EFTA01388949.pdf

18 October 2016 REITs US REIT 3O16 Earnings Preview Shopping Centers: Store closures to hit 30 internal growth, but progress for re-tenanting more important IFigure 53: 1-Month Shopping Center performance Figure 54: YTD Shopping Center performance WOO Retail Lod WAIN a. 911, nm w I :14S Mown ••• 9 3\ • t sestets' eine,se eett&tetit eiotnecit As of 1W14/16 As of 10/14/16 Seuroa 0 11•t SAL Source Damn _n [Figure 55: Vacancy up and rents down modestly in 3O 'Figure 56: 2016 SS NOI growth similar to 1H level , 4% ax 120% 1 l 2% sic 4% "n4 I g 3% •0%j •1% 2 2% e0%' -2% 1% 20% 1 0% en 00R coy FRT NSW/ REO RPA1 RPT Mina. 0 0% . . . . . •*MS • 1016 42016 temenesciswg..?wei,ett • 2016 SS NOI guidance on average at the Teeth n Erecthv Wye —VOCPerfert midpoint is —3%, implying steady results in 21-I, • National vacancy rate was up 10bps q/q to 1O% although additional potential store closures present downside risk. • Effective rent growth was down relative to last O to 1.9% y/y. Sias Jana Ea. Su San arch* era, cerary cla• Key Shopping Center topics/gees:ions for the quarter • Development and redevelopment outlook • Anchor and small shop retailer health • Sports Authority releasing, downtime arid capex update • Logans Roadhouse and Golfsmith exposure and store closures • Outlook and thoughts on Staples/Office Depot (SPLS: DB Hold rated, USD7.561ODP: DB Hold rated, USD3.34, both by Mike Baker) New watchlist tenants Deutsche Bank Securities Inc. Poet. CONFIDENTIAL - PURSUANT TO FED. R. CRIM. P. 6(e) DB-SDNY-0092954 CONFIDENTIAL SDNY_GM_00239138 EFTA01388949