deliveries, the vacancy rate went
Total retail inventory in the Phoenix market area amount- from 5.6% at the end of last quarter to 5.7% at the end of the
ed to 216,033,155 square feet in 13,214 buildings and 1958 cen- second quarter.
ters as of the end of the second quarter 2014.
In the first quarter 2014, Power Centers absorbed positive
Shopping Center 68,101 square feet, delivered no new space, and the vacancy
The Shopping Center market in Phoenix currently consists rate went from 5.9% to 5.6% over the course of the quarter.
Rental started the quarter at $20.34 per square foot and
of 1871 projects with 104,868,327 square feet of retail space in ended the quarter at $20.87 per square foot.
4,632 buildings. In this report the Shopping Center market is
comprised of all Community Center, Neighborhood Center, A year ago, in second quarter 2013, the vacancy rate
and Strip Centers. was 6.8%. Over the past four quarters, Power Centers have
2006A-2f0te1r4absorbing 407,811 square feet and delivering 11,287 absorbed a cumulative 276,232 square feet of space and deliv-
square feet in the current quarter, the Shopping Center sector ered cumulative 6,100 square feet of space. Vacant sublease
Retail saShwopptihneg Cveantcerancy rMaatlle go fTrootaml Ma1r4k.e9t % at the end of the first space has gone from 157,298 square feet to 138,500 square
quarter 2014 to 14.6% this quarter. feet over that time period, and rental rates have gone from
$19.93 to $21.13.
Over the past four quarters, the Shopping Center vacancy
rate has gone from 15.3% at the end of the third quarter 2013, At the end of the second quarter 2014, there was no space
to 15.1% at the end of the fourth quarter 2013, to 14.9% at the under construction in the Phoenix market. The total stock of
end of the first quarter 2014, and finally to 14.6% at the end of Power Center space in Phoenix currently sits at 24,090,488
the current quarter. square feet in 51 centers comprised of 591 buildings.

Rental rates ended the second quarter 2014 at $13.53 per No space was under construction at the end of the sec-
square foot, up from the $13.48 they were at the end of first ond quarter 2014.
quarter 2014. Rental rates have trended down over the past
year, going from $13.62 per square foot a year ago to their cur- General Retail Properties
rent levels. The General Retail sector of the market, which includes

Net absorption in the Shopping Center sector has totaled all freestanding retail buildings, except those contained within
1,103,918 square feet over the past four quarters. In addition a center, reported a vacancy rate of 6.1% at the end of second
2010 1qto the p2o0s1i1ti1vqe 407,81120s1q2u1aqre feet a20b1s3o1rqbed this 2q0u14ar1tqer, posi- quarter 2014. There was a total of 3,789,021 square feet vacant
tive 207,910 square feet was absorbed in the first quarter 2014, at that time. The General Retail sector in Phoenix currently has
average rental rates of $13.71 per square foot per year. There
Vacancy & Rent Vacancy Rate are 112,789 square feet of space under construction in this
sector, with 27,133 square feet having been completed in the
Past 8 Quarters second quarter. In all, there are a total of 7,633 buildings with
62,131,384 square feet of General Retail space in Phoenix.
Average Rental Rate
Specialty Centers
Price in Dollars per Unit $15 12.5% Vacancy Rate Percentage There are currently 10 Specialty Centers in the Phoenix
$15 12.0%
$14 11.5% market, making up 2,060,720 square feet of retail space. In
$14 11.0% this report the Specialty Center market is comprised of Outlet
$14 10.5% Center, Airport Retail and Theme/Festival Centers.
$14 10.0%
$14 9.5% Specialty Centers in the Phoenix market have experienced
$14 9.0% negative (5,662) square feet of net absorption in 2014. The
$14 vacancy rate currently stands at 5.7%, and rental rates aver-
$14 age $9.74 per square foot.
$14
2013 1q 2013 3q 2014 1q
2012 3q

Source: CoStar Property®

2 The CoStar Retail Report ©2014 CoStar Group, Inc.

7%

5%

3% Mid-Year 2014 – Phoenix

Phoenix Retail Market1% 2007 1q 2008 1q 2009 1q 201
2006 1q

Overview Source: CoStar Property®

Malls Absorption & Deliveries
Malls recorded net absorption of positive 70,172 square
Past 8 Quarters
feet in the second quarter 2014. This net absorption number,
combined with no new space that was built in the quarter, Net Absorption Deliveries
caused the vacancy rate to go from 7.9% a quarter ago to 1.8
7.6% at the end of the second quarter 2014. Rental rates went
from $28.98 per square foot to $29.22 per square foot during 1.6 1.53
that time. In this report the Mall market is comprised of 26
Lifestyle Center, Regional Mall and Super Regional Malls. 1.4

Sales Activity 1.2
Tallying retail building sales of 15,000 square feet or larger,
Millions SF 1.0 0.85
Phoenix retail sales figures fell during the first quarter 2014
in terms of dollar volume compared to the fourth quarter of 0.8 0.76 0.71
2013. 0.6 0.45
0.61 0.50
In the first quarter, 35 retail transactions closed with 0.4 0.51
a total volume of $200,124,540. The 35 buildings totaled 0.2 0.150.16
1,446,933 square feet and the average price per square foot 0.38
equated to $138.31 per square foot. That compares to 35 trans- 0.0
actions totaling $201,875,997 in the fourth quarter 2013. The 0.13 0.07 0.10
total square footage in the fourth quarter was 1,937,538 square (0.2)
feet for an average price per square foot of $104.19. 2012 3q 0.04

Total retail center sales activity in 2014 was up compared 2013 1q 2013 3q (0.00)
to 2013. In the first three months of 2014, the market saw 35 2014 1q
retail sales transactions with a total volume of $200,124,540.
The price per square foot averaged $138.31. In the same first Source: CoStar Property®
three months of 2013, the market posted 32 transactions with
a total volume of $97,321,377. The price per square foot aver- Cap rates have been higher in 2014, averaging 8.46%
aged $58.83. compared to the same period in 2013 when they averaged
8.21%.

One of the largest transactions that has occurred within
the last four quarters in the Phoenix market is the sale of The
Shea Scottsdale in Scottsdale. This 160,228 square foot retail
center sold for $44,500,000, or $277.73 per square foot. The
property sold on 2/4/2014.

Reports compiled by: Scott Stephenson, CoStar Research Manager;
Tom Summers, CoStar Research Manager.

©2014 CoStar Group, Inc. The CoStar Retail Report 3

Phoenix � Mid-Year 2014

Phoenix Retail Market

Markets

CoStar Submarket Clusters & Submarkets

In analyzing metropolitan areas, CoStar has developed geographic designations to help group properties together, called
Markets, Submarket Clusters and Submarkets. Markets are the equivalent of metropolitan areas, or areas containing a large
population nucleus, that together with adjacent communities have a high degree of economic and social integration. Markets
are then divided into Submarket Clusters, which are core areas within a metropolitan area that are known to be competitive
with each other in terms of attracting and keeping tenants. Markets are then further subdivided into smaller units called
Submarkets, which serve to delineate a core group of buildings that are competitive with each other and constitute a generally
accepted competitive set, or peer group.

Submarket Clusters Submarkets South Phoenix Ret Gilbert Ret Queen Creek Ret
AirportArea Ret AirportArea Ret
Downtown Phoenix Ret Downtown Phoenix Ret GatewayAirport Ret N Phoenix/I-17 Corr Ret Sun CityRet
East Valley Ret Chandler Ret Tempe Ret North Scottsdale Ret Surprise/North Peoria Ret
Red Mountain/Mesa Ret WOutlying Maricopa Ret Deer Valley Ret
Maricopa CountyRet NE Outlying Maricopa Ret Glendale Ret
North Phoenix Ret East Phoenix Ret Fountain Hills Ret Laveen Ret South Mountain Ret
North Scottsdale Ret Carefree Ret Ctrl Peoria/Arrowhead Ret North Buckeye Ret
Northwest Phoenix Ret Anthem Ret Outlying Pinal CountyRet N Goodyear/Litchfield Ret
Pinal CountyRet ApacheJunction Ret South Scottsdale Ret West Phoenix/Maryvale Ret
Scottsdale Ret Central Scottsdale Ret Gila River Outlying Ret
South Mountain Ret Ahwatukee Foothills Ret Loop101/I-10 Ret
West Phoenix Ret Goodyear Ret Tolleson Ret
South Buckeye Ret

4 The CoStar Retail Report ©2014 CoStar Group, Inc.

Mid-Year 2014 – Phoenix

Phoenix Retail Market

Inventory & development

Historical Deliveries 1982 - 2014

14.0 Deliveries Average Delivered SF
12.0

12.0

10.0 9.2 9.2 9.0
8.5
Millions of SF
8.0 7.2 6.8 7.2 7.2 7.2
6.2 5.6
5.9
6.0 5.5 4.9 5.1 5.1
4.7

4.0 3.9 3.8 3.7 3.0
2.0 2.6 2.8
2.4 2.0

2.0 1.1 0.9 0.9 1.1 1.1
0.5

0.0 1986 1990 1994 1998 2002 2006 2010 2014
1982
* Future deliveries based on current under construction buildings.
Source: CoStar Property®

Construction Activity Markets Ranked by Under Construction Square Footage

Under Construction Inventory Average Bldg Size

Market # Bldgs Total GLA Preleased SF Preleased % All Existing U/C
North Phoenix Ret 4 101,594 71,323 70.2%
15,443 25,398

East Valley Ret 4 101,085 83,248 82.4% 18,651 25,271

Northwest Phoenix Ret 3 98,679 98,679 100.0% 20,780 32,893

North Scottsdale Ret 8 74,895 31,289 41.8% 23,165 9,362

West Phoenix Ret 6 41,538 31,925 76.9% 16,562 6,923

Pinal County Ret 1 10,775 0 0.0% 10,435 10,775

Downtown Phoenix Ret 1 7,000 7,000 100.0% 8,940 7,000

Maricopa County Ret 0 0 0 0.0% 6,828 0

Scottsdale Ret 0 0 0 0.0% 15,999 0

South Mountain Ret 0 0 0 0.0% 19,981 0

All Other 0 0 0 0.0% 8,293 0

Totals 27 435,566 323,464 74.3% 16,349 16,132

Source: CoStar Property®

Recent Deliveries Future Deliveries

Leased & Un-Leased SF in Deliveries Since 2010 Preleased & Un-Leased SF in Properties Scheduled to Deliver

Leased Un-Leased Preleased Un-Leased
1.4 2015 1q
200
1.2 180
160

1.0 140

Millions of SF 120 T
Thousands of SF
0.8

100

0.6 80
60
0.4 40
20
0.2

0.0 2012 2014 0
2010 2014 3q

Source: CoStar Property® Source: CoStar Property®

©2014 CoStar Group, Inc. The CoStar Retail Report 5

Phoenix � Mid-Year 2014

Phoenix Retail Market

Inventory & development

Historical Construction Starts & Deliveries

Square Footage Per Quarter Starting and Completing Construction

Construction Starts Deliveries
0.9

0.81
0.8

0.7 0.61

Millions of SF 0.6

0.50

0.5 0.45 0.45
0.4 0.38

0.3 0.29 0.25

0.20 0.17 0.20 0.21
0.11 0.14
0.2 0.100.13 0.160.16 0.14 0.17
0.1 0.07
0.13 0.070.10

0.070.08 0.07 0.04

0.0
2011 1q 2011 2q 2011 3q 2011 4q 2012 1q 2012 2q 2012 3q 2012 4q 2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q

Source: CoStar Property®

Recent Deliveries by Project Size of Year-to-Date Development

Building Size # Bldgs GLA SF Leased % Leased Avg Rate Single-Tenant Multi-Tenant

< 50,000 SF 18 134,094 99,408 74.1% $13.52 76,592 57,502

50,000 SF - 99,999 SF 0 0 0 0.0% $0.00 00

100,000 SF - 249,999 SF 0 0 0 0.0% $0.00 00

250,000 SF - 499,999 SF 0 0 0 0.0% $0.00 00

>= 500,000 SF 0 0 0 0.0% $0.00 00

Source: CoStar Property®

Recent Development by Tenancy Existing Inventory Comparison

Based on GLA Developed for Single & Multi Tenant Use Based on Total GLA

2014 Deliveries Currently Under Construction

Shopping Center

General Retail

57% 41% Power Center

43% 59%

Mall

Specialty Center

Multi Single Multi Single Millions of SF 0 20 40 60 80 100 120

Source: CoStar Property® Source: CoStar Property®

6 The CoStar Retail Report ©2014 CoStar Group, Inc.

Mid-Year 2014 – Phoenix

Phoenix Retail Market

Inventory & development

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Phoenix � Mid-Year 2014

Phoenix Retail Market

Inventory & development

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8

Mid-Year 2014 – Phoenix

Phoenix Retail Market

Figures at a Glance

General Retail Market Statistics Mid-Year 2014

Existing Inventory Vacancy YTD Net YTD Under Quoted
Total SF Absorption Deliveries
Market # Blds Total GLA Direct SF 104,962 Vac % Const SF Rates
Airport Area Ret 103,862 492,006 4.5% (3,908) 16,426
Downtown Phoenix Ret 530 2,329,739 492,006 1,025,811 12.1% (46,093) 0 0 $11.36
East Valley Ret 951,206 44,015 6.1% (21,733)
Maricopa County Ret 616 4,070,468 44,015 8.0% 21,020 7,000 $13.57
6.7% 10,313 0
1,814 16,936,408 5.8% (87,759) 21,700 $12.33
4.2% (18,096) 6,300
95 550,990 3.1% 0 0 $8.39
6.9% 4,500 0
North Phoenix Ret 1,519 12,129,880 773,108 817,708 2.5% 7,877 0 41,594 $11.38
4.7% 96,792
North Scottsdale Ret 325 4,640,417 265,252 267,569 6.1% 12,976 45,364 0 $18.52
16,758 6,894
Northwest Phoenix Ret 389 4,261,115 179,504 179,504 (28,373) 0 4,307 $14.83
96,004
Pinal County Ret 645 3,822,949 101,112 117,257 10,775 $11.40

Scottsdale Ret 804 6,040,280 417,813 417,813 0 $20.32

South Mountain Ret 121 943,654 20,264 23,134 0 $19.81

West Phoenix Ret 775 6,405,484 299,242 299,242 27,413 $14.34
Totals 7,633 62,131,384 3,647,384 3,789,021
112,789 $13.71

Source: CoStar Property®

Mall Market Statistics Mid-Year 2014

Existing Inventory Vacancy YTD Net YTD Under Quoted
Absorption Deliveries
Market # Ctrs Total GLA Direct SF Total SF Vac % Const SF Rates
Airport Area Ret 0.0% 0 0
00 00 0.0% 0 0 0 $0.00
7.1% (236,100) 0
Downtown Phoenix Ret 0 0 00 0.0% 0 0 0 $0.00
21.0% 0 0
East Valley Ret 9 9,269,400 657,890 657,890 2.5% 2,412 0 0 $26.93
4.7% (5,850) 0
Maricopa County Ret 0 0 00 8.4% (18,642) 0 0 $0.00
5.4% (5,778) 0
North Phoenix Ret 4 3,065,713 644,955 644,955 0.0% 0 0 0 $0.00
1.7% 0 0
North Scottsdale Ret 6 3,622,225 86,075 91,747 7.6% (263,958) 0 $15.66
0
Northwest Phoenix Ret 2 1,692,272 79,924 79,924 0 $28.26

Pinal County Ret 1 867,313 72,815 72,815 0 $0.00

Scottsdale Ret 3 3,367,526 181,803 181,803 0 $38.34

South Mountain Ret 0 0 00 0 $0.00

West Phoenix Ret 1 997,787 17,368 17,368 0 $0.00
Totals 26 22,882,236
1,740,830 1,746,502 0 $29.22

Source: CoStar Property®

Power Center Market Statistics Mid-Year 2014

Existing Inventory Vacancy YTD Net YTD Under Quoted
Total SF Absorption Deliveries
Market # Ctrs Total GLA Direct SF 74,530 Vac % Const SF Rates
Airport Area Ret 50,588 5.2% (7,229) 0
3 1,438,542 0.0% 0 0 0 $23.20
7.8% 0
Downtown Phoenix Ret 0 000 0.0% (40,368) 0 0 $0.00
2.4% 0 0
East Valley Ret 15 7,616,903 574,132 593,318 6.0% 0 0 $19.43
3.3% 25,180 0
Maricopa County Ret 0 000 2.8% 8,596 0 0 $0.00
6.8% 35,586 0
North Phoenix Ret 5 2,220,244 53,759 53,759 5.0% 0 0 $19.06
5.4% 0 0
North Scottsdale Ret 5 2,061,799 122,925 122,925 5.7% 5,309 0 $22.70
17,904 0
Northwest Phoenix Ret 7 3,279,413 54,300 109,417 12,479 0 $29.04
57,457
Pinal County Ret 1 244,219 6,950 6,950 0 $0.00

Scottsdale Ret 3 1,772,760 120,408 120,408 0 $23.00

South Mountain Ret 3 1,467,715 54,251 73,791 0 $20.81

West Phoenix Ret 9 3,988,893 194,932 215,647 0 $20.52
Totals
51 24,090,488 1,232,245 1,370,745 0 $21.13

Source: CoStar Property®

©2014 CoStar Group, Inc. The CoStar Retail Report 9

Phoenix � Mid-Year 2014

Phoenix Retail Market

Figures at a Glance

Shopping Center Market Statistics Mid-Year 2014

Existing Inventory Vacancy YTD Net YTD Under Quoted
Total SF Absorption Deliveries
Market # Ctrs Total GLA Direct SF 173,236 Vac % Const SF Rates
Airport Area Ret 172,686 319,729 11.4% 6,477 0
Downtown Phoenix Ret 58 1,514,184 319,729 6,536,557 13.8% (21,562) 0 0 $12.53
East Valley Ret 0 17.9% 17,873 25,745
Maricopa County Ret 68 2,313,768 6,376,791 0.0% 0 0 $11.41
0 2,450 7,000
587 36,590,953 389,360 0 79,385 $12.86
0
7 152,245 12,133 0 0 $0.00
30,560 0
North Phoenix Ret 441 21,094,846 3,365,991 3,465,034 16.4% 14,539 0 0 $13.10
87,183 5,345
North Scottsdale Ret 114 6,910,429 800,306 832,236 12.0% 20,246 38,090 74,895 $18.29
56,462
Northwest Phoenix Ret 136 9,589,225 929,674 1,005,357 10.5% 615,721 94,372 $15.80

Pinal County Ret 78 4,016,785 537,361 537,361 13.4% 0 $11.03

Scottsdale Ret 154 8,083,139 816,017 827,794 10.2% 0 $17.72

South Mountain Ret 53 3,786,105 335,609 337,359 8.9% 0 $17.11

West Phoenix Ret 175 10,816,648 1,164,114 1,240,594 11.5% 14,125 $12.98
Totals 1,871 104,868,327 14,818,278 15,275,257 14.6%
262,777 $13.53

Source: CoStar Property®

Specialty Center Market Statistics Mid-Year 2014

Existing Inventory Vacancy YTD Net YTD Under Quoted
Total SF Absorption Deliveries
Market # Ctrs Total GLA Direct SF 0 Vac % Const SF Rates
Airport Area Ret 0 0.0% 0 0
00 2,491 0 0 $0.00
1,485 0
Downtown Phoenix Ret 1 133,387 8,295 8,295 6.2% 0 0 $0.00
0 0
East Valley Ret 2 217,717 11,403 11,403 5.2% 0 0 0 $15.76
0 0
Maricopa County Ret 0 0 0 0 0.0% (9,638) 0 0 $0.00
0 0
North Phoenix Ret 1 328,000 0 0 0.0% 0 0 60,000 $0.00
0 0
North Scottsdale Ret 0 0 0 0 0.0% 0 0 $0.00
(5,662) 0
Northwest Phoenix Ret 2 544,781 33,223 33,223 6.1% 0 $19.37

Pinal County Ret 1 199,863 65,000 65,000 32.5% 0 $6.00

Scottsdale Ret 1 15,000 0 0 0.0% 0 $0.00

South Mountain Ret 1 356,184 0 0 0.0% 0 $0.00

West Phoenix Ret 1 265,788 0 0 0.0% 0 $0.00
Totals
10 2,060,720 117,921 117,921 5.7% 60,000 $9.74

Source: CoStar Property®

Total Retail Market Statistics Mid-Year 2014

Existing Inventory Vacancy YTD Net YTD Under Quoted
Total SF Absorption Deliveries
Market # Blds Total GLA Direct SF 352,728 Vac % Const SF Rates
Airport Area Ret 327,136 6.7% (4,660) 16,426
637 5,282,465 12.6% (65,164) 0 0 $14.14
12.5% (278,843)
Downtown Phoenix Ret 729 6,517,623 820,030 820,030 6.3% 46,765 7,000 $12.68
12.8% 12,763 0
East Valley Ret 3,787 70,631,381 8,571,422 8,824,979 7.6% 326,781 101,085 $13.35
7.3% 13,300
Maricopa County Ret 103 703,235 44,015 44,015 8.7% 5,045 0 0 $8.39
8.0% 55,158 0
North Phoenix Ret 2,515 38,838,683 4,837,813 4,981,456 6.6% 3,774 0 101,594 $12.86
7.9% 183,506
North Scottsdale Ret 744 17,234,870 1,274,558 1,314,477 10.3% 51,126 45,364 74,895 $18.39
85,699 6,894
Northwest Phoenix Ret 932 19,366,806 1,276,625 1,407,425 375,185 5,345 98,679 $16.73

Pinal County Ret 877 9,151,129 783,238 799,383 134,094 10,775 $10.41

Scottsdale Ret 1,205 19,278,705 1,536,041 1,547,818 0 $21.09

South Mountain Ret 328 6,553,658 410,124 434,284 0 $17.61

West Phoenix Ret 1,357 22,474,600 1,675,656 1,772,851 41,538 $13.37
Totals 13,214
216,033,155 21,556,658 22,299,446 435,566 $14.19

Source: CoStar Property®

10 The CoStar Retail Report ©2014 CoStar Group, Inc.

Mid-Year 2014 – Phoenix

Phoenix Retail Market

Figures at a Glance

General Retail Submarket Statistics Mid-Year 2014

Existing Inventory Vacancy YTD Net YTD Under Quoted
Absorption Deliveries Const SF Rates
Market # Blds Total GLA Direct SF Total SF Vac %
4.1% 9,001 3,669
Ahwatukee Foothills . 64 385,033 12,983 15,853 (22,010) 0 0 $23.19
(9,675) 0
Airport Area Ret 328 1,485,188 81,452 82,552 5.6% (3,277) 0 0 $10.63
(5,600) 0
Anthem Ret 54 853,619 48,301 48,301 5.7% 36,927 4,307 $12.28
45,364
Apache Junction Ret 97 796,321 19,564 19,564 2.5% 41,551 12,000 0 $12.00
16,330
Carefree Ret 59 515,368 36,174 36,174 7.0% 0 0 $17.66
(805) 0
Central Scottsdale R. 506 3,457,182 168,620 168,620 4.9% (46,093) 0 0 $23.90
(43,572) 0
Chandler Ret 288 3,461,523 53,671 77,301 2.2% 0 0 $13.34
(2,375) 0
Ctrl Peoria/Arrowhea. 133 1,715,799 73,259 73,259 4.3% 1,336 0 0 $14.85
0 700
Deer Valley Ret 74 471,514 33,236 33,236 7.0% 0 0 $16.75
21,383 0
Downtown Phoenix Ret 616 4,070,468 492,006 492,006 12.1% (7,540) 3,225 7,000 $13.57
7,330 0
East Phoenix Ret 450 3,020,646 312,431 312,431 10.3% 0 0 $9.58
3,725 6,300
Fountain Hills Ret 62 344,917 51,554 51,709 15.0% (2,180) 0 0 $15.82
(3,584) 0
Gateway Airport Ret 47 616,229 20,228 40,171 6.5% (36,751) 0 0 $13.43
0
Gila River Outlyin.g 0 0 0 0 0.0% 0 0 0 $0.00
(5,720) 8,320
Gilbert Ret 298 2,851,453 57,953 75,172 2.6% (10,121) 0 0 $23.80
11,154 0
Glendale Ret 453 3,364,732 161,322 161,322 4.8% (7,100) 16,426 6,200 $9.12
(59,129) 0
Goodyear Ret 102 780,105 48,137 48,137 6.2% 13,270 0 27,413 $15.23
0
Laveen Ret 18 116,445 0 0 0.0% 250 0 0 $0.00
18,102 0
Loop 101/I-10 Ret 58 889,622 18,903 18,903 2.1% 59,865 0 0 $15.02
0
N Goodyear/Litchfiel. 49 608,280 9,783 9,783 1.6% 104 96,004 0 $19.11
(1,350)
N Phoenix/I-17 Corr . 476 4,542,142 287,330 331,930 7.3% (19,774) 18,000 $11.40
15,459
NE Outlying Maricopa. 1 4,722 0 0 0.0% 10,313 0 $0.00
(7,817)
North Buckeye Ret 3 44,011 5,720 5,720 13.0% (28,373) 0 $0.00

North Scottsdale Ret 204 3,780,132 177,524 179,686 4.8% 0 $19.21

Outlying Pinal Count. 548 3,026,628 81,548 97,693 3.2% 10,775 $11.33

Queen Creek Ret 22 149,815 15,974 15,974 10.7% 0 $14.73

Red Mountain/Mesa Re. 878 7,773,577 696,778 710,591 9.1% 21,700 $10.02

South Buckeye Ret 89 437,038 3,729 3,729 0.9% 0 $0.00

South Mountain Ret 39 442,176 7,281 7,281 1.6% 0 $12.00

South Phoenix Ret 202 844,551 22,410 22,410 2.7% 0 $13.98

South Scottsdale Ret 298 2,583,098 249,193 249,193 9.6% 0 $15.13

Sun City Ret 140 1,202,360 12,025 12,025 1.0% 17,394 $17.10

Surprise/North Peori. 128 1,220,183 24,708 24,708 2.0% 0 $26.00

Tempe Ret 281 2,083,811 106,602 106,602 5.1% 0 $15.05

Tolleson Ret 163 1,007,269 38,967 38,967 3.9% 0 $16.48

W Outlying Maricopa . 94 546,268 44,015 44,015 8.1% 0 $8.39

West Phoenix/Maryval. 311 2,639,159 174,003 174,003 6.6% 0 $12.01
Totals 7,633 62,131,384 3,647,384 3,789,021 6.1% 112,789 $13.71

Source: CoStar Property®

©2014 CoStar Group, Inc. The CoStar Retail Report 11

Phoenix � Mid-Year 2014

Phoenix Retail Market

Figures at a Glance

Mall Submarket Statistics Mid-Year 2014

Existing Inventory Vacancy YTD Net YTD Under Quoted
Total SF Absorption Deliveries Const SF Rates
Market # Ctrs Total GLA Direct SF 0 Vac %
0.0% 0 0
Ahwatukee Foothil.ls 0 00 0 0 0 $0.00
0 0
Airport Area Ret 0 0 0 0 0.0% 0 0 0 $0.00
0 0
Anthem Ret 0 0 0 0 0.0% (5,778) 0 0 $0.00
1,380 0
Apache Junction Ret 0 0 0 0 0.0% (4,777) 0 0 $0.00
(1,073) 0
Carefree Ret 0 0 0 0 0.0% 0 0 0 $0.00
0 0
Central Scottsdale R. 3 3,367,526 181,803 181,803 5.4% 0 0 0 $38.34
0 0
Chandler Ret 1 1,304,278 16,411 16,411 1.3% 0 0 0 $35.79
(3,930) 0
Ctrl Peoria/Arrowhea. 1 1,347,498 17,833 17,833 1.3% 0 0 0 $25.91
0 0
Deer Valley Ret 1 344,774 62,091 62,091 18.0% 0 0 0 $28.50
0 0
Downtown Phoenix Ret 0 0 0 0 0.0% 0 0 0 $0.00
0 0
East Phoenix Ret 0 0 0 0 0.0% 0 0 0 $0.00
0 0
Fountain Hills Ret 0 0 0 0 0.0% 2,412 0 0 $0.00
(18,642) 0
Gateway Airport Ret 0 0 0 0 0.0% 0 0 0 $0.00
(147,054) 0
Gila River Outlyin.g 0 0 0 0 0.0% 0 0 0 $0.00
0 0
Gilbert Ret 3 2,428,669 151,742 151,742 6.2% 0 0 0 $30.00
0 0
Glendale Ret 2 536,639 68,499 68,499 12.8% 0 0 0 $0.00
0 0
Goodyear Ret 0 0 0 0 0.0% (86,496) 0 0 $0.00
0 0
Laveen Ret 0 0 0 0 0.0% 0 0 0 $0.00
0 0
Loop 101/I-10 Ret 0 0 0 0 0.0% (263,958) 0 $0.00
0
N Goodyear/Litchfiel. 0 0 0 0 0.0% 0 $0.00

N Phoenix/I-17 Co. rr 2 2,529,074 576,456 576,456 22.8% 0 $0.00

NE Outlying Maricopa. 0 0 0 0 0.0% 0 $0.00

North Buckeye Ret 0 0 0 0 0.0% 0 $0.00

North Scottsdale Ret 6 3,622,225 86,075 91,747 2.5% 0 $15.66

Outlying Pinal Count. 1 867,313 72,815 72,815 8.4% 0 $0.00

Queen Creek Ret 0 0 0 0 0.0% 0 $0.00

Red Mountain/Mesa Re. 3 3,217,093 275,831 275,831 8.6% 0 $20.00

South Buckeye Ret 0 0 0 0 0.0% 0 $0.00

South Mountain Ret 0 0 0 0 0.0% 0 $0.00

South Phoenix Ret 0 0 0 0 0.0% 0 $0.00

South Scottsdale Ret 0 0 0 0 0.0% 0 $0.00

Sun City Ret 0 0 0 0 0.0% 0 $0.00

Surprise/North Peori. 0 0 0 0 0.0% 0 $0.00

Tempe Ret 2 2,319,360 213,906 213,906 9.2% 0 $33.71

Tolleson Ret 0 0 0 0 0.0% 0 $0.00

W Outlying Maricop. a 0 0 0 0 0.0% 0 $0.00

West Phoenix/Maryval. 1 997,787 17,368 17,368 1.7% 0 $0.00
Totals 26 22,882,236 1,740,830 1,746,502 7.6% 0 $29.22

Source: CoStar Property®

12 The CoStar Retail Report ©2014 CoStar Group, Inc.

Mid-Year 2014 – Phoenix

Phoenix Retail Market

Figures at a Glance

Power Center Submarket Statistics Mid-Year 2014

Existing Inventory Vacancy YTD Net YTD Under Quoted
Absorption Deliveries Const SF Rates
Market # Ctrs Total GLA Direct SF Total SF Vac %
5.9% 0 0
Ahwatukee Foothil.ls 1 685,847 40,385 40,385 (7,229) 0 0 $0.00
0
Airport Area Ret 3 1,438,542 50,588 74,530 5.2% 0 0 0 $23.20
0 0
Anthem Ret 0 0 0 0 0.0% 1,430 0 0 $0.00
5,309 0
Apache Junction Ret 0 0 0 0 0.0% 22,943 0 0 $0.00
1,169 0
Carefree Ret 1 314,796 0 0 0.0% 31,987 0 0 $0.00
0 0
Central Scottsdale R. 3 1,772,760 120,408 120,408 6.8% 23,634 0 0 $23.00
0 0
Chandler Ret 6 2,382,742 302,393 302,393 12.7% (3,676) 0 0 $17.34
0 0
Ctrl Peoria/Arrowhea. 4 1,518,647 29,779 54,779 3.6% (1,132) 0 0 $29.04
1,796 0
Deer Valley Ret 1 726,075 10,003 10,003 1.4% 12,841 0 0 $0.00
9,443 0
Downtown Phoenix Ret 0 0 0 0 0.0% 4,286 0 0 $0.00
(8,259) 0
East Phoenix Ret 1 593,799 6,530 6,530 1.1% (250) 0 0 $30.05
0 0
Fountain Hills Ret 0 0 0 0 0.0% 0 0 0 $0.00
7,166 0
Gateway Airport Ret 1 999,738 6,576 6,576 0.7% 0 0 0 $0.00
4,180 0
Gila River Outlyin.g 0 0 0 0 0.0% (62,683) 0 0 $0.00
0 0
Gilbert Ret 2 1,403,686 16,210 17,396 1.2% 8,461 0 0 $16.79
0 0
Glendale Ret 2 903,723 11,979 11,979 1.3% 0 0 0 $21.14
0 0
Goodyear Ret 2 877,271 74,476 93,791 10.7% 2,430 0 0 $18.26
0 0
Laveen Ret 1 340,887 9,705 29,245 8.6% 2,811 0 0 $17.86
0 0
Loop 101/I-10 Ret 1 537,058 5,854 5,854 1.1% 800 0 $0.00
57,457 0
N Goodyear/Litchfiel. 3 1,077,547 82,835 82,835 7.7% 0 $21.21

N Phoenix/I-17 Co. rr 2 722,722 35,250 35,250 4.9% 0 $11.69

NE Outlying Maricopa. 0 0 0 0 0.0% 0 $0.00

North Buckeye Ret 0 0 0 0 0.0% 0 $0.00

North Scottsdale Ret 4 1,747,003 122,925 122,925 7.0% 0 $22.70

Outlying Pinal Count. 1 244,219 6,950 6,950 2.8% 0 $0.00

Queen Creek Ret 2 884,016 46,453 64,453 7.3% 0 $20.33

Red Mountain/Mesa Re. 4 1,946,721 202,500 202,500 10.4% 0 $24.86

South Buckeye Ret 1 617,498 20,354 20,354 3.3% 0 $24.00

South Mountain Ret 1 440,981 4,161 4,161 0.9% 0 $28.00

South Phoenix Ret 0 0 0 0 0.0% 0 $0.00

South Scottsdale Ret 0 0 0 0 0.0% 0 $0.00

Sun City Ret 0 0 0 0 0.0% 0 $0.00

Surprise/North Peori. 2 1,034,691 14,518 44,635 4.3% 0 $0.00

Tempe Ret 0 0 0 0 0.0% 0 $0.00

Tolleson Ret 1 278,213 11,413 12,813 4.6% 0 $0.00

W Outlying Maricop. a 0 0 0 0 0.0% 0 $0.00

West Phoenix/Maryval. 1 601,306 0 0 0.0% 0 $26.00
1,232,245 1,370,745 5.7% 0 $21.13
Totals 51 24,090,488

Source: CoStar Property®

©2014 CoStar Group, Inc. The CoStar Retail Report 13

Phoenix � Mid-Year 2014

Phoenix Retail Market

Figures at a Glance

Shopping Center Submarket Statistics Mid-Year 2014

Existing Inventory Vacancy YTD Net YTD Under Quoted
Absorption Deliveries Const SF Rates
Market # Ctrs Total GLA Direct SF Total SF Vac %
10.9% (24,756) 0
Ahwatukee Foothills . 28 2,087,413 226,280 228,030 11,633 0 0 $16.81
(8,091) 0
Airport Area Ret 36 858,003 114,046 114,596 13.4% 6,985 0 0 $12.53
14,284 0
Anthem Ret 15 1,334,853 116,514 116,514 8.7% 74,597 0 0 $16.37
0
Apache Junction Ret 13 784,515 70,783 70,783 9.0% (70,178) 0 0 $10.39
25,024 0
Carefree Ret 30 905,617 179,108 179,108 19.8% 0 0 $18.81
6,238 0
Central Scottsdale R. 118 6,642,626 632,088 637,088 9.6% (21,562) 0 0 $20.18
19,503 0
Chandler Ret 128 9,206,919 1,444,088 1,519,607 16.5% 0 0 $13.91
609 4,287
Ctrl Peoria/Arrowhea. 62 5,222,198 522,633 525,608 10.1% 21,977 7,000 0 $14.95
0
Deer Valley Ret 12 505,779 69,393 111,897 22.1% 0 0 0 $17.71
(6,562) 0
Downtown Phoenix Ret 68 2,313,768 319,729 319,729 13.8% 219,062 5,345 0 $11.41
(19,454) 0
East Phoenix Ret 118 4,786,685 714,787 737,287 15.4% 26,061 0 0 $13.03
24,288 0
Fountain Hills Ret 17 350,633 37,786 37,786 10.8% 0 0 $13.44
1,047 0
Gateway Airport Ret 17 1,116,073 125,479 125,479 11.2% 144,130 21,458 0 $15.06
0
Gila River Outlyin.g 0 0 0 0 0.0% 0 0 0 $0.00
0 0
Gilbert Ret 99 6,592,137 859,036 873,494 13.3% (2,760) 0 25,787 $14.72
7,554 0
Glendale Ret 127 5,998,848 850,876 877,816 14.6% 4,513 0 0 $12.88
33,387 0
Goodyear Ret 31 1,668,651 286,061 347,710 20.8% 3,000 0 4,512 $14.28
18,941 0
Laveen Ret 11 902,251 30,971 30,971 3.4% (5,156) 0 0 $21.00
12,586 0
Loop 101/I-10 Ret 19 1,191,897 100,639 107,373 9.0% 6,665 38,090 0 $18.64
7,389
N Goodyear/Litchfiel. 28 2,400,395 187,052 187,052 7.8% 34,736 9,613 $16.39
35,840
N Phoenix/I-17 Corr . 154 8,306,703 1,448,888 1,498,491 18.0% 2,450 0 $12.76
11,741
NE Outlying Maricopa. 0 0 0 0 0.0% 615,721 0 $0.00

North Buckeye Ret 1 60,000 0 0 0.0% 0 $0.00

North Scottsdale Ret 67 5,654,179 583,412 615,342 10.9% 74,895 $18.79

Outlying Pinal Count. 65 3,232,270 466,578 466,578 14.4% 0 $11.11

Queen Creek Ret 10 312,110 47,969 47,969 15.4% 0 $13.63

Red Mountain/Mesa Re. 263 15,770,691 3,518,125 3,556,671 22.6% 53,598 $11.85

South Buckeye Ret 7 350,734 62,439 62,439 17.8% 0 $10.35

South Mountain Ret 14 796,441 78,358 78,358 9.8% 0 $14.30

South Phoenix Ret 22 656,181 58,640 58,640 8.9% 0 $12.53

South Scottsdale Ret 36 1,440,513 183,929 190,706 13.2% 0 $12.99

Sun City Ret 42 2,002,610 351,440 351,440 17.5% 0 $14.89

Surprise/North Peori. 47 2,526,395 221,134 251,338 9.9% 94,372 $16.66

Tempe Ret 70 3,593,023 382,094 413,337 11.5% 0 $13.68

Tolleson Ret 26 1,266,082 68,778 68,778 5.4% 0 $13.03

W Outlying Maricop. a 7 152,245 0 0 0.0% 0 $0.00

West Phoenix/Maryval. 63 3,878,889 459,145 467,242 12.0% 0 $10.62
Totals 1,871 104,868,327 14,818,278 15,275,257 14.6% 262,777 $13.53

Source: CoStar Property®

14 The CoStar Retail Report ©2014 CoStar Group, Inc.

Mid-Year 2014 – Phoenix

Phoenix Retail Market

Figures at a Glance

Specialty Center Submarket Statistics Mid-Year 2014

Existing Inventory Vacancy YTD Net YTD Under Quoted
Absorption Deliveries Const SF Rates
Market # Ctrs Total GLA Direct SF Total SF Vac %
0.0% 0 0
Ahwatukee Foothil.ls 0 000 0 0 0 $0.00
0 0
Airport Area Ret 0 0 0 0 0.0% 0 0 0 $0.00
0 0
Anthem Ret 1 324,000 0 0 0.0% 0 0 0 $0.00
0 0
Apache Junction Ret 0 0 0 0 0.0% (9,638) 0 0 $0.00
0 0
Carefree Ret 0 0 0 0 0.0% 2,491 0 0 $0.00
0 0
Central Scottsdale R. 1 15,000 0 0 0.0% 0 0 0 $0.00
0 0
Chandler Ret 0 0 0 0 0.0% 0 0 0 $0.00
0 0
Ctrl Peoria/Arrowhea. 1 220,781 33,223 33,223 15.0% 0 0 0 $19.37
0 0
Deer Valley Ret 0 0 0 0 0.0% 0 0 0 $0.00
0 0
Downtown Phoenix Ret 1 133,387 8,295 8,295 6.2% 0 0 0 $0.00
0 0
East Phoenix Ret 0 0 0 0 0.0% 0 0 0 $0.00
0 0
Fountain Hills Ret 0 0 0 0 0.0% 0 0 0 $0.00
0 0
Gateway Airport Ret 0 0 0 0 0.0% 0 0 0 $0.00
1,485 0
Gila River Outlyin.g 1 356,184 0 0 0.0% 0 0 0 $0.00
0 0
Gilbert Ret 0 0 0 0 0.0% 0 0 0 $0.00
0 0
Glendale Ret 1 328,000 0 0 0.0% 0 0 60,000 $0.00
0 0
Goodyear Ret 0 0 0 0 0.0% 0 0 0 $0.00
0 0
Laveen Ret 0 0 0 0 0.0% 0 0 0 $0.00
0 0
Loop 101/I-10 Ret 0 0 0 0 0.0% (5,662) 0 $0.00
0
N Goodyear/Litchfiel. 1 265,788 0 0 0.0% 0 $0.00

N Phoenix/I-17 Co. rr 0 0 0 0 0.0% 0 $0.00

NE Outlying Maricopa. 0 0 0 0 0.0% 0 $0.00

North Buckeye Ret 0 0 0 0 0.0% 0 $0.00

North Scottsdale Ret 0 0 0 0 0.0% 0 $0.00

Outlying Pinal Count. 1 199,863 65,000 65,000 32.5% 0 $6.00

Queen Creek Ret 0 0 0 0 0.0% 0 $0.00

Red Mountain/Mesa Re. 1 122,621 1,250 1,250 1.0% 0 $15.76

South Buckeye Ret 0 0 0 0 0.0% 0 $0.00

South Mountain Ret 0 0 0 0 0.0% 0 $0.00

South Phoenix Ret 0 0 0 0 0.0% 0 $0.00

South Scottsdale Ret 0 0 0 0 0.0% 0 $0.00

Sun City Ret 0 0 0 0 0.0% 0 $0.00

Surprise/North Peori. 0 0 0 0 0.0% 0 $0.00

Tempe Ret 1 95,096 10,153 10,153 10.7% 0 $0.00

Tolleson Ret 0 0 0 0 0.0% 0 $0.00

W Outlying Maricop. a 0 0 0 0 0.0% 0 $0.00

West Phoenix/Maryval. 0 0 0 0 0.0% 0 $0.00
Totals 10 2,060,720 117,921 117,921 5.7% 60,000 $9.74

Source: CoStar Property®

©2014 CoStar Group, Inc. The CoStar Retail Report 15

Phoenix � Mid-Year 2014

Phoenix Retail Market

Figures at a Glance

Total Retail Submarket Statistics Mid-Year 2014

Existing Inventory Vacancy YTD Net YTD Under Quoted
Absorption Deliveries Const SF Rates
Market # Blds Total GLA Direct SF Total SF Vac %
9.0% (15,755) 3,669
Ahwatukee Foothills . 164 3,158,293 279,648 284,268 (17,606) 0 0 $17.18
(17,766) 0
Airport Area Ret 400 3,781,733 246,086 271,678 7.2% 0 0 $14.51
3,708 0
Anthem Ret 117 2,512,472 164,815 164,815 6.6% 10,114 4,307 $14.69
111,055 45,364
Apache Junction Ret 133 1,580,836 90,347 90,347 5.7% (4,304) 12,000 0 $10.54
28,108
Carefree Ret 132 1,735,781 215,282 215,282 12.4% 36,347 0 0 $18.67
(65,164) 0
Central Scottsdale R. 830 15,255,094 1,102,919 1,107,919 7.3% (435) 0 0 $24.13
(1,766) 0
Chandler Ret 748 16,355,462 1,816,563 1,915,712 11.7% 19,637 0 0 $14.32
0
Ctrl Peoria/Arrowhea. 419 10,024,923 676,727 704,702 7.0% 0 0 0 $15.61
9,759 4,987
Deer Valley Ret 130 2,048,142 174,723 217,227 10.6% 213,318 7,000 0 $22.44
0
Downtown Phoenix Ret 729 6,517,623 820,030 820,030 12.6% 717 3,225 7,000 $12.68
39,229 0
East Phoenix Ret 694 8,401,130 1,033,748 1,056,248 12.6% 26,394 5,345 0 $12.60
(10,796) 6,300
Fountain Hills Ret 81 695,550 89,340 89,495 12.9% 107,129 0 0 $14.51
0
Gateway Airport Ret 116 2,732,040 152,283 172,226 6.3% 0 0 0 $14.70
(5,720) 0
Gila River Outlyin.g 9 356,184 0 0 0.0% (3,303) 21,458 0 $0.00
8,320
Gilbert Ret 693 13,275,945 1,084,941 1,117,804 8.4% 66 0 25,787 $15.54
1,593 0
Glendale Ret 771 11,131,942 1,092,676 1,119,616 10.1% (233,994) 16,426 66,200 $12.42
16,270 0
Goodyear Ret 207 3,326,027 408,674 489,638 14.7% 27,652 0 31,925 $14.71
12,946 0
Laveen Ret 66 1,359,583 40,676 60,216 4.4% 72,451 0 0 $19.83
6,769 0
Loop 101/I-10 Ret 134 2,618,577 125,396 132,130 5.0% 8,469 0 0 $18.03
(71,534) 0
N Goodyear/Litchfiel. 189 4,352,010 279,670 279,670 6.4% 54,110 134,094 9,613 $16.79
12,763
N Phoenix/I-17 Corr . 826 16,100,641 2,347,924 2,442,127 15.2% 4,724 18,000 $12.49
375,185
NE Outlying Maricopa. 1 4,722 0 0 0.0% 0 $0.00

North Buckeye Ret 4 104,011 5,720 5,720 5.5% 0 $0.00

North Scottsdale Ret 531 14,803,539 969,936 1,009,700 6.8% 74,895 $18.85

Outlying Pinal Count. 744 7,570,293 692,891 709,036 9.4% 10,775 $10.39

Queen Creek Ret 64 1,345,941 110,396 128,396 9.5% 0 $16.47

Red Mountain/Mesa Re. 1,702 28,830,703 4,694,484 4,746,843 16.5% 75,298 $11.94

South Buckeye Ret 132 1,405,270 86,522 86,522 6.2% 0 $12.17

South Mountain Ret 89 1,679,598 89,800 89,800 5.3% 0 $16.86

South Phoenix Ret 237 1,500,732 81,050 81,050 5.4% 0 $12.96

South Scottsdale Ret 375 4,023,611 433,122 439,899 10.9% 0 $13.80

Sun City Ret 224 3,204,970 363,465 363,465 11.3% 17,394 $15.43

Surprise/North Peori. 266 4,781,269 260,360 320,681 6.7% 94,372 $17.04

Tempe Ret 464 8,091,290 712,755 743,998 9.2% 0 $16.14

Tolleson Ret 232 2,551,564 119,158 120,558 4.7% 0 $13.49

W Outlying Maricopa . 102 698,513 44,015 44,015 6.3% 0 $8.39

West Phoenix/Maryval. 459 8,117,141 650,516 658,613 8.1% 0 $10.84
Totals 13,214 216,033,155 21,556,658 22,299,446 10.3% 435,566 $14.19

Source: CoStar Property®

16 The CoStar Retail Report ©2014 CoStar Group, Inc.

Mid-Year 2014 – Phoenix

Phoenix Retail Market

Figures at a Glance

General Retail Market Statistics Mid-Year 2014

Existing Inventory Vacancy Net Deliveries UC Inventory Quoted

Period # Blds Total GLA Direct SF Total SF Vac % Absorption # Blds Total GLA # Blds Total GLA Rates

2014 2q 7,633 62,131,384 3,647,384 3,789,021 6.1% (92,943) 4 27,133 10 112,789 $13.71
2014 1q 7,635 62,147,831 3,535,444 81,915 $13.62
2013 4q 7,632 62,294,053 3,742,590 3,712,525 6.0% 64,570 9 68,871 8 99,597 $13.43
2013 3q 7,619 62,060,483 3,866,614 398,563 $13.48
2013 2q 7,615 62,044,543 4,075,057 3,923,317 6.3% 386,144 20 343,917 11 376,719 $13.47
2013 1q 7,611 62,002,415 3,975,491 4,075,891 6.6% 237,540 11 61,704 27 231,628 $13.40
2012 4q 7,616 62,086,157 4,019,444 86,380 $13.12
2012 3q 7,610 61,958,187 4,093,287 4,297,491 6.9% (48,743) 11 110,847 28 218,506 $13.36
2012 2q 7,606 62,077,267 4,053,776 193,027 $13.47
2012 1q 7,609 62,245,606 4,389,523 4,206,620 6.8% 33,403 3 16,942 19 284,904 $13.60
7,594 62,163,521 4,446,584 272,880 $13.59
2011 7,578 61,788,594 4,617,721 4,323,765 7.0% 161,504 10 151,164 9 427,721 $14.74
2010 7,559 61,317,902 4,456,277 341,239 $16.08
2009 7,506 60,839,167 3,375,896 4,357,299 7.0% (168,701) 7 59,208 14 255,917 $17.81
2008 7,402 59,540,948 2,194,988 4,307,678 6.9% 139,063 7 190,795 16 965,486 $18.97
2007 7,268 58,118,032 2,495,301 1,756,808 $17.70
2006 4,615,080 7.4% 157,048 15 82,085 17

4,690,043 7.5% 508,370 32 515,056 22

4,823,486 7.8% 301,495 29 512,401 17

4,654,289 7.6% (692,337) 57 500,700 16
3,483,217 5.7% 72,181 113 1,352,320 31

2,257,179 3.8% 1,716,290 142 1,995,476 79

2,550,553 4.4% 1,387,857 140 2,332,523 110

Source: CoStar Property®

Mall Market Statistics Mid-Year 2014

Existing Inventory Vacancy Net Deliveries UC Inventory Quoted

Period # Ctrs Total GLA Direct SF Total SF Vac % Absorption # Blds Total GLA # Blds Total GLA Rates

2014 2q 26 22,882,236 1,740,830 1,746,502 7.6% 70,172 0 00 0 $29.22
2014 1q 26 22,882,236 1,811,002 (334,130) 0 0 $28.98
2013 4q 26 22,882,236 1,476,872 1,816,674 7.9% 0 00 0 $29.89
2013 3q 26 22,882,236 1,513,597 1,482,544 6.5% 36,725 0 00 0 $28.02
2013 2q 26 22,882,236 1,626,214 132,121 0 0 $32.04
2013 1q 26 22,882,236 1,559,621 1,519,269 6.6% (62,327) 2 00 0 $32.04
2012 4q 26 22,867,489 1,545,172 0 14,747 $32.07
2012 3q 26 22,867,489 1,616,575 1,651,390 7.2% 2,902 0 00 6,900 $33.52
2012 2q 26 22,867,489 1,587,673 67,137 0 6,900 $33.63
2012 1q 26 22,867,489 1,573,861 1,589,063 6.9% (28,902) 0 14,747 0 6,900 $32.64
26 22,867,489 1,681,637 (11,973) 3 6,900 $32.73
2011 25 22,720,704 1,820,807 1,577,218 6.9% 112,073 3 02 153,685 $34.58
2010 25 22,708,158 1,954,524 265,195 8 4,750 $34.12
2009 25 22,106,758 1,370,140 1,644,355 7.2% 143,166 28 01 390,446 $30.58
2008 24 21,067,403 1,016,553 74,984 102 1,034,555 $37.76
2007 21 17,796,916 874,789 1,615,453 7.1% 619,141 13 01 3,751,322 $34.76
2006 1,603,480 7.0% 3,131,923 01
240,873
1,715,553 7.5% 146,785 1

1,833,963 8.1% 12,546 4

1,964,583 8.7% 601,400 1

1,438,167 6.5% 1,039,355 6
1,017,953 4.8% 3,270,487 28

879,389 4.9% 566,120 101

Source: CoStar Property®

Power Center Market Statistics Mid-Year 2014

Existing Inventory Vacancy Net Deliveries UC Inventory Quoted

Period # Ctrs Total GLA Direct SF Total SF Vac % Absorption # Blds Total GLA # Blds Total GLA Rates

2014 2q 51 24,090,488 1,232,245 1,370,745 5.7% (10,644) 0 00 0 $21.13
2014 1q 51 24,090,488 1,222,703 68,101 0 0 $20.87
2013 4q 51 24,090,488 1,290,804 1,360,101 5.6% 49,094 0 00 0 $20.34
2013 3q 51 24,090,488 1,319,998 1 0 $20.68
2013 2q 51 24,084,388 1,483,579 1,428,202 5.9% 169,681 1 0 0 6,100 $19.93
2013 1q 51 24,081,403 1,511,546 1,477,296 6.1% 27,848 1 6,100 0 9,085 $20.19
2012 4q 51 24,076,403 1,589,861 59,373 0 7,985 $19.94
2012 3q 51 24,076,403 1,786,543 1,640,877 6.8% 199,172 0 2,985 1 5,000 $19.21
2012 2q 51 24,076,403 1,984,435 197,554 1 0 $19.65
2012 1q 51 24,073,403 1,665,806 1,665,740 6.9% (348,461) 0 5,000 2 3,000 $20.01
51 24,073,403 1,783,968 131,353 4 3,000 $19.27
2011 51 24,008,164 2,050,646 1,720,113 7.1% 224,778 3 02 13,739 $21.93
2010 51 23,991,098 2,513,350 490,043 7 9,166 $21.82
2009 51 23,948,655 1,829,741 1,919,285 8.0% (395,652) 43 01 34,343 $22.49
2008 49 22,083,616 1,019,495 793,382 75 1,463,621 $25.03
2007 46 19,564,685 2,116,839 8.8% 2,291,561 58 3,000 0 2,078,672 $25.55
2006 769,389 2,265,590
1,765,378 7.3% 0 1
1,896,731 7.9% 65,239 1

2,056,270 8.6% 17,066 2

2,529,247 10.5% 42,443 2

2,091,152 8.7% 1,865,039 6

1,019,495 4.6% 2,518,931 30
792,125 4.0% 2,511,836 54

Source: CoStar Property®

©2014 CoStar Group, Inc. The CoStar Retail Report 17

Phoenix � Mid-Year 2014

Phoenix Retail Market

Figures at a Glance

Shopping Center Market Statistics Mid-Year 2014

Existing Inventory Vacancy Net Deliveries UC Inventory Quoted

Period # Ctrs Total GLA Direct SF Total SF Vac % Absorption # Blds Total GLA # Blds Total GLA Rates

2014 2q 1,871 104,868,327 14,818,278 15,275,257 14.6% 407,811 2 11,287 16 262,777 $13.53
2014 1q 1,870 104,857,040 15,180,060 141,059 $13.48
2013 4q 1,869 104,830,237 15,428,538 15,671,781 14.9% 207,910 3 26,803 8 150,514 $13.41
2013 3q 1,868 104,722,404 15,551,190 15,852,888 15.1% 270,219 9 107,833 7 134,636 $13.57
2013 2q 1,868 104,722,404 15,734,059 79,708 $13.62
2013 1q 1,868 104,690,711 16,245,078 16,015,274 15.3% 217,978 0 0 12 78,383 $13.69
2012 4q 1,867 104,616,069 16,648,767 106,335 $13.77
2012 3q 1,866 104,480,333 17,321,217 16,233,252 15.5% 587,098 4 31,693 6 199,565 $13.98
2012 2q 1,866 104,381,216 17,374,931 241,682 $14.09
2012 1q 1,866 104,377,716 17,854,421 16,788,657 16.0% 391,370 4 74,642 5 215,857 $14.07
1,866 104,284,946 18,116,705 266,809 $14.17
2011 1,861 104,153,378 17,661,351 17,105,385 16.4% 753,756 13 135,736 8 150,490 $15.47
2010 1,858 103,797,279 15,975,694 17,723,405 17.0% 146,388 6 99,117 16 339,466 $16.64
2009 1,836 101,907,631 12,580,756 1,738,972 $19.05
2008 1,772 17,770,676 17.0% 559,922 1 3,500 20 3,445,086 $18.98
2007 1,700 97,185,709 8,910,197 3,776,991 $17.95
2006 93,044,110 6,984,751 18,327,098 17.6% 311,082 4 92,770 16

18,545,410 17.8% (445,689) 17 131,568 17

17,968,153 17.3% (1,289,265) 19 356,099 15

16,322,789 15.7% (1,509,923) 99 1,889,648 20

12,923,218 12.7% 910,259 257 4,721,922 95
9,111,555 9.4% 2,321,852 270 4,141,599 192

7,291,808 7.8% 3,353,663 211 3,771,307 225

Source: CoStar Property®

Specialty Center Market Statistics Mid-Year 2014

Existing Inventory Vacancy Net Deliveries UC Inventory Quoted

Period # Ctrs Total GLA Direct SF Total SF Vac % Absorption # Blds Total GLA # Blds Total GLA Rates

2014 2q 10 2,060,720 117,921 117,921 5.7% 2,735 0 0 1 60,000 $9.74
2014 1q 10 2,060,720 120,656 (8,397) 0 0 0 0 $9.74
2013 4q 10 2,060,720 112,259 120,656 5.9% (36,614) 0 0 0 0 $10.11
2013 3q 10 2,060,720 75,645 0 0 0 0 $12.82
2013 2q 10 2,060,720 76,052 112,259 5.4% 407 9 356,184 0 0 $12.51
2013 1q 9 1,704,536 63,552 75,645 3.7% 343,684 1 15,000 9 $12.51
2012 4q 8 1,689,536 74,099 1 328,000 10 356,184 $12.51
2012 3q 7 1,361,536 76,052 3.7% 25,547 0 0 11 371,184 $12.51
2012 2q 7 1,361,536 91,874 345,775 0 0 10 699,184 $13.42
2012 1q 7 1,361,536 92,922 63,552 3.7% 0 0 0 684,184 $13.71
7 1,361,536 85,468 1,048 0 0 0 $16.17
2011 7 1,361,536 88,276 74,099 4.4% (7,454) 0 0 0 0 $17.82
2010 7 1,361,536 78,619 2,808 0 0 0 0 $17.23
2009 7 1,361,536 82,135 91,874 6.7% (9,657) 0 0 0 0 $25.14
2008 7 1,361,536 35,863 92,922 6.8% 4 51,675 0 0 $26.22
2007 7 1,309,861 47,635 3,516 1 7,527 1 0 $28.43
2006 42,700 85,468 6.3% (46,272) 0
9,253
88,276 6.5% 11,772
46,740
78,619 5.8% (7,915)

82,135 6.0%

35,863 2.6%

47,635 3.5%
42,700 3.3%

Source: CoStar Property®

Total Retail Market Statistics Mid-Year 2014

Existing Inventory Vacancy Net Deliveries UC Inventory Quoted

Period # Blds Total GLA Direct SF Total SF Vac % Absorption # Blds Total GLA # Blds Total GLA Rates

2014 2q 13,214 216,033,155 21,556,658 22,299,446 10.3% 377,131 6 38,420 27 435,566 $14.19
2014 1q 13,214 216,038,315 21,869,865 (1,946) 12 222,974 $14.09
2013 4q 13,208 216,157,734 22,051,063 22,681,737 10.5% 705,568 29 95,674 16 250,111 $13.92
2013 3q 13,186 215,816,331 22,327,044 757,727 12 533,199 $14.03
2013 2q 13,181 215,794,291 22,994,961 22,799,210 10.5% 847,560 25 451,750 18 462,527 $14.27
2013 1q 13,163 215,361,301 23,355,288 512,595 11 675,280 $14.32
2012 4q 13,160 215,335,654 23,877,343 23,163,375 10.7% 1,527,344 24 67,804 39 586,631 $14.35
2012 3q 13,140 214,743,948 24,909,496 23,899,062 11.1% 147,387 13 501,709 35 1,129,155 $14.54
2012 2q 13,130 214,763,911 25,093,737 331,097 9 1,125,793 $14.65
2012 1q 13,131 214,925,750 25,569,079 24,313,632 11.3% 714,364 19 126,331 35 510,661 $14.71
13,112 214,750,895 26,117,170 542,997 56 549,589 $14.76
2011 13,072 214,032,376 26,229,144 24,800,580 11.5% (351,045) 54 614,900 31 745,635 $16.23
2010 13,028 213,175,973 24,981,980 (2,569,200) 171 694,621 $17.40
2009 12,861 210,163,747 19,192,396 25,736,218 12.0% 2,406,735 441 158,325 43 2,419,678 $19.53
2008 12,429 201,239,212 13,188,868 9,508,366 593 6,908,748 $20.07
2007 11,844 189,833,604 11,166,930 25,903,568 12.1% 7,240,068 423 197,295 47 11,373,046 $19.38
2006 26,396,504 12.3% 174,855 35

26,936,013 12.5% 858,648 41

26,760,491 12.5% 898,112 38

25,553,043 12.0% 3,034,191 39

19,971,617 9.5% 8,978,636 138
13,453,817 6.7% 11,978,168 329

11,556,575 6.1% 9,189,313 491

Source: CoStar Property®

18 The CoStar Retail Report ©2014 CoStar Group, Inc.

Mid-Year 2014 – Phoenix

Phoenix Retail Market

Leasing Activity

Historical Rental Rates

Based on NNN Rental Rates

Power Center Specialty Center General Retail Shopping Center Mall Total Market

Dollars/SF/Year$34.00

$29.00 2007 1q 2008 1q 2009 1q 2010 1q 2011 1q 2012 1q 2013 1q 2014 1q

$24.00

$19.00

$14.00

$9.00
2006 1q

Source: CoStar Property®

Vacancy by Available Space Type Vacancy by Building Type

Percent of All Vacant Space in Direct vs. Sublet Percent of All Vacant Space by Building Type

3% Shopping Center

General Retail

Mall

Power Center

97% Specialty Center

Direct Sublet 0% 10% 20% 30% 40% 50% 60% 70% 80%
Source: CoStar Property®
Source: CoStar Property®

GLA By Building Type Future Space Available

Ratio of Total GLA by Building Type Space Scheduled to be Available for Occupancy*

Shopping Center 0.3
0.26
General Retail
0.3

0.2 0.19

Power Center Millions 0.2
0.1 0.09
Mall

Specialty Center 0.1 0.00 0.00 0.00

Millions of SF 0 20 40 60 80 100 120 0.0 2015 3q
2014 3q
Source: CoStar Property® Source: CoStar Property®
* Includes Under Construction Spaces

©2014 CoStar Group, Inc. The CoStar Retail Report 19

Phoenix � Mid-Year 2014

Phoenix Retail Market

Leasing Activity

Select Top Retail Leases Based on Leased Square Footage For Deals Signed in 2014

Building Submarket SF Qtr Tenant Name Tenant Rep Company Landlord Rep Company

1 1919-1949 E Camelback Rd Central Scottsdale Ret 80,328 2nd Foor & Decor N/A RED Development LLC

2 1919-1949 E Camelback Rd* Central Scottsdale Ret 50,000 2nd Best Buy N/A N/A

3 6209-6247 E Main St Red Mountain/Mesa Ret 45,500 2nd Covered Wagon Antiques Direct Deal Willis Property Company

4 2820 W Dunlap Ave N Phoenix/I-17 Corr Ret 43,751 1st Conn’s N/A CBRE

5 149 S Farmer Ave Tempe Ret 28,500 1st The Yard N/A WDP Partners LLC

6 5350 W Indian School Rd WestPhoenix/MaryvaleRet 25,840 1st Ross Dress For Less N/A N/A

7 4131-4233 W Thunderbird Rd N Phoenix/I-17 Corr Ret 24,967 1st Goodwill N/A Strategic Retail Group

8 4240 W Camelback Rd WestPhoenix/MaryvaleRet 24,000 2nd V & V Event Hall N/A ZELL Commercial Real Estate Service

9 1721 S Stapley Dr Red Mountain/Mesa Ret 22,740 1st Michaels Colliers International CBRE

10 3975 E Thomas Rd Airport Area Ret 22,613 1st Planet Fitness NAI Horizon NAI Horizon
11 1726 W Camelback Rd N/A ICON Realty Advisors
Downtown Phoenix Ret 21,169 2nd N/A

12 1900 E Rio Salado Pky Tempe Ret 20,000 1st DSW N/A Vestar Development Company
13 1900 E Rio Salado Pky Tempe Ret 20,000 1st Total Wine & More N/A Vestar Development Company

14 7580 W Bell Rd CtrlPeoria/ArrowheadRet 20,000 2nd The Container Store N/A SRS Real Estate Partners
15 2012 N Scottsdale Rd South Scottsdale Ret 18,650 2nd Johnson Wellness Shell Commercial Shell Commercial

16 7720 W Bell Rd CtrlPeoria/ArrowheadRet 18,321 1st Trader Joe’s N/A De Rito Partners, Inc.
17 1660 S Val Vista Dr Red Mountain/Mesa Ret 16,221 2nd N/A N/A Whitestone REIT

18 1717 E Southern Ave Tempe Ret 16,180 2nd Epic Thrift N/A De Rito Partners, Inc.
19 7210-7350 E Main St 1st Main Street Antiques N/A Michael A. Pollack Real Estate
Red Mountain/Mesa Ret 15,722

20 15551 N Greenway Hayden Loop North Scottsdale Ret 15,464 1st Imagine Backyard Phoenix Commercial Advisors Shell Commercial
21 1700-1790 E Elliot Rd* Chandler Ret 15,372 1st Arizona World of Baseball Direct Deal NAI Horizon

22 3428 W Anthem Way* Anthem Ret 15,100 2nd Ace Hardware N/A Eisenberg Company
23 5005-5057 N 35th Ave
24 4725 E Carefree Hwy WestPhoenix/MaryvaleRet 15,061 1st Epic Thrift N/A SRS Real Estate Partners
25 40649 N Gantzel Rd
26 723-747 N Grand Ave Anthem Ret 13,969 2nd Pet Club Direct Deal Battery Commercial Corporation
27 4304-4326 E Cactus Rd
28 15814 N 83rd Ave Apache Junction Ret 13,969 1st Pet Club N/A Cassidy Turley
29 1928 N Gilbert Rd*
30 1260-1306 N Alma School Rd Downtown Phoenix Ret 11,744 2nd N/A N/A N/A
31 958 E Rodeo Rd
32 4750 N 16th St North Scottsdale Ret 11,704 1st CrossFit Magna Velocity Retail,Rein & Grossoehme Phillips Edison Company
33 1611 E Main St
34 7014 E Camelback Rd CtrlPeoria/ArrowheadRet 10,500 2nd N/A N/A De Rito Partners, Inc.

Red Mountain/Mesa Ret 10,300 1st Tutor Time N/A N/A

Red Mountain/Mesa Ret 10,000 2nd Club Red & The Red Owl N/A Wilshire Aspirations LLC

Outlying Pinal CountyRet 10,000 1st N/A N/A CG Cactus Realty

Downtown Phoenix Ret 10,000 2nd N/A N/A Lee & Associates

Red Mountain/Mesa Ret 10,000 1st N/A N/A MarCor Commercial Real Estate

Central Scottsdale Ret 9,825 1st Hugo Boss N/A The Macerich Company

35 7000 E Shea Blvd Central Scottsdale Ret 9,787 1st The Laugh Factory N/A Cassidy Turley
36 6000-6076 S Central Ave South Phoenix Ret 9,600 2nd N/A N/A Dawson Commercial Properties, Inc.

37 3668-3720 W Anthem Way Anthem Ret 9,145 1st Doller Tree SRS Real Estate Partners Velocity Retail Group LLC
38 645-745 N Gilbert Rd Gilbert Ret 9,100 2nd CSL Plasma N/A TCT Commercial

39 1855 W Buckeye Rd South Phoenix Ret 9,026 1st Dollar General N/A N/A
40 4248 W Indian School Rd 2nd Check N Cash Direct Deal David Robideau
WestPhoenix/MaryvaleRet 9,000

Source: CoStar Property®

* Renewal

20 The CoStar Retail Report ©2014 CoStar Group, Inc.

Mid-Year 2014 – Phoenix

Phoenix Retail Market

Sales Activity

The Optimist Sales Index Average of Two Highest Price/SF's and Two Lowest Cap Rates

Cap Rate Percentage 9.0% Cap Rate Dollars/SFPrice/SF$600
8.0% 2012 2q Price/SF 2013 2q $500
7.0% $400
6.0% $300
5.0% $200
$100
4.0% $0
3.0%
2.0%
1.0%
0.0%

2011 2q

Source: CoStar COMPS®

Sales Volume & Price Sales Analysis by Building Size

Based on Retail Building Sales of 15,000 SF and Larger Based on Retail Building Sales From April 2013 - March 2014

Sales Volume Price/SF Bldg Size # RBA $ Volume Price/SF Cap Rate

$500 $200 < 25,000 SF 452 3,061,029 $538,621,992 $ 175.96 7.35%
$450 $180
Millions of Sales Volume Dollars $400 $160 25K-99K 94 4,596,713 $471,500,543 $ 102.57 8.16%
$350 $140 SF
$300 $120

$250 $100 100K-249K 9 1,305,708 $158,075,000 $ 121.06 7.44%
$200 $80 SF
$150 $60
$100 $40 >250K SF 1 250,752 $6,100,000 $ 24.33 -
$20
$50 2012 1q 2013 1q $0
$0 2014 1q
2011 1q

Source: CoStar COMPS® Source: CoStar COMPS®

U.S. Price/SF Comparison U.S. Cap Rate Comparison

Based on Retail Building Sales of 15,000 SF and Larger Based on Retail Building Sales of 15,000 SF and Larger

Phoenix US 11.0% Phoenix US

$190

$170 10.0%

$150 Cap Rate Percentage 9.0%

Dollars per SF $130 8.0%

$110 7.0%

$90 6.0%

$70 5.0%

$50 4.0%

$30 2012 1q 2013 1q 2014 1q 3.0%
2011 1q 2011 1q 2011 3q 2012 1q 2012 3q 2013 1q 2013 3q 2014 1q

Source: CoStar COMPS® Source: CoStar COMPS®

©2014 CoStar Group, Inc. The CoStar Retail Report 21

Phoenix � Mid-Year 2014 Phoenix Retail Market

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�� The CoStar Retail Report ©2014 CoStar Group, Inc.

22

Mid-Year 2014 – Phoenix

Phoenix Retail Market

Airport Area Market

Market Highlights – Class “A, B & C”

Deliveries, Absorption & Vacancy Historical Analysis, All Classes

0.100                         12.0%

      0.080 10.0%           
0.060 8.0%
0.040 6.0%
0.020 4.0%
0.000 2.0%
(0.020)

(0.040) 0.0%
2011 1q 2011 2q 2011 3q 2011 4q 2012 1q 2012 2q 2012 3q 2012 4q 2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q

Source: CoStar Property®

Vacant Space Quoted Rental Rates

Historical Analysis, All Classes Historical Analysis, All Classes

0.37            $14.80
0.36 2013 2q $14.70
     0.35 $14.60Dollars/SF/Year
0.34 $14.50
0.33 $14.40
0.32 $14.30
0.31 $14.20
0.30 $14.10
0.29 $14.00
0.28 $13.90
$13.80
2013 1q 2013 3q 2013 4q 2014 1q 2014 2q
2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q
Source: CoStar Property®
Source: CoStar Property®

Existing Inventory Vacancy Net Delivered Inventory UC Inventory Quoted
Absorption Rates
Period # Bldgs Total RBA Vacant SF Vacancy % # Bldgs Total RBA # Bldgs Total RBA $14.14
2014 2q 16,339 $14.16
2014 1q 637 5,282,465 352,728 6.7% (20,999) 1 9,026 00 $14.51
2013 4q $14.67
2013 3q 636 5,273,439 360,041 6.8% (2,296) 1 7,400 1 9,026 $14.12
2013 2q 8,155 $14.23
2013 1q 636 5,270,839 336,442 6.4% 1,198 00 2 16,426 $13.11
2012 4q 57,698 $13.19
2012 3q 636 5,270,839 334,146 6.3% 88,755 00 1 7,400 $11.61
2012 2q (9,101) $11.89
2012 1q 636 5,270,839 342,301 6.5% 10,787 00 00 $12.06
2011 4q 26,105 $11.80
2011 3q 636 5,270,839 343,499 6.5% (32,452) 1 8,442 00 $12.08
2011 2q (31,455) $12.83
2011 1q 635 5,262,397 392,755 7.5% 77,392 00 1 8,442 $12.65
2010 4q (29,924) $12.65
2010 3q 635 5,262,397 481,510 9.2% 25,747 00 1 8,442
(12,445)
637 5,334,565 544,577 10.2% 1 5,589 00

636 5,328,976 549,775 10.3% 00 1 5,589

636 5,328,976 575,880 10.8% 1 3,457 1 5,589

637 5,343,544 557,996 10.4% 00 1 3,457

637 5,343,544 526,541 9.9% 00 00

637 5,343,544 603,933 11.3% 00 00

637 5,343,544 574,009 10.7% 00 00

637 5,343,544 599,756 11.2% 1 17,190 00

Source: CoStar Property®

©2014 CoStar Group, Inc. The CoStar Retail Report 23

Phoenix – Mid-Year 2014

Phoenix Retail Market

Downtown Phoenix Market

Market Highlights – Class “A, B & C”

Deliveries, Absorption & Vacancy Historical Analysis, All Classes

0.150                         16.0%

0.100 14.0%           
0.050 12.0%
10.0%
     
0.000 8.0%

(0.050) 6.0%
(0.100) 4.0%
2.0%

(0.150) 0.0%

2011 1q 2011 2q 2011 3q 2011 4q 2012 1q 2012 2q 2012 3q 2012 4q 2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q

Source: CoStar Property®

Vacant Space Quoted Rental Rates

Historical Analysis, All Classes Historical Analysis, All Classes

0.86            $13.40
$13.20
0.84 $13.00
$12.80
0.82 $12.60Dollars/SF/Year
$12.40
     0.80 $12.20
$12.00
0.78 $11.80

0.76 2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q

0.74 Source: CoStar Property®

0.72

0.70

2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q

Source: CoStar Property®

Existing Inventory Vacancy Net Delivered Inventory UC Inventory Quoted
Absorption Rates
Period # Bldgs Total RBA Vacant SF Vacancy % # Bldgs Total RBA # Bldgs Total RBA $12.68
2014 2q (16,945) $12.81
2014 1q 729 6,517,623 820,030 12.6% (48,219) 00 1 7,000 $12.37
2013 4q 28,539 $12.72
2013 3q 729 6,517,623 803,085 12.3% 77,050 00 00 $13.29
2013 2q (42,679) $12.99
2013 1q 730 6,518,612 755,855 11.6% 21,654 1 12,000 00 $13.03
2012 4q 29,949 $12.89
2012 3q 729 6,506,612 772,394 11.9% (13,479) 2 4,129 1 12,000 $13.30
2012 2q (23,900) $13.54
2012 1q 728 6,507,283 850,115 13.1% 11,125 00 2 4,129 $13.93
2011 4q 90,826 $14.60
2011 3q 729 6,508,104 808,257 12.4% 32,475 1 55,000 00 $14.75
2011 2q 44,755 $15.27
2011 1q 729 6,456,830 778,637 12.1% (97,309) 2 28,145 1 55,000 $15.78
2010 4q $15.89
2010 3q 727 6,428,685 780,441 12.1% 6,354 00 3 83,145
38,553
727 6,428,685 766,962 11.9% 00 1 12,900

728 6,535,710 850,087 13.0% 1 3,000 00

727 6,532,710 858,212 13.1% 00 1 3,000

727 6,532,710 949,038 14.5% 2 61,500 00

727 6,474,102 922,905 14.3% 00 2 61,500

727 6,474,102 967,660 14.9% 00 2 61,500

727 6,474,102 870,351 13.4% 1 34,568 1 52,500

726 6,439,534 842,137 13.1% 2 88,821 2 87,068

Source: CoStar Property®

24 The CoStar Retail Report ©2014 CoStar Group, Inc.

Mid-Year 2014 – Phoenix

Phoenix Retail Market

East Valley Market

Market Highlights – Class “A, B & C”

Deliveries, Absorption & Vacancy Historical Analysis, All Classes

0.500                         16.0%

      0.400 14.0%           
0.300 12.0%
0.200 10.0%
0.100 8.0%
0.000 6.0%
(0.100) 4.0%
(0.200) 2.0%
(0.300)

(0.400) 0.0%
2011 1q 2011 2q 2011 3q 2011 4q 2012 1q 2012 2q 2012 3q 2012 4q 2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q

Source: CoStar Property®

Vacant Space Quoted Rental Rates

Historical Analysis, All Classes Historical Analysis, All Classes

9.60            $13.60
9.40 2013 2q $13.50
     9.20 Dollars/SF/Year$13.40
9.00 $13.30
8.80 $13.20
8.60 $13.10
8.40 $13.00
8.20 $12.90
8.00
7.80 2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q
Source: CoStar Property®
2013 1q 2013 3q 2013 4q 2014 1q 2014 2q

Source: CoStar Property®

Existing Inventory Vacancy Net Delivered Inventory UC Inventory Quoted
Absorption Rates
Period # Bldgs Total RBA Vacant SF Vacancy % # Bldgs Total RBA # Bldgs Total RBA $13.35
2014 2q (5,625) $13.22
2014 1q 3,787 70,631,381 8,824,979 12.5% (273,218) 3 16,287 4 101,085 $13.13
2013 4q 457,748 $13.31
2013 3q 3,784 70,615,094 8,803,067 12.5% 295,977 4 30,478 6 63,774 $13.43
2013 2q 347,212 $13.54
2013 1q 3,782 70,668,730 8,583,485 12.1% 259,499 13 281,875 7 78,217 $13.55
2012 4q 253,341 $13.68
2012 3q 3,774 70,487,633 8,860,136 12.6% 4 12,725 17 312,353 $13.68
2012 2q 91,108 $13.73
2012 1q 3,771 70,483,705 9,152,185 13.0% (24,875) 5 59,220 17 294,600 $13.73
2011 4q 56,432 $13.98
2011 3q 3,769 70,435,264 9,450,956 13.4% 443,985 6 40,889 12 218,661 $14.16
2011 2q $14.47
2011 1q 3,766 70,422,358 9,697,549 13.8% (768) 6 49,985 10 96,558 $14.82
2010 4q (287,921) $15.36
2010 3q 3,760 70,372,373 9,900,905 14.1% (140,775) 4 69,842 8 101,885

3,757 70,408,651 10,028,291 14.2% (9,446) 4 17,589 10 120,427
(157,181)
3,755 70,409,449 10,004,214 14.2% 5 32,503 12 128,635

3,750 70,376,946 10,028,143 14.2% 9 48,937 14 132,196

3,742 70,332,609 10,427,791 14.8% 2 141,013 18 162,744

3,742 70,197,447 10,291,861 14.7% 1 5,239 14 228,154

3,742 70,193,777 10,000,270 14.2% 6 38,677 8 191,456

3,737 70,169,925 9,835,643 14.0% 2 18,481 13 223,905

3,735 70,151,444 9,807,716 14.0% 4 59,229 11 91,462

Source: CoStar Property®

©2014 CoStar Group, Inc. The CoStar Retail Report 25

Phoenix – Mid-Year 2014

Phoenix Retail Market

Maricopa County Market

Market Highlights – Class “A, B & C”

Deliveries, Absorption & Vacancy Historical Analysis, All Classes

0.030                         10.0%
0.020
0.010 9.0%
0.000
(0.010) 8.0%
(0.020)
(0.030) 7.0%

      6.0%           

5.0%

4.0%

3.0%

2.0%

1.0%

0.0%
2011 1q 2011 2q 2011 3q 2011 4q 2012 1q 2012 2q 2012 3q 2012 4q 2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q

Source: CoStar Property®

Vacant Space Quoted Rental Rates

Historical Analysis, All Classes Historical Analysis, All Classes

0.07            $9.20

0.06 $9.00

0.05 $8.80Dollars/SF/Year

     0.04 $8.60

0.03 $8.40

0.02 $8.20

0.01 $8.00
2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q
0.00
Source: CoStar Property®
2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q

Source: CoStar Property®

Existing Inventory Vacancy Net Delivered Inventory UC Inventory Quoted
Absorption Rates
Period # Bldgs Total RBA Vacant SF Vacancy % # Bldgs Total RBA # Bldgs Total RBA
2014 2q 10,663 $8.39
2014 1q 103 703,235 44,015 6.3% 2,100 00 00 $8.39
2013 4q 661 $8.39
2013 3q 103 703,235 54,678 7.8% 00 00 $8.52
2013 2q 26,199 $9.08
2013 1q 103 703,235 56,778 8.1% (26,217) 00 00 $9.08
2012 4q $12.26
2012 3q 103 703,235 57,439 8.2% (3,800) 1 22,000 00 $9.84
2012 2q (3,950) $9.00
2012 1q 102 681,235 61,638 9.0% (8,681) 00 1 22,000 $9.75
2011 4q $9.75
2011 3q 102 681,235 35,421 5.2% 500 00 00 $9.75
2011 2q 7,551 $9.75
2011 1q 102 681,235 31,621 4.6% 3,280 00 00 $0.00
2010 4q (2,280) $16.54
2010 3q 102 681,235 27,671 4.1% (2,601) 00 00 $16.54
(1,600)
102 681,235 18,990 2.8% (5,520) 00 00
1,000
102 681,235 19,490 2.9% 00 00

102 681,235 27,041 4.0% 00 00

102 681,235 30,321 4.5% 00 00

102 681,235 28,041 4.1% 00 00

102 681,235 25,440 3.7% 00 00

102 681,235 23,840 3.5% 00 00

102 681,235 18,320 2.7% 00 00

Source: CoStar Property®

26 The CoStar Retail Report ©2014 CoStar Group, Inc.

Mid-Year 2014 – Phoenix

Phoenix Retail Market

North Phoenix Market

Market Highlights – Class “A, B & C”

Deliveries, Absorption & Vacancy Historical Analysis, All Classes

0.500                         15.5%

0.400 15.0%

0.300 14.5%

      0.200 14.0%           

0.100 13.5%

0.000 13.0%

(0.100) 12.5%

(0.200) 12.0%

(0.300) 11.5%
2011 1q 2011 2q 2011 3q 2011 4q 2012 1q 2012 2q 2012 3q 2012 4q 2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q

Source: CoStar Property®

Vacant Space Quoted Rental Rates

Historical Analysis, All Classes Historical Analysis, All Classes

5.40            $13.20
5.30 2013 2q $13.00
     5.20 Dollars/SF/Year$12.80
5.10 $12.60
5.00 $12.40
4.90 $12.20
4.80 $12.00
4.70 $11.80
4.60 $11.60
4.50
2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q
2013 1q 2013 3q 2013 4q 2014 1q 2014 2q
Source: CoStar Property®
Source: CoStar Property®

Existing Inventory Vacancy Net Delivered Inventory UC Inventory Quoted
Absorption Rates
Period # Bldgs Total RBA Vacant SF Vacancy % # Bldgs Total RBA # Bldgs Total RBA $12.86
2014 2q 207,213 $12.78
2014 1q 2,515 38,838,683 4,981,456 12.8% 119,568 1 7,000 4 101,594 $12.26
2013 4q (64,725) $12.20
2013 3q 2,515 38,843,983 5,193,969 13.4% 1 6,300 2 25,000 $13.02
2013 2q 16,915 $12.92
2013 1q 2,514 38,837,683 5,307,237 13.7% 100,756 1 25,000 2 13,300 $12.87
2012 4q (17,855) $13.15
2012 3q 2,513 38,812,683 5,217,512 13.4% 450,241 1 5,720 2 31,300 $13.26
2012 2q $13.29
2012 1q 2,512 38,806,963 5,228,707 13.5% 905 5 34,570 3 37,020 $13.47
2011 4q 10,819 $13.65
2011 3q 2,510 38,829,512 5,352,012 13.8% 139,201 00 5 34,570 $13.83
2011 2q 36,046 $14.02
2011 1q 2,511 38,885,236 5,389,881 13.9% 56,648 3 350,501 2 11,013 $14.56
2010 4q 151,808 $14.49
2010 3q 2,509 38,540,150 5,495,036 14.3% (189,638) 2 7,400 3 350,501
(3,203)
2,507 38,532,750 5,488,541 14.2% 00 5 357,901
5,843
2,508 38,542,750 5,509,360 14.3% 2 55,826 3 24,901

2,506 38,486,924 5,592,735 14.5% 00 2 55,826

2,506 38,486,924 5,628,781 14.6% 4 69,506 2 55,826

2,503 38,423,181 5,621,686 14.6% 2 17,250 4 69,506

2,501 38,405,931 5,756,244 15.0% 5 55,753 5 72,756

2,496 38,350,178 5,510,853 14.4% 3 16,137 7 73,003

2,494 38,335,366 5,492,838 14.3% 3 15,320 9 85,890

Source: CoStar Property®

©2014 CoStar Group, Inc. The CoStar Retail Report 27

Phoenix – Mid-Year 2014

Phoenix Retail Market

North Scottsdale Market

Market Highlights – Class “A, B & C”

Deliveries, Absorption & Vacancy Historical Analysis, All Classes

0.350                         12.0%

0.300 10.0%
0.250

0.200 8.0%           

      0.150 6.0%
0.100

0.050 4.0%

0.000 2.0%
(0.050)

(0.100) 0.0%

2011 1q 2011 2q 2011 3q 2011 4q 2012 1q 2012 2q 2012 3q 2012 4q 2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q

Source: CoStar Property®

Vacant Space Quoted Rental Rates

Historical Analysis, All Classes Historical Analysis, All Classes

1.55            $19.00
1.50 $18.50
     1.45 $18.00Dollars/SF/Year
1.40 $17.50
1.35 $17.00
1.30 $16.50
1.25 $16.00
1.20 $15.50
1.15
1.10 2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q
Source: CoStar Property®
2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q

Source: CoStar Property®

Existing Inventory Vacancy Net Delivered Inventory UC Inventory Quoted
Absorption Rates
Period # Bldgs Total RBA Vacant SF Vacancy % # Bldgs Total RBA # Bldgs Total RBA $18.39
2014 2q 66,011 $17.92
2014 1q 744 17,234,870 1,314,477 7.6% (60,966) 00 8 74,895 $18.60
2013 4q 85,634 $17.64
2013 3q 745 17,240,870 1,386,488 8.0% 104,043 00 00 $16.59
2013 2q 53,955 $16.92
2013 1q 745 17,240,870 1,325,522 7.7% 21,621 4 60,368 00 $16.90
2012 4q 305,391 $16.88
2012 3q 741 17,180,502 1,350,788 7.9% 20,517 1 4,030 4 60,368 $17.00
2012 2q (56,043) $16.89
2012 1q 741 17,196,449 1,470,778 8.6% 56,365 00 3 48,795 $17.10
2011 4q 119,623 $17.44
2011 3q 741 17,196,449 1,524,733 8.9% (55,997) 00 1 4,030 $18.50
2011 2q 13,338 $18.73
2011 1q 742 17,199,329 1,549,234 9.0% 2 15,339 00 $19.25
2010 4q (2,438) $19.58
2010 3q 740 17,183,990 1,839,286 10.7% (2,557) 2 16,399 2 15,339
(41,695)
738 17,167,591 1,843,404 10.7% 1 12,788 4 31,738

737 17,154,803 1,774,573 10.3% 2 8,009 5 44,526

735 17,146,794 1,822,929 10.6% 2 130,000 7 52,535

733 17,016,794 1,812,552 10.7% 00 4 138,009

733 17,016,794 1,756,555 10.3% 1 4,500 2 130,000

732 17,012,294 1,765,393 10.4% 00 2 132,500

732 17,012,294 1,762,955 10.4% 1 3,600 1 128,000

731 17,008,694 1,756,798 10.3% 00 1 3,600

Source: CoStar Property®

28 The CoStar Retail Report ©2014 CoStar Group, Inc.

Mid-Year 2014 – Phoenix

Phoenix Retail Market

Northwest Phoenix Market

Market Highlights – Class “A, B & C”

Deliveries, Absorption & Vacancy Historical Analysis, All Classes

0.250                         12.0%

0.200 10.0%
0.150

0.100 8.0%           

      0.050 6.0%
0.000

(0.050) 4.0%

(0.100) 2.0%
(0.150)

(0.200) 0.0%

2011 1q 2011 2q 2011 3q 2011 4q 2012 1q 2012 2q 2012 3q 2012 4q 2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q

Source: CoStar Property®

Vacant Space Quoted Rental Rates

Historical Analysis, All Classes Historical Analysis, All Classes

1.55            $17.00
$16.80
1.50 $16.60
$16.40
1.45 Dollars/SF/Year$16.20
$16.00
     1.40 $15.80
$15.60
1.35
2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q
1.30 Source: CoStar Property®

1.25

1.20

1.15

2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q

Source: CoStar Property®

Existing Inventory Vacancy Net Delivered Inventory UC Inventory Quoted
Absorption Rates
Period # Bldgs Total RBA Vacant SF Vacancy % # Bldgs Total RBA # Bldgs Total RBA $16.73
2014 2q 7,745 $16.25
2014 1q 932 19,366,806 1,407,425 7.3% 47,413 00 3 98,679 $16.01
2013 4q $16.47
2013 3q 933 19,376,386 1,424,750 7.4% 2,842 00 3 98,679 $16.72
2013 2q (13,637) $16.81
2013 1q 933 19,376,386 1,472,163 7.6% 52,312 00 1 90,672 $17.09
2012 4q $17.17
2012 3q 934 19,378,555 1,477,174 7.6% 3,297 00 00 $17.59
2012 2q 95,228 $18.02
2012 1q 934 19,378,555 1,463,537 7.6% 21,048 1 14,301 00 $17.98
2011 4q 194,400 $18.22
2011 3q 933 19,364,254 1,501,548 7.8% 118,082 00 1 14,301 $18.93
2011 2q 98,205 $19.42
2011 1q 933 19,364,254 1,504,845 7.8% 68,812 00 00 $20.02
2010 4q 64,116 $20.27
2010 3q 933 19,364,254 1,600,073 8.3% (170,147) 1 3,000 00
218,149
932 19,361,254 1,618,121 8.4% 16,448 00 1 3,000

932 19,361,254 1,812,521 9.4% 1 2,500 1 3,000

931 19,358,754 1,928,103 10.0% 00 1 2,500

931 19,358,754 2,026,308 10.5% 3 12,771 1 2,500

928 19,345,983 2,082,349 10.8% 00 3 12,771

928 19,345,983 2,146,465 11.1% 3 21,552 3 12,771

925 19,324,431 1,954,766 10.1% 1 5,000 4 24,323

924 19,319,431 2,167,915 11.2% 1 13,969 5 29,323

Source: CoStar Property®

©2014 CoStar Group, Inc. The CoStar Retail Report 29

Phoenix – Mid-Year 2014

Phoenix Retail Market

Pinal County Market

Market Highlights – Class “A, B & C”

Deliveries, Absorption & Vacancy Historical Analysis, All Classes

0.080                         9.5%

      0.060 9.0%           
0.040 8.5%
0.020

0.000 8.0%
(0.020) 7.5%
(0.040)

(0.060) 7.0%
2011 1q 2011 2q 2011 3q 2011 4q 2012 1q 2012 2q 2012 3q 2012 4q 2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q

Source: CoStar Property®

Vacant Space Quoted Rental Rates

Historical Analysis, All Classes Historical Analysis, All Classes

0.82            $11.60
$11.40
0.80 $11.20
$11.00
     0.78 $10.80Dollars/SF/Year
$10.60
0.76 $10.40
$10.20
0.74 $10.00
$9.80
0.72
2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q
0.70
Source: CoStar Property®
2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q

Source: CoStar Property®

Existing Inventory Vacancy Net Delivered Inventory UC Inventory Quoted
Absorption Rates
Period # Bldgs Total RBA Vacant SF Vacancy % # Bldgs Total RBA # Bldgs Total RBA $10.41
2014 2q (17,463) $10.48
2014 1q 877 9,151,129 799,383 8.7% 21,237 00 1 10,775 $10.50
2013 4q (36,886) $10.93
2013 3q 877 9,151,129 781,920 8.5% 39,161 00 1 10,775 $11.50
2013 2q (16,663) $11.51
2013 1q 877 9,151,129 803,157 8.8% (6,347) 1 12,522 00 $11.67
2012 4q (3,666) $11.79
2012 3q 876 9,138,607 753,749 8.2% (4,005) 00 1 12,522 $12.36
2012 2q $12.42
2012 1q 876 9,138,607 792,910 8.7% 624 1 6,829 00 $12.34
2011 4q 54,363 $11.92
2011 3q 875 9,131,778 769,418 8.4% 63,613 00 1 6,829 $12.83
2011 2q $13.28
2011 1q 875 9,131,778 763,071 8.4% 8,195 1 13,200 1 6,829 $13.64
2010 4q 499 $13.56
2010 3q 874 9,118,578 746,205 8.2% 2 14,279 2 20,029
(1,150)
872 9,104,299 727,921 8.0% 26,792 1 9,100 4 34,308
15,513
871 9,095,199 719,445 7.9% 2 13,692 5 43,408

869 9,081,507 760,116 8.4% 00 4 29,621

870 9,083,807 826,029 9.1% 00 3 20,521

870 9,083,807 834,224 9.2% 2 10,284 1 6,829

868 9,073,523 824,439 9.1% 00 3 17,113

868 9,073,523 823,289 9.1% 1 4,196 1 6,000

867 9,069,327 845,885 9.3% 1 5,000 2 10,196

Source: CoStar Property®

30 The CoStar Retail Report ©2014 CoStar Group, Inc.

Mid-Year 2014 – Phoenix

Phoenix Retail Market

Scottsdale Market

Market Highlights – Class “A, B & C”

Deliveries, Absorption & Vacancy Historical Analysis, All Classes

0.200                         16.0%

      0.150 14.0%           
0.100 12.0%
0.050 10.0%
0.000 8.0%
(0.050) 6.0%
(0.100) 4.0%
2.0%

(0.150) 0.0%

2011 1q 2011 2q 2011 3q 2011 4q 2012 1q 2012 2q 2012 3q 2012 4q 2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q

Source: CoStar Property®

Vacant Space Quoted Rental Rates

Historical Analysis, All Classes Historical Analysis, All Classes

2.50            $21.20
$21.00
2.00 $20.80
$20.60
     1.50 $20.40Dollars/SF/Year
$20.20
1.00 $20.00
$19.80
0.50 $19.60
$19.40
0.00 $19.20

2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q 2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q

Source: CoStar Property® Source: CoStar Property®

Existing Inventory Vacancy Net Delivered Inventory UC Inventory Quoted
Absorption Rates
Period # Bldgs Total RBA Vacant SF Vacancy % # Bldgs Total RBA # Bldgs Total RBA $21.09
2014 2q 111,257 $20.88
2014 1q 1,205 19,278,705 1,547,818 8.0% 72,249 1 6,107 00 $20.40
2013 4q 96,109 $19.89
2013 3q 1,207 19,288,298 1,668,668 8.7% 3 39,257 1 6,107 $20.02
2013 2q 106,728 $20.35
2013 1q 1,206 19,374,231 1,826,850 9.4% (50,099) 4 13,875 3 39,257 $20.19
2012 4q 71,517 $20.48
2012 3q 1,203 19,367,756 1,916,484 9.9% 181,750 2 10,100 6 42,132 $20.73
2012 2q (47,068) $20.32
2012 1q 1,204 19,366,875 2,022,331 10.4% 68,890 3 27,620 5 19,591 $20.21
2011 4q 108,534 $20.63
2011 3q 1,201 19,339,255 1,944,612 10.1% 116,571 1 15,000 5 37,720 $20.67
2011 2q (51,256) $21.07
2011 1q 1,201 19,332,226 2,009,100 10.4% (129,060) 2 41,270 4 42,620 $21.12
2010 4q (95,044) $20.99
2010 3q 1,201 19,301,385 2,160,009 11.2% (44,652) 1 19,869 5 70,170
(56,832)
1,200 19,281,516 2,093,072 10.9% 00 4 65,339

1,206 19,505,238 2,385,684 12.2% 2 13,855 3 59,069

1,204 19,491,383 2,480,363 12.7% 1 4,000 3 48,855

1,204 19,543,383 2,648,934 13.6% 00 4 52,855

1,208 19,571,687 2,625,982 13.4% 00 1 4,000

1,208 19,571,687 2,496,922 12.8% 1 5,992 00

1,207 19,565,695 2,395,886 12.2% 00 1 5,992

1,207 19,565,695 2,351,234 12.0% 00 1 5,992

Source: CoStar Property®

©2014 CoStar Group, Inc. The CoStar Retail Report 31

Phoenix – Mid-Year 2014

Phoenix Retail Market

South Mountain Market

Market Highlights – Class “A, B & C”

Deliveries, Absorption & Vacancy Historical Analysis, All Classes

0.400                         12.0%
0.350
0.300 10.0%
0.250
0.200 8.0%           
0.150
      0.100 6.0%
0.050
0.000 4.0%
(0.050)
(0.100) 2.0%

0.0%
2011 1q 2011 2q 2011 3q 2011 4q 2012 1q 2012 2q 2012 3q 2012 4q 2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q

Source: CoStar Property®

Vacant Space Quoted Rental Rates

Historical Analysis, All Classes Historical Analysis, All Classes

0.60            $18.00

0.50 $17.50

     0.40 $17.00Dollars/SF/Year

0.30 $16.50

0.20 $16.00

0.10 $15.50

0.00 $15.00
2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q
2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q
Source: CoStar Property®
Source: CoStar Property®

Existing Inventory Vacancy Net Delivered Inventory UC Inventory Quoted
Absorption Rates
Period # Bldgs Total RBA Vacant SF Vacancy % # Bldgs Total RBA # Bldgs Total RBA $17.61
2014 2q 768 $16.78
2014 1q 328 6,553,658 434,284 6.6% 50,358 00 00 $16.50
2013 4q 28,506 $16.35
2013 3q 328 6,553,658 435,052 6.6% 60,590 2 6,894 00 $16.36
2013 2q 334,581 $16.02
2013 1q 326 6,546,764 478,516 7.3% 42,658 00 2 6,894 $16.02
2012 4q 62,986 $16.25
2012 3q 326 6,546,764 507,022 7.7% 28,339 00 1 3,669 $16.07
2012 2q (10,877) $16.45
2012 1q 326 6,546,764 567,612 8.7% 9 356,184 00 $16.55
2011 4q 9,955 $17.60
2011 3q 317 6,190,580 546,009 8.8% 9,516 1 5,000 9 356,184 $18.00
2011 2q (24,771) $18.88
2011 1q 316 6,185,580 583,667 9.4% 14,399 3 65,548 10 361,184 $18.88
2010 4q (68,272) $19.11
2010 3q 314 6,127,382 588,455 9.6% 76,386 00 13 426,732
31,929
314 6,127,382 616,794 10.1% 00 12 421,732

314 6,127,382 605,917 9.9% 1 28,000 1 6,948

313 6,099,382 587,872 9.6% 00 2 34,948

313 6,099,382 597,388 9.8% 00 1 6,948

313 6,099,382 572,617 9.4% 1 14,000 1 6,948

312 6,085,382 573,016 9.4% 00 2 20,948

312 6,085,382 504,744 8.3% 2 56,693 2 20,948

310 6,028,689 524,437 8.7% 00 3 63,641

Source: CoStar Property®

32 The CoStar Retail Report ©2014 CoStar Group, Inc.

Mid-Year 2014 – Phoenix

Phoenix Retail Market

West Phoenix Market

Market Highlights – Class “A, B & C”

Deliveries, Absorption & Vacancy Historical Analysis, All Classes

0.250                         14.0%

0.200 12.0%

0.150 10.0%

      0.100 8.0%           

0.050 6.0%

0.000 4.0%

(0.050) 2.0%

(0.100) 0.0%

2011 1q 2011 2q 2011 3q 2011 4q 2012 1q 2012 2q 2012 3q 2012 4q 2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q

Source: CoStar Property®

Vacant Space Quoted Rental Rates

Historical Analysis, All Classes Historical Analysis, All Classes

2.50            $13.45
$13.40
2.00 $13.35
$13.30
     1.50 Dollars/SF/Year$13.25
$13.20
1.00 $13.15
$13.10
0.50 $13.05
$13.00
0.00 $12.95

2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q 2013 1q 2013 2q 2013 3q 2013 4q 2014 1q 2014 2q

Source: CoStar Property® Source: CoStar Property®

Existing Inventory Vacancy Net Delivered Inventory UC Inventory Quoted
Absorption Rates
Period # Bldgs Total RBA Vacant SF Vacancy % # Bldgs Total RBA # Bldgs Total RBA $13.37
2014 2q (2,832) $13.33
2014 1q 1,357 22,474,600 1,772,851 7.9% 88,531 00 6 41,538 $13.36
2013 4q 109,436 $13.39
2013 3q 1,357 22,474,600 1,770,019 7.9% 36,546 1 5,345 2 9,613 $13.39
2013 2q 93,204 $13.13
2013 1q 1,356 22,469,255 1,853,205 8.2% 62,653 5 46,110 1 5,345 $13.44
2012 4q 67,319 $13.75
2012 3q 1,351 22,423,145 1,916,531 8.5% 67,804 1 9,100 6 51,455 $13.90
2012 2q 160,772 $13.70
2012 1q 1,351 22,417,016 1,946,948 8.7% 126,651 1 2,985 4 36,392 $14.04
2011 4q 140,910 $15.14
2011 3q 1,350 22,414,031 2,037,167 9.1% 136,111 1 2,000 1 2,985 $15.81
2011 2q 220,005 $15.73
2011 1q 1,350 22,414,431 2,100,220 9.4% (53,273) 5 50,912 2 4,985 $16.11
2010 4q 116,560 $15.62
2010 3q 1,345 22,363,519 2,116,627 9.5% 48,175 1 27,536 6 52,912

1,344 22,335,983 2,156,895 9.7% 2 152,229 6 78,448

1,342 22,183,754 2,165,438 9.8% 3 17,470 4 194,585

1,339 22,166,284 2,274,619 10.3% 2 13,873 6 184,519

1,337 22,152,411 2,401,656 10.8% 2 169,337 8 198,392

1,335 21,983,074 2,368,430 10.8% 4 24,590 4 193,530

1,331 21,958,484 2,563,845 11.7% 2 6,417 7 208,747

1,329 21,952,067 2,504,155 11.4% 00 8 210,964

1,329 21,952,067 2,620,715 11.9% 00 3 21,237

Source: CoStar Property®

©2014 CoStar Group, Inc. The CoStar Retail Report 33

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