----

----

| x | ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|---|--------------------------------------------------------------------------------------|

| o | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|---|------------------------------------------------------------------------------------------|

----

----

|   | EQUITY ONE, INC.                                       |   |
|--------|--------------------------------------------------------|--------|
|   | (Exact name of Registrant as specified in its charter) |   |

| Maryland                                                      |   | 52-1794271                          |
|---------------------------------------------------------------|--------|-------------------------------------|
| (State or other jurisdiction ofincorporation or organization) |   | (I.R.S. Employeridentification No.) |

| 1600 N.E. Miami Gardens DriveNorth Miami Beach, FL |   | 33179      |
|----------------------------------------------------|--------|------------|
| (Address of principal executive offices)           |   | (Zip code) |

----

| Common Stock, $.01 Par Value | New York Stock Exchange                |
|------------------------------|----------------------------------------|
| (Title of each class)        | (Name of exchange on which registered) |

----

EQU

|     |                                                                                                               | Page   |
|----------|--------------------------------------------------------------------------------------------------------------------|--------|
|     |                                                                                                               |   |
|     | Part I                                                                                                             |   |
| Item 1.  | Business                                                                                                           | 1      |
| Item 1A. | Risk Factors                                                                                                       | 5      |
| Item 1B. | Unresolved Staff Comments                                                                                          | 13     |
| Item 2.  | Properties                                                                                                         | 14     |
| Item 3.  | Legal Proceedings                                                                                                  | 23     |
| Item 4.  | Removed and Reserved                                                                                               | 23     |
|     |                                                                                                               |   |
|     | Part II                                                                                                            |   |
| Item 5.  | Market For Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities | 24     |
| Item 6.  | Selected Financial Data                                                                                            | 26     |
| Item 7.  | Management’s Discussion and Analysis of Financial Condition and Results of Operations                        | 28     |
| Item 7A. | Quantitative and Qualitative Disclosures about Market Risk                                                         | 50     |
| Item 8.  | Financial Statements and Supplementary Data                                                                        | 50     |
| Item 9.  | Changes in and Disagreements with Accountants on Accounting and Financial Disclosure                               | 50     |
| Item 9A. | Controls and Procedures                                                                                            | 50     |
| Item 9B. | Other information                                                                                                  | 51     |
|     |                                                                                                               |   |
|     | Part III                                                                                                           |   |
| Item 10. | Directors, Executive Officers and Corporate Governance                                                             | 52     |
| Item 11. | Executive Compensation                                                                                             | 52     |
| Item 12. | Security Ownership of Certain Beneficial Owners and Management                                                     | 52     |
| Item 13. | Certain Relationships and Related Transactions and Director Independence                                           | 52     |
| Item 14. | Principal Accounting Fees and Services                                                                             | 52     |
|     |                                                                                                               |   |
|     | Part IV                                                                                                            |   |
| Item 15. | Exhibits and Financial Statement Schedules                                                                         | 53     |
|     | Signatures                                                                                                         | 57     |

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Table of Contents

| ITEM 1. | BUSINESS |
|---------|----------|

|   | · | Operating Strategy: Maximizing the internal growth of revenue from our shopping centers by leasing and re-leasing those properties to a diverse group of creditworthy tenants at higher rental rates and redeveloping those properties to make them more attractive to tenants or to permit additional or better uses; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Investment Strategy:  Using capital wisely to renovate or redevelop our properties and to acquire and develop additional shopping centers where expected returns meet or exceed our standards as well as by investing in strategic partnerships that minimize operational or other risks; and |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Capital Strategy:  Financing our capital requirements with internally generated funds, borrowings under our existing credit facilities, proceeds from selling properties that do not meet our investment criteria and proceeds from institutional partners and the debt and equity capital markets. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | actively manage and maintain the high standards and physical appearance of our assets while maintaining competitive tenant occupancy costs; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | maintain a diverse tenant base in order to limit exposure to any one tenant’s financial condition; |
|--------|--------|----------------------------------------------------------------------------------------------------------|

|   | · | develop strong, mutually beneficial relationships with creditworthy tenants, particularly our anchor tenants, by consistently meeting or exceeding their expectations; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | · | maintain or increase rental rates upon the renewal of expiring leases or as we lease space to new tenants while limiting vacancy and down-time; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | evaluate renovation or redevelopment opportunities that will make our properties more attractive for leasing or re-leasing to tenants; and |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | take advantage of under-utilized land or existing square footage, or re-configure properties for better uses. |
|--------|--------|---------------------------------------------------------------------------------------------------------------|

|   | · | re-developing, renovating, expanding, reconfiguring and/or re-tenanting our existing properties; |
|--------|--------|--------------------------------------------------------------------------------------------------|

|   | · | selectively acquiring shopping centers that will benefit from our active management and leasing strategies; |
|--------|--------|-------------------------------------------------------------------------------------------------------------|

|   | · | selectively acquiring vacant and occupied land for the purpose of developing new shopping centers to meet the needs of expanding retailers; and |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | investing in strategic partnerships in real estate related ventures where we act as a manager and utilize our expertise. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------|

|   | · | the expected returns in relation to our cost of capital, as well as the anticipated risks we will face in achieving the expected returns; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | the current and projected cash flow of the property and the potential to increase that cash flow; |
|--------|--------|---------------------------------------------------------------------------------------------------|

|   | · | the tenant mix at the property, tenant sales performance and the creditworthiness of those tenants; |
|--------|--------|-----------------------------------------------------------------------------------------------------|

|   | · | economic, demographic, regulatory and zoning conditions in the property’s local and regional market; |
|--------|--------|------------------------------------------------------------------------------------------------------------|

|   | · | competitive conditions in the vicinity of the property, including competition for tenants and the potential that others may create competing properties through redevelopment, new construction or renovation; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | the level and success of our existing investments in the relevant market; |
|--------|--------|---------------------------------------------------------------------------|

|   | · | the current market value of the land, buildings and other improvements and the potential for increasing those market values; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------|

|   | · | the physical configuration of the property, its visibility, ease of entry and exit, and availability of parking; and |
|--------|--------|----------------------------------------------------------------------------------------------------------------------|

|   | · | the physical condition of the land, buildings and other improvements, including the structural and environmental conditions. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------|

|   | · | maintaining a prudent level of overall leverage and an appropriate pool of unencumbered properties that is sufficient to support our unsecured borrowings; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | managing our exposure to variable-rate debt; |
|--------|--------|----------------------------------------------|

|   | · | taking advantage of market opportunities to refinance existing debt and manage our debt maturity schedule; |
|--------|--------|------------------------------------------------------------------------------------------------------------|

|   | · | selling properties that have limited growth potential or are not a strategic fit within our overall portfolio and redeploying the proceeds elsewhere in our business; |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | using joint venture arrangements to access less expensive capital, mitigate capital risk, or to capitalize on the expertise of local real estate partners. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------|

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Table of Contents

|   | Equity One, Inc.                    |
|--------|-------------------------------------|
|   | 1600 N.E. Miami Gardens Drive       |
|   | North Miami Beach, Florida 33179    |
|   | Attn: Investor Relations Department |
|   | (305) 947-1664                      |

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Table of Contents

| ITEM 1A. | RISK FACTORS |
|----------|--------------|

----

Table of Contents

|   | · | require us to dedicate a substantial portion of our cash flow from operations to payments on our debt, thereby reducing funds available for operations, property acquisitions, redevelopments and other appropriate business opportunities that may arise in the future; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | limit our ability to make distributions on our outstanding shares of our common stock, including the payment of dividends required to maintain our status as a REIT; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | make it difficult to satisfy our debt service requirements; |
|--------|--------|-------------------------------------------------------------|

|   | · | limit our flexibility in planning for, or reacting to, changes in our business and the factors that affect the profitability of our business, which may place us at a disadvantage compared to competitors with less debt or debt with less restrictive terms; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | adversely affect financial ratios and debt and operational coverage levels monitored by rating agencies and adversely affect the ratings assigned to our unsecured debt; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | limit our ability to obtain any additional debt or equity financing we may need in the future for working capital, debt refinancing, capital expenditures, acquisitions, redevelopment or other general corporate purposes or to obtain such financing on favorable terms; and |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | require us to dedicate increased amounts of our cash flow from operations to payments on our variable rate, unhedged debt if interest rates rise. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------|

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----

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|   | · | significant time lag between commencement and completion subjects us to greater risks due to fluctuations in the general economy; |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------|

|   | · | failure or inability to obtain construction or permanent financing on favorable terms; |
|--------|--------|----------------------------------------------------------------------------------------|

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|   | · | expenditure of money and time on projects that may never be completed; |
|--------|--------|------------------------------------------------------------------------|

|   | · | inability to achieve projected rental rates or anticipated pace of lease-up; |
|--------|--------|------------------------------------------------------------------------------|

|   | · | higher-than-estimated construction costs, including labor and material costs; and |
|--------|--------|-----------------------------------------------------------------------------------|

|   | · | possible delay in completion of the project because of a number of factors, including weather, labor disruptions, construction delays or delays in receipt of zoning or other regulatory approvals, or man-made or natural disasters (such as fires, hurricanes, earthquakes or floods). |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | we may not be able to identify suitable properties to acquire or may be unable to complete the acquisition of the properties we identify; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | we may not be able to integrate any acquisitions into our existing operations successfully; |
|--------|--------|---------------------------------------------------------------------------------------------|

|   | · | properties we acquire may fail to achieve the occupancy or rental rates we project at the time we make the decision to acquire, which may result in the properties’ failure to achieve the returns we projected; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | our pre-acquisition evaluation of the physical condition of each new investment may not detect certain defects or identify necessary repairs, which could significantly increase our total acquisition costs; and |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | our investigation of a property or building prior to our acquisition, and any representations we may receive from the seller of such building or property, may fail to reveal various liabilities, which could reduce the cash flow from the property or increase our acquisition cost. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

Table of Contents

|   | · | reducing properties available for acquisition; |
|--------|--------|------------------------------------------------|

|   | · | increasing the cost of properties available for acquisition; |
|--------|--------|--------------------------------------------------------------|

|   | · | reducing the rate of return on these properties; |
|--------|--------|--------------------------------------------------|

|   | · | reducing rents payable to us; |
|--------|--------|-------------------------------|

|   | · | interfering with our ability to attract and retain tenants; |
|--------|--------|-------------------------------------------------------------|

|   | · | leading to increased vacancy rates at our properties; and |
|--------|--------|-----------------------------------------------------------|

|   | · | adversely affecting our ability to minimize expenses of operation. |
|--------|--------|--------------------------------------------------------------------|

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|   | · | we would not be allowed a deduction for distributions to stockholders in computing taxable income, and therefore our taxable income or alternative minimum taxable income so computed would be fully subject to the regular federal income tax or the federal alternative minimum tax; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | unless we are entitled to relief under specific statutory provisions, we could not elect to be taxed as a REIT again for the four taxable years following the year during which we were disqualified; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | we could be required to pay significant income taxes, which would substantially reduce the funds available for investment or for distribution to our stockholders for each year in which we failed or were not permitted to qualify; and |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | the tax laws would no longer require us to pay any distributions to our stockholders. |
|--------|--------|---------------------------------------------------------------------------------------|

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|   | · | our financial condition and results of future operations; |
|--------|--------|-----------------------------------------------------------|

|   | · | the performance of lease terms by tenants; |
|--------|--------|--------------------------------------------|

|   | · | the terms of our loan covenants; and |
|--------|--------|--------------------------------------|

|   | · | our ability to acquire, finance, develop or redevelop and lease additional properties at attractive rates. |
|--------|--------|------------------------------------------------------------------------------------------------------------|

|   | · | the REIT ownership limit described above; |
|--------|--------|-------------------------------------------|

|   | · | the ability to issue preferred stock with the powers, preferences or rights determined by our board of directors; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------|

|   | · | special meetings of our stockholders may be called only by the chairman of the board, the chief executive officer, the president or by the board of directors; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | advance notice requirements for stockholder proposals; |
|--------|--------|--------------------------------------------------------|

|   | · | the absence of cumulative voting rights; and |
|--------|--------|----------------------------------------------|

|   | · | provisions relating to the removal of incumbent directors. |
|--------|--------|------------------------------------------------------------|

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|   | · | the stockholder’s failure to make a payment of principal or interest when due; |
|--------|--------|--------------------------------------------------------------------------------------|

|   | · | a reduction in the dividend we pay on our common stock; |
|--------|--------|---------------------------------------------------------|

|   | · | the occurrence of another default that would entitle any of the stockholder’s other creditors to accelerate payment of any debts and obligations owed to them by the stockholder; |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | if the bank, in its absolute discretion, deems that a change has occurred in the condition of the stockholder to which the bank has not given its prior written consent; and |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | if, in the opinion of the bank, the value of the pledged shares has been reduced or is likely to be reduced (for example, the price of our common stock declines). |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ITEM 1B. | UNRESOLVED STAFF COMMENTS |
|----------|---------------------------|

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Table of Contents

| ITEM 2. | PROPERTIES |
|---------|------------|

| Property                                     |   | YearBuilt /Renovated |   |    | TotalSq. Ft.Owned |    |   | PercentLeased |   |   | Averagebase rentper leased SF |   | Grocer Anchor | Other anchor tenants |
|----------------------------------------------|--------|----------------------|--------|---------|-------------------|---------|--------|---------------|--------|--------|-------------------------------|--------|---------------|----------------------|
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |
| ALABAMA (2)                                  |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |
| Madison Centre                               |   | 1997                 |   |    |              | 64,837  |   |          |   | 97.5   | %                             |   | $             | 9.89                 |   | Publix | Rite Aid |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |
| Winchester Plaza                             |   | 2006                 |   |    |              | 75,700  |   |          |   | 93.4   | %                             |   |          | 11.79                |   | Publix |   |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |
|  TOTAL SHOPPING CENTERS ALABAMA (2)     |   |                 |   | 140,537 |              |    |   | 95.3          | %      |   | $                             | 10.89  |          |                 |   |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |
| CONNECTICUT (1)                              |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |
| Brookside Plaza**                            |   | 1985 / 2006          |   |    |              | 213,323 |   |          |   | 92.2   | %                             |   | $             | 11.82                |   | Shaw's | Bed Bath & Beyond / Walgreens / Staples /Petsmart |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |    |
|  TOTAL SHOPPING CENTERS CONNECTICUT (1) |   |                 |   | 213,323 |              |    |   | 92.2          | %      |   | $                             | 11.82  |          |                 |   |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| FLORIDA (81)                                 |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Orlando / Central Florida (10)               |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Alafaya Commons                              |   | 1987                 |   |    |              | 126,333 |   |          |   | 88.9   | %                             |   | $             | 14.41                |   | Publix |   |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Alafaya Village                              |   | 1986                 |   |    |              | 38,118  |   |          |   | 92.7   | %                             |   |          | 20.66                |   |   | Metro Fitness (shadow) |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Conway Crossing                              |   | 2002                 |   |    |              | 76,321  |   |          |   | 84.2   | %                             |   |          | 11.42                |   | Publix |   |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Eastwood, Shoppes of                         |   | 1997                 |   |    |              | 69,037  |   |          |   | 100.0  | %                             |   |          | 12.19                |   | Publix |   |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Hunter's Creek                               |   | 1998                 |   |    |              | 73,204  |   |          |   | 98.2   | %                             |   |          | 13.80                |   |   | Office Depot / Lifestyle Family Fitness |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Kirkman Shoppes                              |   | 1973                 |   |    |              | 88,820  |   |          |   | 90.9   | %                             |   |          | 18.70                |   |   | Party America |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Lake Mary Centre                             |   | 1988 / 2001          |   |    |              | 340,434 |   |          |   | 94.5   | %                             |   |          | 12.85                |   | Albertsons | Kmart / Lifestyle Fitness Center /    Office Depot |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Park Promenade                               |   | 1987 / 2000          |   |    |              | 128,848 |   |          |   | 77.0   | %                             |   |          | 7.58                 |   |   | Beauty Depot / Orange County Library |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Town & Country                           |   | 1993                 |   |    |              | 72,043  |   |          |   | 95.6   | %                             |   |          | 8.73                 |   | Albertsons*(Ross DressFor Less) |   |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Unigold Shopping Center                      |   | 1987                 |   |    |              | 117,527 |   |          |   | 80.1   | %                             |   |          | 11.78                |   | Winn-Dixie |   |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Jacksonville / North Florida (9)             |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Atlantic Village                             |   | 1984                 |   |    |              | 100,559 |   |          |   | 89.9   | %                             |   |          | 11.27                |   | Publix | Jo-Ann Fabric & Crafts |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Beauclerc Village                            |   | 1962 / 1988          |   |    |              | 68,846  |   |          |   | 94.8   | %                             |   |          | 9.03                 |   |   | Big Lots / Goodwill / Bealls Outlet |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Forest Village                               |   | 2000                 |   |    |              | 71,526  |   |          |   | 86.7   | %                             |   |          | 10.89                |   | Publix |   |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Ft. Caroline                                 |   | 1985 / 1995          |   |    |              | 71,816  |   |          |   | 86.5   | %                             |   |          | 7.00                 |   | Winn-Dixie | Citi Trends |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Mandarin Landing                             |   | 1976                 |   |    |              | 139,580 |   |          |   | 68.5   | %                             |   |          | 17.24                |   | Whole Foods | Office Depot |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Medical & Merchants                      |   | 1993                 |   |    |              | 156,153 |   |          |   | 88.2   | %                             |   |          | 13.03                |   | Publix | Memorial Hospital |
|                                         |   |                 |   |    |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Middle Beach  Shopping Center      |   | 1994                 |   |    |              | 69,277  |   |          |   | 91.3   | %                             |   |          | 9.24                 |   | Publix* |   |

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Table of Contents

| Property                               |   | YearBuilt /Renovated |   |   | TotalSq. Ft.Owned |    |   | PercentLeased |   |   | Averagebase rentper leased SF |   | Grocer Anchor | Other anchor tenants |
|----------------------------------------|--------|----------------------|--------|--------|-------------------|---------|--------|---------------|--------|--------|-------------------------------|--------|---------------|----------------------|
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |
| Oak Hill                               |   | 1985 / 1997          |   |   |              | 78,492  |   |          |   | 96.5   | %                             |   | $             | 7.99                 |   | Publix | Beall's |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| South Beach**                          |   | 1990 / 1991          |   |   |              | 303,048 |   |          |   | 94.1   | %                             |   |          | 12.39                |   |   | Beall's / Bed Bath & Beyond / Home Depot / Stein Mart / Staples |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Miami-Dade / Broward / Palm Beach (33) |   |                 |   |   |              |    |   |          |   |   |                          |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Bird Ludlum                            |   | 1988 / 1998          |   |   |              | 192,282 |   |          |   | 97.7   | %                             |   |          | 17.57                |   | Winn-Dixie | CVS Pharmacy / Bird Executive / Goodwill |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Boynton Plaza                          |   | 1978 / 1999          |   |   |              | 99,324  |   |          |   | 92.6   | %                             |   |          | 13.11                |   | Publix | CVS Pharmacy |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Bluffs Square                          |   | 1986                 |   |   |              | 132,395 |   |          |   | 81.7   | %                             |   |          | 13.03                |   | Publix | Walgreens |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Chapel Trail                           |   | 2007                 |   |   |              | 56,378  |   |          |   | 97.2   | %                             |   |          | 21.52                |   |   | LA Fitness |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Coral Reef Shopping Center             |   | 1968 / 1990          |   |   |              | 74,680  |   |          |   | 100.0  | %                             |   |          | 24.56                |   |   | Office Depot / Walgreen's |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Countryside Shops                      |   | 1986 / 1988 / 1991   |   |   |              | 179,561 |   |          |   | 93.7   | %                             |   |          | 13.35                |   | Publix | CVS Pharmacy / Stein Mart |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Crossroads Square                      |   | 1973                 |   |   |              | 84,387  |   |          |   | 78.3   | %                             |   |          | 17.61                |   |   | CVS Pharmacy |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| CVS Plaza                              |   | 2004                 |   |   |              | 18,214  |   |          |   | 85.7   | %                             |   |          | 22.66                |   |   |   |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| El Novillo                             |   | 1970 / 2000          |   |   |              | 10,000  |   |          |   | 100.0  | %                             |   |          | 23.15                |   |   | Jumbo Buffet |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Greenwood                              |   | 1982 / 1994          |   |   |              | 132,325 |   |          |   | 87.7   | %                             |   |          | 12.55                |   | Publix | Bealls Outlet |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Jonathan's Landing                     |   | 1997                 |   |   |              | 26,820  |   |          |   | 62.5   | %                             |   |          | 23.36                |   | Publix(shadow) |   |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Lago Mar                               |   | 1995                 |   |   |              | 82,613  |   |          |   | 91.1   | %                             |   |          | 14.24                |   | Publix |   |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Lantana Village                        |   | 1976 / 1999          |   |   |              | 181,780 |   |          |   | 98.0   | %                             |   |          | 7.61                 |   | Winn-Dixie | Kmart / Rite Aid* (Family Dollar) |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Meadows                                |   | 1997                 |   |   |              | 75,524  |   |          |   | 97.4   | %                             |   |          | 13.96                |   | Publix |   |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Oakbrook Square                        |   | 1974 / 2000 / 2003   |   |   |              | 199,633 |   |          |   | 97.2   | %                             |   |          | 13.60                |   | Publix | Stein Mart / Home Goods / CVS / Basset Furniture / Duffy's |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Oaktree Plaza                          |   | 1985                 |   |   |              | 23,745  |   |          |   | 79.4   | %                             |   |          | 16.58                |   |   |   |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Pine Island                            |   | 1983 / 1999          |   |   |              | 254,907 |   |          |   | 90.2   | %                             |   |          | 11.96                |   | Publix | Home Depot Expo* / Staples |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Pine Ridge Square                      |   | 1986 / 1998 / 1999   |   |   |              | 117,399 |   |          |   | 88.4   | %                             |   |          | 13.31                |   | Fresh Market | Bed Bath & Beyond / Nordic Interiors |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Plaza Alegre                           |   | 2003                 |   |   |              | 91,611  |   |          |   | 96.1   | %                             |   |          | 16.51                |   | Publix | Goodwill |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Point Royale                           |   | 1970 / 2000          |   |   |              | 216,760 |   |          |   | 99.3   | %                             |   |          | 7.75                 |   | Winn-Dixie | Best Buy |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Prosperity Centre                      |   | 1993                 |   |   |              | 122,014 |   |          |   | 96.6   | %                             |   |          | 17.09                |   |   | Office Depot / CVS / Bed Bath & Beyond /  TJ Maxx |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Ridge Plaza                            |   | 1984 / 1999          |   |   |              | 155,204 |   |          |   | 95.9   | %                             |   |          | 10.91                |   |   | Ridge Theater / Kabooms / Wachovia* (United Collection) / Round Up / Goodwill |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Riverside Square                       |   | 1987                 |   |   |              | 104,241 |   |          |   | 84.3   | %                             |   |          | 13.33                |   | Publix |   |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Sawgrass Promenade                     |   | 1982 / 1998          |   |   |              | 107,092 |   |          |   | 84.5   | %                             |   |          | 11.46                |   | Publix | Walgreens |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Sheridan Plaza                         |   | 1973 / 1991          |   |   |              | 508,455 |   |          |   | 98.6   | %                             |   |          | 14.56                |   | Publix | Kohl's / Ross / Bed Bath & Beyond / Office Depot / LA Fitness / USA Baby & Child Space / Assoc. in Neurology |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Shoppes of Andros Isles                |   | 2000                 |   |   |              | 79,420  |   |          |   | 89.4   | %                             |   |          | 12.66                |   | Publix |   |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Shoppes of Silverlakes                 |   | 1995 / 1997          |   |   |              | 126,788 |   |          |   | 89.8   | %                             |   |          | 16.82                |   | Publix |   |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Shops at Skylake                       |   | 1999 / 2005 / 2006   |   |   |              | 287,816 |   |          |   | 94.8   | %                             |   |          | 17.34                |   | Publix | TJMaxx / LA Fitness / Goodwill |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Tamarac Town Square                    |   | 1987                 |   |   |              | 127,635 |   |          |   | 76.1   | %                             |   |          | 10.92                |   | Publix | Dollar Tree |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Waterstone                             |   | 2005                 |   |   |              | 61,000  |   |          |   | 97.1   | %                             |   |          | 14.54                |   | Publix |   |
|                                   |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| West Lakes Plaza                       |   | 1984 / 2000          |   |   |              | 100,747 |   |          |   | 100.0  | %                             |   |          | 12.89                |   | Winn-Dixie | Navarro Pharmacy |

----

Table of Contents

| Property                                                   |   | YearBuilt /Renovated |   |   | TotalSq. Ft.Owned |    |   | PercentLeased |   |   | Averagebase rentper leased SF |   | Grocer Anchor | Other anchor tenants |
|------------------------------------------------------------|--------|----------------------|--------|--------|-------------------|---------|--------|---------------|--------|--------|-------------------------------|--------|---------------|----------------------|
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |
| Westport Plaza                                             |   | 2002                 |   |   |              | 49,533  |   |          |   | 100.0  | %                             |   | $             | 17.12                |   | Publix |   |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |
| Young Circle                                               |   | 1962 / 1997          |   |   |              | 65,834  |   |          |   | 98.1   | %                             |   |          | 15.56                |   | Publix | Walgreens |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Florida Treasure / Northeast Coast (8)                     |   |                 |   |   |              |    |   |          |   |   |                          |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Cashmere Corners                                           |   | 2001                 |   |   |              | 92,734  |   |          |   | 87.8   | %                             |   |          | 8.36                 |   | Albertsons |   |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| New Smyrna Beach                                           |   | 1987                 |   |   |              | 118,451 |   |          |   | 100.0  | %                             |   |          | 11.84                |   | Publix | Bealls Outlet |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Old King Commons                                           |   | 1988                 |   |   |              | 84,759  |   |          |   | 91.5   | %                             |   |          | 8.15                 |   |   | Wal-Mart |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Ryanwood                                                   |   | 1987                 |   |   |              | 114,925 |   |          |   | 94.3   | %                             |   |          | 11.33                |   | Publix | Bealls Outlet / Books-A-Million |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Salerno Village                                            |   | 1987                 |   |   |              | 82,477  |   |          |   | 91.0   | %                             |   |          | 10.12                |   | Winn-Dixie | CVS Pharmacy |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Shops at St. Lucie                                         |   | 2006                 |   |   |              | 19,361  |   |          |   | 91.0   | %                             |   |          | 22.28                |   |   |   |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| South Point Center                                         |   | 2003                 |   |   |              | 64,790  |   |          |   | 88.1   | %                             |   |          | 15.70                |   | Publix |   |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Treasure Coast                                             |   | 1983                 |   |   |              | 133,781 |   |          |   | 96.6   | %                             |   |          | 11.48                |   | Publix | TJ Maxx |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Tampa / St. Petersburg / Venice / Cape Coral / Naples (21) |   |                 |   |   |              |    |   |          |   |   |                          |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Bay Pointe Plaza                                           |   | 1984 / 2002          |   |   |              | 103,986 |   |          |   | 95.6   | %                             |   |          | 10.44                |   | Publix | Bealls Outlet |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Carrollwood                                                |   | 1970 / 2002          |   |   |              | 94,203  |   |          |   | 94.6   | %                             |   |          | 13.28                |   | Publix | Golf Locker |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Charlotte Square                                           |   | 1980                 |   |   |              | 96,188  |   |          |   | 74.8   | %                             |   |          | 7.14                 |   | Publix*(American Signature Furniture) | Seafood Buffet |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Chelsea Place                                              |   | 1992                 |   |   |              | 81,144  |   |          |   | 96.5   | %                             |   |          | 11.79                |   | Publix |   |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Dolphin Village                                            |   | 1967/1990            |   |   |              | 138,129 |   |          |   | 77.4   | %                             |   |          | 11.42                |   | Publix | Dollar Tree, CVS |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Lake St. Charles                                           |   | 1999                 |   |   |              | 57,015  |   |          |   | 100.0  | %                             |   |          | 10.35                |   | Sweet Bay |   |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Lutz Lake                                                  |   | 2002                 |   |   |              | 64,985  |   |          |   | 95.8   | %                             |   |          | 14.07                |   | Publix |   |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Marco Town Center                                          |   | 2001                 |   |   |              | 109,830 |   |          |   | 82.2   | %                             |   |          | 17.55                |   | Publix |   |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Mariners Crossing                                          |   | 1989 / 1999          |   |   |              | 97,812  |   |          |   | 89.9   | %                             |   |          | 10.48                |   | Sweet Bay |   |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Midpoint Center                                            |   | 2002                 |   |   |              | 75,386  |   |          |   | 97.8   | %                             |   |          | 12.11                |   | Publix |   |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Pavilion                                                   |   | 1982                 |   |   |              | 167,745 |   |          |   | 93.9   | %                             |   |          | 13.27                |   | Publix | Pavilion 6 Theatre / Anthony's |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Regency Crossing                                           |   | 1986 / 2001          |   |   |              | 85,864  |   |          |   | 81.9   | %                             |   |          | 10.23                |   | Publix |   |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Ross Plaza                                                 |   | 1984 / 1996          |   |   |              | 90,826  |   |          |   | 95.3   | %                             |   |          | 12.38                |   |   | Ross Dress for Less / Deals |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Seven Hills                                                |   | 1991                 |   |   |              | 72,590  |   |          |   | 87.8   | %                             |   |          | 10.27                |   | Publix |   |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Shoppes of North Port                                      |   | 1991                 |   |   |              | 84,705  |   |          |   | 94.9   | %                             |   |          | 10.27                |   | Publix | Bealls Outlet |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Summerlin Square                                           |   | 1986 / 1998          |   |   |              | 109,156 |   |          |   | 55.4   | %                             |   |          | 9.58                 |   | Winn-Dixie | Lee County Sheriff's Office |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Sunlake                                                    |   | 2009                 |   |   |              | 89,516  |   |          |   | 77.3   | %                             |   |          | 16.32                |   | Publix |   |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Sunpoint Shopping Center                                   |   | 1984                 |   |   |              | 132,374 |   |          |   | 66.7   | %                             |   |          | 8.19                 |   |   | Goodwill / Ozzie's Buffet / Big Lots / Chapter 13 Trustee |
|                                                       |   |                 |   |   |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Venice Plaza                                               |   | 1971 / 1979 / 1999   |   |   |              | 132,345 |   |          |   | 97.5   | %                             |   |          | 6.24                 |   | Sweet Bay | TJ Maxx |

----

Table of Contents

| Property                                  |   | YearBuilt /Renovated |   |      | TotalSq. Ft.Owned |    |   | PercentLeased |   |   | Averagebase rentper leased SF |   | Grocer Anchor | Other anchor tenants |
|-------------------------------------------|--------|----------------------|--------|-----------|-------------------|---------|--------|---------------|--------|--------|-------------------------------|--------|---------------|----------------------|
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |
| Venice Shopping Center                    |   | 1968 / 2000          |   |      |              | 109,801 |   |          |   | 81.5   | %                             |   | $             | 5.46                 |   | Publix | Beall's Outlet |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Walden Woods                              |   | 1985 / 1998 / 2003   |   |      |              | 75,874  |   |          |   | 98.7   | %                             |   |          | 8.44                 |   |   | Dollar Tree / Aaron Rents / Dollar General |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
|  TOTAL SHOPPING CENTERS FLORIDA (81) |   |                 |   | 9,116,851 |              |    |   | 90.7          | %      |   | $                             | 12.70  |          |                 |   |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| GEORGIA (24)                              |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Atlanta (20)                              |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| BridgeMill                                |   | 2000                 |   |      |              | 89,102  |   |          |   | 89.6   | %                             |   | $             | 15.46                |   | Publix |   |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Buckhead Station                          |   | 1996                 |   |      |              | 233,739 |   |          |   | 100.0  | %                             |   |          | 20.33                |   |   | Bed Bath & Beyond / TJ Maxx / Old Navy / Toys R Us / DSW / Ulta 3 / Nordstrom Rack |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Butler Creek                              |   | 1990                 |   |      |              | 95,597  |   |          |   | 88.7   | %                             |   |          | 10.09                |   | Kroger |   |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Chastain Square                           |   | 1981 / 2001          |   |      |              | 91,637  |   |          |   | 89.4   | %                             |   |          | 17.18                |   | Publix |   |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Commerce Crossing                         |   | 1988                 |   |      |              | 100,668 |   |          |   | 29.7   | %                             |   |          | 5.42                 |   |   | Fred's Store |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Douglas Commons                           |   | 1988                 |   |      |              | 97,027  |   |          |   | 98.9   | %                             |   |          | 10.83                |   | Kroger |   |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Fairview Oaks                             |   | 1997                 |   |      |              | 77,052  |   |          |   | 95.4   | %                             |   |          | 11.28                |   | Kroger |   |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Grassland Crossing                        |   | 1996                 |   |      |              | 90,906  |   |          |   | 97.3   | %                             |   |          | 11.74                |   | Kroger |   |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Hairston Center                           |   | 2000                 |   |      |              | 13,000  |   |          |   | 38.5   | %                             |   |          | 11.28                |   |   |   |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Hamilton Ridge                            |   | 2002                 |   |      |              | 90,996  |   |          |   | 83.6   | %                             |   |          | 11.40                |   | Kroger |   |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Mableton Crossing                         |   | 1997                 |   |      |              | 86,819  |   |          |   | 98.1   | %                             |   |          | 10.64                |   | Kroger |   |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Macland Pointe                            |   | 1992-93              |   |      |              | 79,699  |   |          |   | 96.6   | %                             |   |          | 10.07                |   | Publix |   |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Market Place                              |   | 1976                 |   |      |              | 77,706  |   |          |   | 92.1   | %                             |   |          | 11.92                |   |   | Galaxy Cinema |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Paulding Commons                          |   | 1991                 |   |      |              | 192,391 |   |          |   | 95.6   | %                             |   |          | 7.95                 |   | Kroger | Kmart |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Piedmont Peachtree Crossing               |   | 1978 / 1998          |   |      |              | 152,239 |   |          |   | 98.7   | %                             |   |          | 17.25                |   | Kroger | Cost Plus Store / Binders Art Supplies |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Powers Ferry Plaza                        |   | 1979 / 1987 / 1998   |   |      |              | 86,473  |   |          |   | 90.5   | %                             |   |          | 9.93                 |   |   | Micro Center |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Shops of Huntcrest                        |   | 2003                 |   |      |              | 97,040  |   |          |   | 87.8   | %                             |   |          | 12.98                |   | Publix |   |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Shops of Westridge                        |   | 2006                 |   |      |              | 66,297  |   |          |   | 78.9   | %                             |   |          | 12.70                |   | Publix |   |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Wesley Chapel                             |   | 1989                 |   |      |              | 170,792 |   |          |   | 62.7   | %                             |   |          | 6.59                 |   |   | Corinthian College / Little Giant |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Williamsburg @ Dunwoody                   |   | 1983                 |   |      |              | 44,928  |   |          |   | 89.0   | %                             |   |          | 20.35                |   |   |   |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Central / South Georgia (4)               |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Daniel Village                            |   | 1956 / 1997          |   |      |              | 171,932 |   |          |   | 85.7   | %                             |   | $             | 8.85                 |   | Bi-Lo | St. Joseph Home Health Care |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| McAlpin Square                            |   | 1979                 |   |      |              | 176,807 |   |          |   | 98.4   | %                             |   |          | 7.38                 |   | Kroger | Big Lots /  Savannah-Skidaway / Habitat for Humanity |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Spalding Village                          |   | 1989                 |   |      |              | 235,318 |   |          |   | 63.2   | %                             |   |          | 7.40                 |   | Kroger | JC Penney* /  Fred's Store |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Walton Plaza                              |   | 1990                 |   |      |              | 43,460  |   |          |   | 91.7   | %                             |   |          | 10.40                |   | Harris Teeter*(Omni Fitness) |   |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
|  TOTAL SHOPPING CENTERS GEORGIA (24) |   |                 |   | 2,661,625 |              |    |   | 86.0          | %      |   | $                             | 11.79  |          |                 |   |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| LOUISIANA (13)                            |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Ambassador Row                            |   | 1980 / 1991          |   |      |              | 193,978 |   |          |   | 69.7   | %                             |   | $             | 10.81                |   |   | Conn's Appliances / Big Lots /Chuck E Cheese |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Ambassador Row Courtyard                  |   | 1986 / 1991 / 2005   |   |      |              | 146,697 |   |          |   | 97.1   | %                             |   |          | 10.20                |   |   | Bed Bath & Beyond / Marshall's / Hancock Fabrics / United Training Academy / Tuesday Morning |
|                                      |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Bluebonnet Village                        |   | 1983                 |   |      |              | 101,623 |   |          |   | 95.4   | %                             |   |          | 11.33                |   | Matherne's | Office Depot |

----

Table of Contents

| Property                                       |   | YearBuilt /Renovated |   |      | TotalSq. Ft.Owned |    |   | PercentLeased |   |   | Averagebase rentper leased SF |   | Grocer Anchor | Other anchor tenants |
|------------------------------------------------|--------|----------------------|--------|-----------|-------------------|---------|--------|---------------|--------|--------|-------------------------------|--------|---------------|----------------------|
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |
| Boulevard                                      |   | 1976 / 1994          |   |      |              | 68,012  |   |          |   | 90.8   | %                             |   | $             | 8.59                 |   |   | Piccadilly / Harbor Freight Tools / Golfballs.com |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Country Club Plaza                             |   | 1982 / 1994          |   |      |              | 64,686  |   |          |   | 95.2   | %                             |   |          | 6.60                 |   | Winn-Dixie |   |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Crossing                                       |   | 1988 / 1993          |   |      |              | 114,806 |   |          |   | 97.4   | %                             |   |          | 5.90                 |   | Save A Center | A-1 Home Appliance / Piccadilly |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Elmwood Oaks                                   |   | 1989                 |   |      |              | 133,995 |   |          |   | 97.2   | %                             |   |          | 9.84                 |   |   | Academy Sports / Dollar Tree / Home Décor |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Grand Marche (ground lease)                    |   | 1969                 |   |      |              | 200,585 |   |          |   | 100.0  | %                             |   | NA            |                 |   |   |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Plaza Acadienne                                |   | 1980                 |   |      |              | 105,419 |   |          |   | 56.4   | %                             |   |          | 4.66                 |   | Super 1 Store | Fred's Store |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Sherwood South                                 |   | 1972 / 1988 / 1992   |   |      |              | 77,107  |   |          |   | 86.0   | %                             |   |          | 6.13                 |   |   | Burke's Outlet / Harbor Freight Tools / Fred's Store |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Siegen Village                                 |   | 1988                 |   |      |              | 170,416 |   |          |   | 99.2   | %                             |   |          | 9.26                 |   |   | Office Depot / Big Lots / Dollar Tree / Stage / Party City |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Tarpon Heights                                 |   | 1982                 |   |      |              | 56,605  |   |          |   | 83.2   | %                             |   |          | 5.17                 |   |   | Stage / Dollar General |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Village at Northshore                          |   | 1988                 |   |      |              | 144,638 |   |          |   | 96.7   | %                             |   |          | 8.52                 |   |   | Marshalls / Dollar Tree / Kirschman's* / Bed Bath & Beyond / Office Depot |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
|  TOTAL SHOPPING CENTERS LOUISIANA (13)    |   |                 |   | 1,578,567 |              |    |   | 90.1          | %      |   | $                             | 8.66   |          |                 |   |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| MASSACHUSETTS (7)                              |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Cambridge Star Market                          |   | 1953 / 1997          |   |      |              | 66,108  |   |          |   | 100.0  | %                             |   | $             | 26.89                |   | Star Market |   |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Medford Shaw's Supermarket                     |   | 1995                 |   |      |              | 62,656  |   |          |   | 100.0  | %                             |   |          | 23.94                |   | Shaw's |   |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Plymouth Shaw's Supermarket                    |   | 1993                 |   |      |              | 59,726  |   |          |   | 100.0  | %                             |   |          | 17.77                |   | Shaw's |   |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Quincy Star Market                             |   | 1965 / 1995          |   |      |              | 100,741 |   |          |   | 100.0  | %                             |   |          | 17.36                |   | Star Market |   |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Swampscott Whole Foods                         |   | 1967 / 2005          |   |      |              | 35,907  |   |          |   | 100.0  | %                             |   |          | 22.89                |   | Whole Foods |   |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Webster Plaza                                  |   | 1963 / 1998          |   |      |              | 199,425 |   |          |   | 100.0  | %                             |   |          | 8.08                 |   | Shaw's | K Mart / Family Dollar / Dollar Tree |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| West Roxbury Shaw's Plaza                      |   | 1973 / 1995/ 2006    |   |      |              | 76,316  |   |          |   | 97.3   | %                             |   |          | 22.87                |   | Shaw's |   |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
|  TOTAL SHOPPING CENTERS MASSACHUSETTS (7) |   | 600,879              |   |      |              | 99.7    | %      |          | $      | 17.07  |                          |   |          |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| MISSISSIPPI (1)                                |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Shipyard Plaza                                 |   | 1987                 |   |      |              | 66,857  |   |          |   | 100.0  | %                             |   | $             | 7.23                 |   |   | Big Lots / Buffalo Wild Wings |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
|  TOTAL SHOPPING CENTERS MISSISSIPPI (1)   |   |                 |   | 66,857    |              |    |   | 100.0         | %      |   | $                             | 7.23   |          |                 |   |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| NEW YORK (1)                                   |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Westbury Plaza                                 |   | 1993                 |   |      |              | 398,602 |   |          |   | 100.0  | %                             |   | $             | 21.07                |   |   | Olive Garden / Borders / Costco / Marshalls / Sports Authority / Walmart |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
|  TOTAL SHOPPING CENTERS NEW YORK (1)      |   |                 |   | 398,602   |              |    |   | 100.0         | %      |   | $                             | 21.07  |          |                 |   |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| NORTH CAROLINA (9)                             |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Centre Pointe Plaza                            |   | 1989                 |   |      |              | 163,642 |   |          |   | 75.9   | %                             |   | $             | 6.72                 |   |   | Belk's /  Dollar Tree / Aaron Rents |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Chestnut Square                                |   | 1985 / 2008          |   |      |              | 34,260  |   |          |   | 90.7   | %                             |   |          | 15.39                |   |   | Walgreens |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Galleria                                       |   | 1986 / 1990          |   |      |              | 92,114  |   |          |   | 76.7   | %                             |   |          | 9.76                 |   | Harris Teeter* |   |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Parkwest Crossing                              |   | 1990                 |   |      |              | 85,602  |   |          |   | 93.0   | %                             |   |          | 10.65                |   | Food Lion |   |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Riverview Shopping Center                      |   | 1973 / 1995          |   |      |              | 128,498 |   |          |   | 95.4   | %                             |   |          | 7.74                 |   | Kroger | Upchurch Drugs / Riverview Galleries |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Salisbury Marketplace                          |   | 1987                 |   |      |              | 79,732  |   |          |   | 73.8   | %                             |   |          | 11.09                |   | Food Lion |   |
|                                           |   |                 |   |      |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Stanley Market Place                           |   | 2007                 |   |      |              | 53,228  |   |          |   | 93.4   | %                             |   |          | 9.85                 |   | Food Lion | Family Dollar |

----

Table of Contents

| Property                                         |   | YearBuilt /Renovated |   |       | TotalSq. Ft.Owned |    |   | PercentLeased |   |   | Averagebase rentper leased SF |   | Grocer Anchor | Other anchor tenants |
|--------------------------------------------------|--------|----------------------|--------|------------|-------------------|---------|--------|---------------|--------|--------|-------------------------------|--------|---------------|----------------------|
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |
| Thomasville Commons                              |   | 1991                 |   |       |              | 148,754 |   |          |   | 95.8   | %                             |   | $             | 5.73                 |   | Ingles | Kmart |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |
| Willowdaile Shopping Center                      |   | 1986                 |   |       |              | 95,601  |   |          |   | 56.1   | %                             |   |          | 9.80                 |   |   | Hall of Fitness |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |
|  TOTAL SHOPPING CENTERS NORTH CAROLINA (9)  |   |                 |   | 881,431    |              |    |   | 83.1          | %      |   | $                             | 8.57   |          |                 |   |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |
| SOUTH CAROLINA (7)                               |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |
| Belfair Towne Village                            |   | 2000 / 2003 / 2006   |   |       |              | 166,639 |   |          |   | 95.6   | %                             |   | $             | 13.36                |   | Kroger | Stein Mart |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |
| Lancaster Plaza                                  |   | 1971 / 1990          |   |       |              | 77,400  |   |          |   | 64.9   | %                             |   |          | 3.61                 |   | Bi-Lo | Tractor Supply |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Lancaster Shopping Center                        |   | 1963 / 1987          |   |       |              | 29,047  |   |          |   | 100.0  | %                             |   |          | 2.16                 |   |   | Sweet Union Furniture |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Milestone Plaza                                  |   | 1995                 |   |       |              | 89,721  |   |          |   | 97.4   | %                             |   |          | 14.82                |   | Bi-Lo |   |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| North Village Center                             |   | 1984                 |   |       |              | 60,356  |   |          |   | 29.2   | %                             |   |          | 8.65                 |   |   | Dollar General |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Windy Hill                                       |   | 1968 / 1988 / 2006   |   |       |              | 68,465  |   |          |   | 94.2   | %                             |   |          | 5.81                 |   |   | Rose's Store / Family Dollar Store |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Woodruff                                         |   | 1995                 |   |       |              | 68,055  |   |          |   | 98.7   | %                             |   |          | 10.63                |   | Publix |   |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
|  TOTAL SHOPPING CENTERS SOUTH CAROLINA (7)  |   |                 |   | 559,683    |              |    |   | 84.9          | %      |   | $                             | 10.33  |          |                 |   |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| VIRGINIA (1)                                     |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Smyth Valley Crossing                            |   | 1989                 |   |       |              | 126,841 |   |          |   | 100.0  | %                             |   | $             | 6.14                 |   | Ingles | Wal-Mart |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
|  TOTAL SHOPPING CENTERS VIRGINIA (1)        |   |                 |   | 126,841    |              |    |   | 100.0         | %      |   | $                             | 6.14   |          |                 |   |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
|  TOTAL CORE SHOPPING CENTER PORTFOLIO (147) |   |                 |   | 16,345,196 |              |    |   | 90.0          | %      |   | $                             | 12.23  |          |                 |   |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| OTHER PROPERTIES (6)                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| 4101 South I-85 Industrial                       |   | 1956 / 1963          |   |       |              | 188,513 |   |          |   | 38.0   | %                             |   |          |                 |   |   |   |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Banco Popular Office Building                    |   | 1971                 |   |       |              | 36,610  |   |          |   | 79.4   | %                             |   |          |                 |   |   |   |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Laurel Walk Apartments                           |   | 1985                 |   |       |              | 106,480 |   |          |   | 96.0   | %                             |   |          |                 |   |   |   |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Mandarin Mini-Storage                            |   | 1982                 |   |       |              | 52,300  |   |          |   | 66.0   | %                             |   |          |                 |   |   |   |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Prosperity Office Building                       |   | 1972                 |   |       |              | 3,200   |   |          |   | 0.0    | %                             |   |          |                 |   |   |   |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Providence Square                                |   | 1973                 |   |       |              | 85,930  |   |          |   | 29.8   | %                             |   |          |                 |   |   |   |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
|  TOTAL OTHER PROPERTIES (6)                 |   |                 |   | 473,033    |              |    |   | 55.5          | %      |   |                          |   |          |                 |   |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| DIM VASTGOED PROPERTIES (21)                     |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Eustis Village                                   |   | 2002                 |   |       |              | 156,927 |   |          |   | 98.4   | %                             |   | $             | 11.48                |   | Publix | Beall's Department Store |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Glengary Shoppes                                 |   | 1995                 |   |       |              | 99,182  |   |          |   | 100.0  | %                             |   |          | 17.71                |   |   | Best Buy / Barnes & Noble |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Hammocks Town Center                             |   | 1987 / 1993          |   |       |              | 172,810 |   |          |   | 92.2   | %                             |   |          | 13.94                |   | Publix | Metro Dade Library / CVS Pharmacy / Porky's Gym |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Magnolia Shoppes                                 |   | 1998                 |   |       |              | 114,118 |   |          |   | 88.2   | %                             |   |          | 11.38                |   |   | Regal Cinemas / Deal$ |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Sunrise Town Center                              |   | 1989                 |   |       |              | 128,124 |   |          |   | 85.5   | %                             |   |          | 10.89                |   |   | L.A. Fitness / Office Depot |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Dublin Village                                   |   | 2005                 |   |       |              | 98,540  |   |          |   | 94.9   | %                             |   |          | 6.76                 |   | Kroger |   |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Freehome Village                                 |   | 2003                 |   |       |              | 74,340  |   |          |   | 81.3   | %                             |   |          | 13.17                |   | Publix |   |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Golden Park Village                              |   | 2000                 |   |       |              | 68,738  |   |          |   | 87.8   | %                             |   |          | 11.32                |   | Publix |   |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Governors Town Square                            |   | 2005                 |   |       |              | 68,658  |   |          |   | 98.8   | %                             |   |          | 15.84                |   | Publix |   |
|                                             |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Grayson Village                                  |   | 2002                 |   |       |              | 83,155  |   |          |   | 73.7   | %                             |   |          | 11.29                |   | Publix |   |

----

Table of Contents

| Property                                                            |   | YearBuilt /Renovated |   |       | TotalSq. Ft.Owned |    |   | PercentLeased |   |   | Averagebase rentper leased SF |   | Grocer Anchor | Other anchor tenants |
|---------------------------------------------------------------------|--------|----------------------|--------|------------|-------------------|---------|--------|---------------|--------|--------|-------------------------------|--------|---------------|----------------------|
|                                                                |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |
| Keith Bridge Commons                                                |   | 2002                 |   |       |              | 94,886  |   |          |   | 85.9   | %                             |   | $             | 12.69                |   | Kroger |   |
|                                                                |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |
| Loganville Town Center                                              |   | 1997                 |   |       |              | 77,661  |   |          |   | 96.1   | %                             |   |          | 13.12                |   | Publix |   |
|                                                                |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |
| Salem Road Station                                                  |   | 2000                 |   |       |              | 67,270  |   |          |   | 88.4   | %                             |   |          | 11.90                |   | Publix |   |
|                                                                |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |
| The Shops at Lake Tuscaloosa                                        |   | 2003 / 2005          |   |       |              | 70,242  |   |          |   | 88.9   | %                             |   |          | 12.62                |   | Publix |   |
|                                                                |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| The Vineyards at Chateau Elan                                       |   | 2002                 |   |       |              | 79,047  |   |          |   | 97.4   | %                             |   |          | 14.35                |   | Publix |   |
|                                                                |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Wilmington Island Shopping Center                                   |   | 1985 / 1998 / 2003   |   |       |              | 87,818  |   |          |   | 70.9   | %                             |   |          | 12.69                |   | Kroger |   |
|                                                                |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| South Plaza Shopping Center                                         |   | 2005                 |   |       |              | 92,335  |   |          |   | 100.0  | %                             |   |          | 16.88                |   |   | Ross Dress For Less / Best Buy / Old Navy /Petco |
|                                                                |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Brawley Commons                                                     |   | 1997 / 1998          |   |       |              | 119,189 |   |          |   | 77.8   | %                             |   |          | 12.17                |   | Lowe's Foods | Rite Aid |
|                                                                |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Carolina Pavilion                                                   |   | 1996                 |   |       |              | 731,678 |   |          |   | 96.9   | %                             |   |          | 10.50                |   |   | AMC Theatres / Value City Furniture / Old Navy / Ross Dress For Less / Sports Authority / Baby Superstore / Michaels Crafts / Sears Retail Outlet Store / DSW Shoe Warehouse / Cost Plus World Market / OfficeMax/Gregg Appliances / Petco / Dollar Tree / Dress Barn / Bed Bath & Beyond / Kohl's / Buy Buy Baby / Nordstrom Rack |
|                                                                |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Whitaker Square                                                     |   | 1996                 |   |       |              | 82,760  |   |          |   | 100.0  | %                             |   | $             | 12.28                |   | Harris Teeter | Rugged Wearhouse |
|                                                                |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Greensboro Village Shopping Center                                  |   | 2005                 |   |       |              | 70,203  |   |          |   | 95.6   | %                             |   |          | 14.13                |   | Publix |   |
|                                                                |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
|  TOTAL DIM VASTGOED PROPERTIES (21)                            |   |                 |   | 2,637,681  |              |    |   | 92.1          | %      |   | $                             | 12.14  |          |                 |   |
|                                                                |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
|  TOTAL EXCLUDING DEVELOPMENTS, REDEVELOPMENTS & LAND (174) |   |                 |   | 19,455,910 |              |    |   | 89.4          | %      |   |                          |   |          |                 |   |
|                                                                |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| DEVELOPMENTS, REDEVELOPMENTS & LAND (8)                         |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |
|                                                                |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Developments (2)                                                    |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
|                                                                |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Redevelopments (1)                                                  |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
|                                                                |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| Land Held for Development (5)                                       |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
|                                                                |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |   |   |   |
| TOTAL CONSOLIDATED - 182 Properties                                 |   |                 |   |       |              |    |   |          |   |   |                          |   |          |                 |   |

| * | Indicates a tenant which continues to pay rent, but has closed its store and ceased operations. The subtenant, if any, is shown in ( ). |
|---|-----------------------------------------------------------------------------------------------------------------------------------------|

| ** | Future contractual lease obligations included |
|----|-----------------------------------------------|

----

Table of Contents

|                                                                                                       |   | Supermarket Anchor Tenants (1) |                                 |   | Other Anchor Tenants (1) |   |                                | Non-anchor Tenants |   |   | Total                               |   |
|------------------------------------------------------------------------------------------------------------|--------|--------------------------------|--------------------------------------|--------|--------------------------|--------|-------------------------------------|--------------------|--------|--------|-------------------------------------|--------|
| Leased GLA (sq. ft.)                                                                                       |   |                           | 4,782,306                            |   |                     |   | 5,091,983                           |               |   |   | 4,836,583                           |   |   |   | 14,710,872 |   |
| Percentage of Total Leased GLA                                                                             |   |                           | 32.5%       |   |                     |   | 34.6%      |               |   |   | 32.9%      |   |   |   | 100%         |   |
|                                                                                                       |   |                           |                                 |   |                     |   |                                |               |   |   |                                |   |   |   |   |   |
|                                                                                                       |   |                           |                                 |   |                     |   |                                |               |   |   |                                |   |   |   |   |   |
| (1) We define anchor tenants as tenants occupying a space consisting of 10,000 square feet or more of GLA. |   |

|                                    |   | Supermarket Anchor Tenants |                                       |   | Other Anchor Tenants |   |                                       | Non-anchor Tenants |   |   | Total                                      |   |
|-----------------------------------------|--------|----------------------------|--------------------------------------------|--------|----------------------|--------|--------------------------------------------|--------------------|--------|--------|--------------------------------------------|--------|
| Annual Minimum Rent (“AMR”) |   | $                          | 43,935,350                                 |   |                 | $      | 50,451,042                                 |               |   | $      | 91,142,698                                 |   |   | $ | 185,529,090 |   |
| Percentage of Total AMR                 |   |                       | 23.7%        |   |                 |   | 27.2%        |               |   |   | 49.1%        |   |   |   | 100.0%        |   |
|                                    |   |                       |                                       |   |                 |   |                                       |               |   |   |                                       |   |   |   |   |   |

| Tenant                 |   | Number of Leases |   |   | GLA(square feet) |   |      | Percent of Total GLA |   |   | Annualized Minimum Rentat 12/31/09 |   |   | Percent of Aggregate Annualized Minimum Rent |       |   | Average Annual Minimum Rent per Square Foot |   |
|------------------------|--------|------------------|--------|--------|-----------------------|--------|-----------|----------------------|--------|--------|------------------------------------|--------|--------|----------------------------------------------|------------|--------|---------------------------------------------|--------|
| Publix                 |   |             | 52     |   |                  |   | 2,312,966 |                 |   |   | 14.1                               | %      |   | $                                            | 18,621,019 |   |                                        |   | 10.5 | % |   | $ | 8.05 |   |
| Supervalu              |   |             | 7      |   |                  |   | 458,273   |                 |   |   | 2.8                                | %      |   |                                         | 8,302,236  |   |                                        |   | 4.7 | % |   |   | 18.12 |   |
| Kroger                 |   |             | 12     |   |                  |   | 679,082   |                 |   |   | 4.1                                | %      |   |                                         | 5,379,703  |   |                                        |   | 3.0 | % |   |   | 7.92 |   |
| TJ Maxx Companies      |   |             | 9      |   |                  |   | 294,484   |                 |   |   | 1.8                                | %      |   |                                         | 3,471,127  |   |                                        |   | 2.0 | % |   |   | 11.79 |   |
| Bed, Bath & Beyond |   |             | 8      |   |                  |   | 261,332   |                 |   |   | 1.6                                | %      |   |                                         | 3,079,214  |   |                                        |   | 1.7 | % |   |   | 11.78 |   |
| Costco                 |   |             | 1      |   |                  |   | 148,295   |                 |   |   | 0.9                                | %      |   |                                         | 2,972,590  |   |                                        |   | 1.7 | % |   |   | 20.05 |   |
| Winn Dixie             |   |             | 9      |   |                  |   | 398,128   |                 |   |   | 2.4                                | %      |   |                                         | 2,892,815  |   |                                        |   | 1.6 | % |   |   | 7.27 |   |
| L.A. Fitness           |   |             | 3      |   |                  |   | 144,307   |                 |   |   | 0.9                                | %      |   |                                         | 2,592,222  |   |                                        |   | 1.5 | % |   |   | 17.96 |   |
| Office Depot           |   |             | 9      |   |                  |   | 219,487   |                 |   |   | 1.3                                | %      |   |                                         | 2,580,248  |   |                                        |   | 1.5 | % |   |   | 11.76 |   |
| CVS Pharmacy           |   |             | 12     |   |                  |   | 132,470   |                 |   |   | 0.8                                | %      |   |                                         | 2,178,237  |   |                                        |   | 1.2 | % |   |   | 16.44 |   |
| Total top ten tenants  |   |             | 122    |   |                  |   | 5,048,824 |                 |   |   | 31                                 | %      |   | $                                            | 52,069,411 |   |                                        |   | 29 | % |   | $ | 131 |   |

----

Table of Contents

| ALL TENANTS       |   |
|-------------------|--------|
|              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Year              |   |   | Number of Leases |   |   | GLA (square feet) |   |   | Percent of Total GLA |   |   | Annualized Minimum Rent at Expiration |   |   | Percent of Aggregate Annualized Minimum Rent at Expiration |   |   | Average Annual Minimum Rent per Square Foot at Expiration |   |
| M-T-M             |   |   |   | 124 |   |   |   | 200,531 |   |   |   | 1.2 | % |   | $ | 3,028,482 |   |   |   | 1.6 | % |   | $ | 15.10 |   |
| 2010              |   |   |   | 524 |   |   |   | 2,080,970 |   |   |   | 12.7 | % |   |   | 22,595,683 |   |   |   | 12.2 | % |   |   | 10.86 |   |
| 2011              |   |   |   | 491 |   |   |   | 2,052,314 |   |   |   | 12.5 | % |   |   | 26,177,336 |   |   |   | 14.1 | % |   |   | 12.76 |   |
| 2012              |   |   |   | 456 |   |   |   | 1,942,654 |   |   |   | 11.9 | % |   |   | 24,002,080 |   |   |   | 13.0 | % |   |   | 12.36 |   |
| 2013              |   |   |   | 305 |   |   |   | 1,514,003 |   |   |   | 9.3 | % |   |   | 20,883,120 |   |   |   | 11.3 | % |   |   | 13.79 |   |
| 2014              |   |   |   | 268 |   |   |   | 1,890,105 |   |   |   | 11.6 | % |   |   | 23,438,310 |   |   |   | 12.6 | % |   |   | 12.40 |   |
| 2015              |   |   |   | 59 |   |   |   | 490,054 |   |   |   | 3.0 | % |   |   | 5,442,710 |   |   |   | 2.9 | % |   |   | 11.11 |   |
| 2016              |   |   |   | 37 |   |   |   | 927,669 |   |   |   | 5.7 | % |   |   | 14,117,984 |   |   |   | 7.6 | % |   |   | 15.22 |   |
| 2017              |   |   |   | 29 |   |   |   | 507,121 |   |   |   | 3.1 | % |   |   | 6,527,812 |   |   |   | 3.5 | % |   |   | 12.87 |   |
| 2018              |   |   |   | 26 |   |   |   | 359,830 |   |   |   | 2.2 | % |   |   | 4,043,698 |   |   |   | 2.2 | % |   |   | 11.24 |   |
| Thereafter        |   |   |   | 113 |   |   |   | 2,745,621 |   |   |   | 16.8 | % |   |   | 35,271,875 |   |   |   | 19.0 | % |   |   | 12.85 |   |
| Sub-total/Average |   |   |   | 2,432 |   |   |   | 14,710,872 |   |   |   | 90.0 | % |   | $ | 185,529,090 |   |   |   | 100.0 | % |   | $ | 12.61 |   |
| Vacant            |   |   |   | 636 |   |   |   | 1,634,324 |   |   |   | 10.0 | % |   | NA |   |   | NA |   |   | NA |   |
| Total/Average     |   |   |   | 3,068 |   |   |   | 16,345,196 |   |   |   | 100.0 | % |   | $ | 185,529,090 |   |   |   | 100.0 | % |   | NA |   |

| ANCHOR TENANTS > 10,000 SF |   |
|-------------------------------|--------|
|                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Year                          |   |   | Number of Leases |   |   | GLA (square feet) |   |   | Percent of Total GLA |   |   | Annualized Minimum Rent at Expiration |   |   | Percent of Aggregate Annualized Minimum Rent at Expiration |   |   | Average Annual Minimum Rent per Square Foot at Expiration |   |
| M-T-M                         |   |   |   | - |   |   |   | - |   |   |   | - |   |   | $ | - |   |   |   | - |   |   | $ | - |   |
| 2010                          |   |   |   | 38 |   |   |   | 1,075,426 |   |   |   | 10.4 | % |   |   | 6,453,106 |   |   |   | 6.8 | % |   |   | 6.00 |   |
| 2011                          |   |   |   | 40 |   |   |   | 1,108,240 |   |   |   | 10.7 | % |   |   | 8,647,026 |   |   |   | 9.2 | % |   |   | 7.80 |   |
| 2012                          |   |   |   | 31 |   |   |   | 1,030,728 |   |   |   | 9.9 | % |   |   | 6,968,132 |   |   |   | 7.4 | % |   |   | 6.76 |   |
| 2013                          |   |   |   | 26 |   |   |   | 852,468 |   |   |   | 8.2 | % |   |   | 7,144,619 |   |   |   | 7.6 | % |   |   | 8.38 |   |
| 2014                          |   |   |   | 38 |   |   |   | 1,335,323 |   |   |   | 12.9 | % |   |   | 12,448,152 |   |   |   | 13.2 | % |   |   | 9.32 |   |
| 2015                          |   |   |   | 13 |   |   |   | 367,196 |   |   |   | 3.6 | % |   |   | 2,922,844 |   |   |   | 3.1 | % |   |   | 7.96 |   |
| 2016                          |   |   |   | 17 |   |   |   | 853,255 |   |   |   | 8.2 | % |   |   | 12,483,803 |   |   |   | 13.2 | % |   |   | 14.63 |   |
| 2017                          |   |   |   | 11 |   |   |   | 413,474 |   |   |   | 4.0 | % |   |   | 4,591,709 |   |   |   | 4.9 | % |   |   | 11.11 |   |
| 2018                          |   |   |   | 9 |   |   |   | 302,861 |   |   |   | 2.9 | % |   |   | 2,691,312 |   |   |   | 2.8 | % |   |   | 8.89 |   |
| Thereafter                    |   |   |   | 62 |   |   |   | 2,535,318 |   |   |   | 24.5 | % |   |   | 30,035,689 |   |   |   | 31.8 | % |   |   | 11.85 |   |
| Sub-total/Average             |   |   |   | 285 |   |   |   | 9,874,289 |   |   |   | 95.3 | % |   | $ | 94,386,392 |   |   |   | 100.0 | % |   | $ | 9.56 |   |
| Vacant                        |   |   |   | 20 |   |   |   | 487,111 |   |   |   | 4.7 | % |   | NA |   |   | NA |   |   | NA |   |
| Total/Average                 |   |   |   | 305 |   |   |   | 10,361,400 |   |   |   | 100.0 | % |   | $ | 94,386,392 |   |   |   | 100.0 | % |   | NA |   |

----

Table of Contents

| SHOP TENANTS < 10,000 SF |   |
|-----------------------------|--------|
|                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Year                        |   |   | Number of Leases |   |   | GLA (square feet) |   |   | Percent of Total GLA |   |   | Annualized Minimum Rent at Expiration |   |   | Percent of Aggregate Annualized Minimum Rent at Expiration |   |   | Average Annual Minimum Rent per Square Foot at Expiration |   |
| M-T-M                       |   |   |   | 124 |   |   |   | 200,531 |   |   |   | 3.3 | % |   | $ | 3,028,482 |   |   |   | 3.3 | % |   | $ | 15.10 |   |
| 2010                        |   |   |   | 486 |   |   |   | 1,005,544 |   |   |   | 16.8 | % |   |   | 16,142,577 |   |   |   | 17.7 | % |   |   | 16.05 |   |
| 2011                        |   |   |   | 451 |   |   |   | 944,074 |   |   |   | 15.8 | % |   |   | 17,530,310 |   |   |   | 19.2 | % |   |   | 18.57 |   |
| 2012                        |   |   |   | 425 |   |   |   | 911,926 |   |   |   | 15.2 | % |   |   | 17,033,948 |   |   |   | 18.7 | % |   |   | 18.68 |   |
| 2013                        |   |   |   | 279 |   |   |   | 661,535 |   |   |   | 11.1 | % |   |   | 13,738,501 |   |   |   | 15.1 | % |   |   | 20.77 |   |
| 2014                        |   |   |   | 230 |   |   |   | 554,782 |   |   |   | 9.3 | % |   |   | 10,990,158 |   |   |   | 12.1 | % |   |   | 19.81 |   |
| 2015                        |   |   |   | 46 |   |   |   | 122,858 |   |   |   | 2.0 | % |   |   | 2,519,866 |   |   |   | 2.8 | % |   |   | 20.51 |   |
| 2016                        |   |   |   | 20 |   |   |   | 74,414 |   |   |   | 1.2 | % |   |   | 1,634,181 |   |   |   | 1.8 | % |   |   | 21.96 |   |
| 2017                        |   |   |   | 18 |   |   |   | 93,647 |   |   |   | 1.6 | % |   |   | 1,936,103 |   |   |   | 2.1 | % |   |   | 20.67 |   |
| 2018                        |   |   |   | 17 |   |   |   | 56,969 |   |   |   | 1.0 | % |   |   | 1,352,386 |   |   |   | 1.5 | % |   |   | 23.74 |   |
| Thereafter                  |   |   |   | 51 |   |   |   | 210,303 |   |   |   | 3.5 | % |   |   | 5,236,186 |   |   |   | 5.7 | % |   |   | 24.90 |   |
| Sub-total/Average           |   |   |   | 2,147 |   |   |   | 4,836,583 |   |   |   | 80.8 | % |   | $ | 91,142,698 |   |   |   | 100.0 | % |   | $ | 18.84 |   |
| Vacant                      |   |   |   | 616 |   |   |   | 1,147,213 |   |   |   | 19.2 | % |   | NA |   |   | NA |   |   | NA |   |
| Total/Average               |   |   |   | 2,763 |   |   |   | 5,983,796 |   |   |   | 100.0 | % |   | $ | 91,142,698 |   |   |   | 100.0 | % |   | NA |   |

| ITEM 3. | LEGAL PROCEEDINGS |
|---------|-------------------|

| ITEM 4. | REMOVED AND RESERVED |
|---------|----------------------|

----

Table of Contents

| ITEM 5. | MARKET FOR REGISTRANT’S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES |
|---------|--------------------------------------------------------------------------------------------------------------------|

|                 |   |   |   |   |   |   |   |               |   |
|----------------------|--------|--------|--------|--------|--------|--------|--------|--------------------|--------|
|                 |   |   |   |   |   |   |   |               |   |
|                 |   | High   |   |   | Low    |   |   | Dividends Declared |   |
| First Quarter, 2009  |   | $      | 17.88  |   |   | $      | 9.06   |               |   | $ | 0.30 |   |
| Second Quarter, 2009 |   | $      | 17.25  |   |   | $      | 11.80  |               |   | $ | 0.30 |   |
| Third Quarter, 2009  |   | $      | 17.04  |   |   | $      | 12.13  |               |   | $ | 0.30 |   |
| Fourth Quarter, 2009 |   | $      | 16.87  |   |   | $      | 14.12  |               |   | $ | 0.22 |   |
|                 |   |   |   |   |   |   |   |               |   |   |   |   |
| First Quarter, 2008  |   | $      | 24.79  |   |   | $      | 20.11  |               |   | $ | 0.30 |   |
| Second Quarter, 2008 |   | $      | 26.69  |   |   | $      | 20.26  |               |   | $ | 0.30 |   |
| Third Quarter, 2008  |   | $      | 25.08  |   |   | $      | 18.81  |               |   | $ | 0.30 |   |
| Fourth Quarter, 2008 |   | $      | 20.68  |   |   | $      | 9.58   |               |   | $ | 0.30 |   |
|                 |   |   |   |   |   |   |   |               |   |   |   |   |

----

Table of Contents

|  Equity One, Inc.  |
|------------------------------|

|                         | Period Ending |
|------------------------------|---------------|
| Index                        | 12/31/04      | 12/31/05 | 12/31/06 | 12/31/07 | 12/31/08 | 12/31/09 |
| Equity One, Inc.             | 100.00        | 102.57 | 130.25 | 117.96 | 96.17 | 94.95 |
| Russell 2000                 | 100.00        | 104.55 | 123.76 | 121.82 | 80.66 | 102.58 |
| NAREIT All Equity REIT Index | 100.00        | 112.16 | 151.49 | 127.72 | 79.53 | 101.79 |
| SNL REIT Retail Shopping Ctr | 100.00        | 109.12 | 146.88 | 120.93 | 72.81 | 71.87 |

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| ITEM 6. | SELECTED FINANCIAL DATA |
|---------|-------------------------|

|                                                         |   |   |      |   | Years Ended December 31,                                       |   |
|--------------------------------------------------------------|--------|--------|-----------|--------|----------------------------------------------------------------|--------|
|                                                         |   | 2009   |      |   | 2008                                                           |   |   | 2007 |   |   | 2006 |   |   | 2005 |   |
|                                                         |   |   |      |   | (in thousands other than per share, percentage and ratio data) |   |
| Statement of Operations Data:(1)                             |   |   |      |   |                                                           |   |   |   |   |   |   |   |   |   |   |
| Total revenue                                                |   | $      | 271,390   |   |                                                           | $      | 237,449 |   |   | $ | 244,462 |   |   | $ | 223,542 |   |   | $ | 201,537 |   |
| Property operating expenses                                  |   |   | 78,078    |   |                                                           |   | 64,198 |   |   |   | 62,837 |   |   |   | 64,213 |   |   |   | 50,995 |   |
| Rental property depreciation and amortization                |   |   | 62,131    |   |                                                           |   | 45,438 |   |   |   | 45,901 |   |   |   | 40,136 |   |   |   | 33,327 |   |
| General and administrative expenses                          |   |   | 38,835    |   |                                                           |   | 31,957 |   |   |   | 27,925 |   |   |   | 26,892 |   |   |   | 17,277 |   |
| Total operating expenses                                     |   |   | 179,044   |   |                                                           |   | 141,593 |   |   |   | 136,663 |   |   |   | 131,241 |   |   |   | 101,599 |   |
| Interest expense                                             |   |   | (73,450   | )      |                                                           |   | (60,851 | ) |   |   | (66,520 | ) |   |   | (53,732 | ) |   |   | (47,050 | ) |
| Amortization of deferred financing fees                      |   |   | (1,520    | )      |                                                           |   | (1,629 | ) |   |   | (1,678 | ) |   |   | (1,484 | ) |   |   | (1,448 | ) |
| Gain on acquisition of controlling interest in subsidiary    |   |   | 27,501    |   |                                                           |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |
| Other income, net                                            |   |   | 11,570    |   |                                                           |   | 32,837 |   |   |   | 9,253 |   |   |   | 16,460 |   |   |   | 7,623 |   |
| Gain on extinguishment of debt                               |   |   | 12,345    |   |                                                           |   | 6,473 |   |   |   | - |   |   |   | 161 |   |   |   | - |   |
| Impairment loss                                              |   |   | (369      | )      |                                                           |   | (37,497 | ) |   |   | (430 | ) |   |   | - |   |   |   | - |   |
| Benefit (provision)  for income taxes              |   |   | 5,017     |   |                                                           |   | (1,015 | ) |   |   | 272 |   |   |   | - |   |   |   | - |   |
| Income from continuing operations                            |   | $      | 73,440    |   |                                                           | $      | 34,174 |   |   | $ | 48,696 |   |   | $ | 53,706 |   |   | $ | 59,063 |   |
| Net income                                                   |   | $      | 81,375    |   |                                                           | $      | 35,008 |   |   | $ | 69,385 |   |   | $ | 176,955 |   |   | $ | 92,741 |   |
|                                                         |   |   |      |   |                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Basic earnings per share:                                    |   |   |      |   |                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income from continuing operations                            |   | $      | 0.91      |   |                                                           | $      | 0.46 |   |   | $ | 0.66 |   |   | $ | 0.73 |   |   | $ | 0.80 |   |
| Net income                                                   |   | $      | 1.00      |   |                                                           | $      | 0.47 |   |   | $ | 0.94 |   |   | $ | 2.40 |   |   | $ | 1.26 |   |
| Diluted earnings per share:                                  |   |   |      |   |                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income from continuing operations                            |   | $      | 0.89      |   |                                                           | $      | 0.46 |   |   | $ | 0.66 |   |   | $ | 0.72 |   |   | $ | 0.79 |   |
| Net income                                                   |   | $      | 0.99      |   |                                                           | $      | 0.47 |   |   | $ | 0.94 |   |   | $ | 2.38 |   |   | $ | 1.24 |   |
|                                                         |   |   |      |   |                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance Sheet Data:                                          |   |   |      |   |                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total rental properties, net of accumulated depreciation     |   | $      | 2,193,259 |   |                                                           | $      | 1,704,362 |   |   | $ | 1,875,342 |   |   | $ | 1,752,018 |   |   | $ | 1,896,505 |   |
| Total assets                                                 |   |   | 2,452,320 |   |                                                           |   | 2,036,263 |   |   |   | 2,174,384 |   |   |   | 2,069,775 |   |   |   | 2,059,881 |   |
| Mortgage notes payable                                       |   |   | 551,647   |   |                                                           |   | 371,077 |   |   |   | 397,112 |   |   |   | 391,647 |   |   |   | 446,925 |   |
| Total liabilities                                            |   |   | 1,363,618 |   |                                                           |   | 1,125,776 |   |   |   | 1,257,463 |   |   |   | 1,143,108 |   |   |   | 1,085,727 |   |
| Redeemable noncontrolling interest (2)                       |   |   | 989       |   |                                                           |   | 989 |   |   |   | 989 |   |   |   | 989 |   |   |   | 989 |   |
| Shareholders’ equity (2)                               |   |   | 1,064,535 |   |                                                           |   | 909,498 |   |   |   | 915,932 |   |   |   | 925,678 |   |   |   | 973,718 |   |
|                                                         |   |   |      |   |                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Other Data:                                                  |   |   |      |   |                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Funds from operations(2)(3)                                  |   | $      | 142,983   |   |                                                           | $      | 60,377 |   |   | $ | 98,297 |   |   | $ | 110,105 |   |   | $ | 124,726 |   |
| Cash flows from:                                             |   |   |      |   |                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Operating activities(2)                                      |   |   | 96,294    |   |                                                           |   | 86,519 |   |   |   | 106,904 |   |   |   | 94,437 |   |   |   | 117,004 |   |
| Investing activities                                         |   |   | (8,287    | )      |                                                           |   | 51,306 |   |   |   | (104,602 | ) |   |   | 114,813 |   |   |   | (82,371 | ) |
| Financing activities(2)                                      |   |   | (47,249   | )      |                                                           |   | (133,783 | ) |   |   | (989 | ) |   |   | (209,352 | ) |   |   | (39,653 | ) |
| GLA (square feet) at end of period                           |   |   | 19,456    |   |                                                           |   | 16,417 |   |   |   | 17,548 |   |   |   | 18,353 |   |   |   | 19,699 |   |
| Occupancy of core shopping center portfolio at end of period |   |   | 90.0      | %      |                                                           |   | 92.1 | % |   |   | 93.2 | % |   |   | 95.0 | % |   |   | 93.0 | % |
| Dividends declared per share                                 |   | $      | 1.12      |   |                                                           | $      | 1.20 |   |   | $ | 1.20 |   |   | $ | 2.20 |   |   | $ | 1.17 |   |

| (1) | Reclassified to reflect the reporting of discontinued operations. |
|-----|-------------------------------------------------------------------|

| (2) | Amounts have been reclassified to conform to the 2009 presentation. |
|-----|---------------------------------------------------------------------|

| (3) | We believe Funds from Operations (“FFO”) (when combined with the primary GAAP presentations) is a useful supplemental measure of our operating performance that is a recognized metric used extensively by the real estate industry and, in particular, REITs.  The National Association of Real Estate Investment Trusts (“NAREIT”) stated in its April 2002 White Paper on Funds from Operations, “Historical cost accounting for real estate assets implicitly assumes that the value of real estate assets diminish predictably over time.  Since real estate values instead have historically risen or fallen with market conditions, many industry investors have considered presentations of operating results for real estate companies that use historical cost accounting to be insufficient by themselves.” |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                                                                                             |   |   |    |   |                    |   |    |   |   |   |    |   |   |   |     |
|------------------------------------------------------------------------------------------------------------------|--------|--------|---------|--------|-------------------------|--------|---------|--------|--------|--------|---------|--------|--------|--------|----------|
|                                                                                                             |   |   |    |   | Year Ended December 31, |   |
|                                                                                                             |   | 2009   |    |   | 2008                    |   |    | 2007   |   |   | 2006    |   |   | 2005   |     |
|                                                                                                             |   |   |    |   | (In thousands)          |   |
| Net income attributable to Equity One                                                                            |   | $      | 83,817  |   |                    | $      | 35,008  |   |   | $      | 69,385  |   |   | $      | 176,955  |   |   | $ | 92,741 |   |
| Adjustments:                                                                                                     |   |   |    |   |                    |   |    |   |   |   |    |   |   |   |     |   |   |   |   |   |
| Rental property depreciation and amortization, including discontinued operations, net of noncontrolling interest |   |   | 56,057  |   |                    |   | 45,586  |   |   |   | 47,514  |   |   |   | 44,791   |   |   |   | 43,445 |   |
| Loss on sale of fixed assets                                                                                     |   |   | -       |   |                    |   | -       |   |   |   | 283     |   |   |   | -        |   |   |   | - |   |
| (Gain) loss on disposal of depreciable real estate                                                               |   |   | 1,673   |   |                    |   | (21,027 | )      |   |   | (18,885 | )      |   |   | (112,995 | ) |   |   | (11,460 | ) |
| Pro rata share of real estate depreciation from unconsolidated joint ventures                                    |   |   | 1,436   |   |                    |   | 810     |   |   |   | -       |   |   |   | 1,354    |   |   |   | - |   |
| Funds from operations                                                                                            |   | $      | 142,983 |   |                    | $      | 60,377  |   |   | $      | 98,297  |   |   | $      | 110,105  |   |   | $ | 124,726 |   |
|                                                                                                             |   |   |    |   |                    |   |    |   |   |   |    |   |   |   |     |   |   |   |   |   |

|                                                                                                             |   |   |   |   |                    |   |   |   |   |   |   |   |   |   |   |
|------------------------------------------------------------------------------------------------------------------|--------|--------|--------|--------|-------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
|                                                                                                             |   |   |   |   | Year Ended December 31, |   |
|                                                                                                             |   | 2009   |   |   | 2008                    |   |   | 2007   |   |   | 2006   |   |   | 2005   |   |
|                                                                                                             |   |   |   |   | (In thousands)          |   |
| Earnings per diluted share attributable to Equity One                                                            |   | $      | 0.99   |   |                    | $      | 0.47   |   |   | $      | 0.94   |   |   | $      | 2.38   |   |   | $ | 1.24 |   |
| Adjustments:                                                                                                     |   |   |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Rental property depreciation and amortization, including discontinued operations, net of noncontrolling interest |   |   | 0.67   |   |                    |   | 0.62   |   |   |   | 0.65   |   |   |   | 0.60   |   |   |   | 0.58 |   |
| Loss (gain) on disposal of depreciable real estate                                                               |   |   | 0.02   |   |                    |   | (0.28  | )      |   |   | (0.26  | )      |   |   | (1.52  | ) |   |   | (0.15 | ) |
| Pro rata share of real estate depreciation from unconsolidated joint ventures                                    |   |   | 0.02   |   |                    |   | 0.01   |   |   |   | -      |   |   |   | 0.02   |   |   |   | - |   |
| Net adjustment for unvested shares and noncontrolling interest                                                   |   |   | 0.01   |   |                    |   | (0.01  | )      |   |   | 0.01   |   |   |   | -      |   |   |   | - |   |
| Funds from operations per diluted share                                                                          |   | $      | 1.71   |   |                    | $      | 0.81   |   |   | $      | 1.34   |   |   | $      | 1.48   |   |   | $ | 1.67 |   |
|                                                                                                             |   |   |   |   |                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |

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| ITEM7. | MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS |
|--------|---------------------------------------------------------------------------------------------|

|   | · | 41 additional new leases totaling 141,340 square feet at an average rental rate of $13.76 per square foot as compared to $14.93 per square foot in 2008, on a same site basis; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | a decrease in economic occupancy for our core shopping center portfolio to 90.0% in 2009 from 92.1% in  2008; and |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------|

|   | · | a decrease in the average rental rate of 5.4% to $12.12 per square foot on 92 lease renewals aggregating approximately 288,317 square feet. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------|

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|   | · | the sale of ten outparcels and one operating property for aggregate sale proceeds of $16.5 million resulting in gains on sale of $7.1 million; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | the acquisition of a controlling interest in DIM on January 14, 2009; |
|--------|--------|-----------------------------------------------------------------------|

|   | · | proceeds from investment activity and maturity in short-term debt securities of $133.3 million; |
|--------|--------|-------------------------------------------------------------------------------------------------|

|   | · | a gain of $6.3 million from our investment in Ramco-Gershonson Properties Trust, or Ramco; |
|--------|--------|--------------------------------------------------------------------------------------------|

|   | · | the completion of three development projects for approximately $36.9 million; |
|--------|--------|-------------------------------------------------------------------------------|

|   | · | the acquisition of Westbury Plaza, an approximately 398,600 square foot shopping center in Garden City, NY, anchored by Walmart and Costco, for a purchase price of approximately $103.7 million; and |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | the acquisition  of  a 21.85 acre development site in Hempstead, NY, at a sales price of $24.5 million, without consideration of liabilities assumed, which we expect to develop into a neighborhood shopping center. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | the issuance of $250.0 million in senior unsecured notes at a fixed interest rate of 6.25% maturing on December 15, 2014; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------|

|   | · | the sale of approximately 9.1 million shares of our common stock in an underwritten public offering and concurrent private placement; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------|

|   | · | the repayment of approximately $66.4 million in secured mortgages, including a $51.0 million loan secured by Carolina Pavilion; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------|

|   | · | the repayment of $35.5 million on our credit line which was outstanding at December 31, 2008; |
|--------|--------|-----------------------------------------------------------------------------------------------|

|   | · | the repayment of the remaining $171.6 million outstanding principal amount of our 3.875% unsecured senior notes and the settlement of a $100.0 million variable interest rate swap contract related to this debt for proceeds of approximately $868,000; and |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | the early retirement of approximately $44.2 million of our outstanding unsecured senior notes with varying maturities, generating a gain on the early extinguishment of debt of approximately $12.4 million. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                                      |   |                            |    |   |   |   |
|-----------------------------------------------------------|--------|---------------------------------|---------|--------|--------|--------|
|                                                      |   |                            |    |   |   |   |
|                                                      |   | For the year ended December 31, |    |
|                                                      |   | 2009                            |    |   | 2008   |   |
|                                                      |   | (in thousands)                  |    |
| Total rental revenue                                      |   | $                               | 271,390 |   |   | $      | 237,449 |   |
| Property operating expenses                               |   |                            | 78,078  |   |   |   | 64,198 |   |
| Rental property depreciation and amortization             |   |                            | 62,131  |   |   |   | 45,438 |   |
| General and administrative expenses                       |   |                            | 38,835  |   |   |   | 31,957 |   |
| Investment income                                         |   |                            | 10,155  |   |   |   | 10,220 |   |
| Equity in (loss) income in unconsolidated joint ventures  |   |                            | (88     | )      |   |   | 108 |   |
| Other income                                              |   |                            | 1,503   |   |   |   | 967 |   |
| Gain on acquisition of controlling interest in subsidiary |   |                            | 27,501  |   |   |   | - |   |
| Interest expense                                          |   |                            | 73,450  |   |   |   | 60,851 |   |
| Gain on sale of real estate                               |   |                            | -       |   |   |   | 21,542 |   |
| Gain on extinguishment of debt                            |   |                            | 12,345  |   |   |   | 6,473 |   |
| Impairment loss                                           |   |                            | 369     |   |   |   | 37,497 |   |
| Benefit (provision) for income taxes                      |   |                            | 5,017   |   |   |   | (1,015 | ) |
| Income from discontinued operations                       |   |                            | 7,935   |   |   |   | 834 |   |
| Net income                                                |   |                            | 81,375  |   |   |   | 35,008 |   |

|   | · | an increase of approximately $40.8 million attributable to the 21 DIM properties which were consolidated beginning in January 2009; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------|

|   | · | an increase of approximately $2.8 million related to the completion of various development or redevelopment projects; |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------|

|   | · | an increase of $2.6 million associated with the acquisition of Westbury Plaza in the fourth quarter of 2009; |
|--------|--------|--------------------------------------------------------------------------------------------------------------|

|   | · | a decrease of approximately $7.6 million attributable to the sale of nine income-producing properties to our joint venture with GRI which occurred during 2008 and the results of operations of which properties are partially included in 2008 but not in 2009 ; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | a decrease of approximately $3.1 million in lower revenue due to lower occupancy and the impact of rent concessions and abatements; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------|

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|   | · | a decrease of approximately $1.3 million related to a settlement fee received in 2008 in connection with a  tenant’s bankruptcy; and |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | a decrease of approximately $100,000 associated with management, leasing and asset management services provided to our joint ventures. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------|

|   | · | an increase of approximately $10.9 million related to the DIM properties; |
|--------|--------|---------------------------------------------------------------------------|

|   | · | an increase of approximately $3.3 million in property operating costs partly due to higher bad debt expense, insurance expense, common area maintenance expense and tenant related legal expense; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | an increase of approximately $1.1 million related to the completion of various development or redevelopment properties; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------|

|   | · | an increase of approximately $900,000 attributable to the acquisition of Westbury Plaza in the fourth quarter of 2009; and |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------|

|   | · | a decrease of approximately $2.2 million associated with the sale of nine of our income-producing properties to the GRI Venture. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------|

|   | · | an increase of approximately $17.7  million related to the DIM properties; |
|--------|--------|--------------------------------------------------------------------------------------|

|   | · | an increase of $1.7 million related to the completion of various development or redevelopment projects and the purchase of Westbury Plaza; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | a decrease of approximately $1.6 million attributable to the sale of nine of our income producing properties to the joint venture with GRI which were partially included  in the 2008 results; and |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | a decrease of approximately $1.0 million related to accelerated depreciation which was recognized in 2008 due to tenant vacancies; there was no comparable accelerated depreciation expense in 2009. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | an increase of $3.4 million associated with severance and severance related costs associated with the termination of employment of two senior executives initiated as part of our management streamlining and cost management program during the first quarter of 2009; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | an increase of $3.2 million in administrative costs associated with DIM’s ongoing operations that were incurred by DIM’s in place management company, which include legal, accounting services and other costs, as well as approximately $800,000 in transaction related costs attributable to potential equity transactions that DIM considered in 2009, none of which costs were included in 2008 general and administrative expenses; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | an increase of approximately $1.3 million in compensation and employment-related expenses related to our leasing efforts and increased compensation expenses related to an increased headcount in our asset management and acquisitions departments; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | a net decrease of $800,000 incurred by our corporate office related to lower training  and consulting services including lower legal and advisory fees; and |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | a decrease of approximately $340,000 in pre-development costs that were expensed in 2008 related to non-viable projects. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------|

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|   | · | a decrease of approximately $5.9 million related to dividend income paid by DIM in 2008, which was not paid in 2009; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------|

|   | · | a decrease of approximately $1.4 million of interest income in 2009 following the sale or maturity of short-term debt investments in 2008 and early 2009; |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | an increase of $6.3 million related to the sale of our investment in Ramco; and |
|--------|--------|---------------------------------------------------------------------------------|

|   | · | an increase of approximately $900,000 in dividends  received  on various equity investments , including Ramco, held during 2009.; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | an increase of approximately $18.5  million related to the consolidation of DIM’s mortgage interest expense; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------|

|   | · | an increase of approximately $1.1 million attributable to higher average balances outstanding on our lines of credit; |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------|

|   | · | a decrease of approximately $8.4 million of interest expense as a result of a lower average principal amount of unsecured senior notes outstanding in 2009; and |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | a decrease in the amount of interest capitalized, leading to higher net interest expense of $1.5 million, due to fewer projects being under construction in 2009 as compared to 2008. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                              |   |                            |    |   |   |   |
|---------------------------------------------------|--------|---------------------------------|---------|--------|--------|--------|
|                                              |   |                            |    |   |   |   |
|                                              |   | For the year ended December 31, |    |
|                                              |   | 2008                            |    |   | 2007   |   |
|                                              |   | (in thousands)                  |    |
| Total rental revenue                              |   | $                               | 237,449 |   |   | $      | 244,462 |   |
| Property operating expenses                       |   |                            | 64,198  |   |   |   | 62,837 |   |
| Rental property depreciation and amortization     |   |                            | 45,438  |   |   |   | 45,901 |   |
| General and administrative expenses               |   |                            | 31,957  |   |   |   | 27,925 |   |
| Investment income                                 |   |                            | 10,220  |   |   |   | 7,208 |   |
| Equity in income in unconsolidated joint ventures |   |                            | 108     |   |   |   | - |   |
| Other income                                      |   |                            | 967     |   |   |   | 310 |   |
| Interest expense                                  |   |                            | 60,851  |   |   |   | 66,520 |   |
| Gain on sale of real estate                       |   |                            | 21,542  |   |   |   | 2,018 |   |
| Gain on extinguishment of debt                    |   |                            | 6,473   |   |   |   | - |   |
| Impairment loss                                   |   |                            | 37,497  |   |   |   | 430 |   |
| (Provision) benefit for income taxes              |   |                            | (1,015  | )      |   |   | 272 |   |
| Income from discontinued operations               |   |                            | 834     |   |   |   | 20,689 |   |
| Net income                                        |   |                            | 35,008  |   |   |   | 69,385 |   |

|   | · | a decrease of approximately $10.8 million attributable to the sale of nine income producing properties to the GRI Venture, revenue from which was included fully in 2007 results and partially included in 2008 results through the date of sale; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | a decrease of approximately $200,000 in non-retail property income; |
|--------|--------|---------------------------------------------------------------------|

|   | · | an increase of $1.5 million associated with properties acquired in 2007; |
|--------|--------|--------------------------------------------------------------------------|

|   | · | an increase of approximately $1.3 million related to a settlement fee received in connection with a tenant’s bankruptcy; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------|

|   | · | an increase of approximately $800,000 related to the completion of various development or redevelopment projects, partly offset by a decrease of $300,000 for development or redevelopment projects under construction; and |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | an increase of approximately $600,000 associated with management, leasing and asset management services provided to our joint ventures. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------|

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|   | · | an increase of approximately $3.8 million in property operating costs partly due to higher real estate tax expense, common area maintenance expense, bad debt expense, partially offset by lower insurance expense; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | an increase of approximately $300,000 related to properties acquired in 2007; |
|--------|--------|-------------------------------------------------------------------------------|

|   | · | an increase of approximately $150,000 related to the completion of various development or redevelopment projects; and |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------|

|   | · | a decrease of approximately $2.9 million associated with the sale of nine income producing properties to the GRI Venture. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------|

|   | · | a decrease of approximately $2.1 million related to the sale of nine income producing properties to our joint venture with GRI; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------|

|   | · | a decrease of approximately $100,000 in non-retail properties; |
|--------|--------|----------------------------------------------------------------|

|   | · | an increase of approximately $1.3 million related to amortization of tenant improvements and leasing commissions; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------|

|   | · | an increase of approximately $300,000 related to properties acquired in 2007; and |
|--------|--------|-----------------------------------------------------------------------------------|

|   | · | the completion of various development or redevelopment projects that increased depreciation and amortization by $200,000. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------|

|   | · | an increase of $1.8 million related to employee training, professional conferences and information technology expenses; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------|

|   | · | an increase of approximately $900,000 in compensation and employment-related expenses related to new executives and employees partly offset by lower severance-related expense paid to former employees; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | an increase of approximately $700,000 related to acquisition costs associated with additional shares of DIM; |
|--------|--------|--------------------------------------------------------------------------------------------------------------|

|   | · | an increase of approximately $500,000 related to satellite offices expense; |
|--------|--------|-----------------------------------------------------------------------------|

|   | · | an increase of $300,000 for personal property tax expense; and |
|--------|--------|----------------------------------------------------------------|

|   | · | a decrease of approximately $400,000 of pre-development costs related to non-viable projects. |
|--------|--------|-----------------------------------------------------------------------------------------------|

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|   | · | a decrease of approximately $2.1 million attributable to reduced usage of our lines of credit; |
|--------|--------|------------------------------------------------------------------------------------------------|

|   | · | a decrease of approximately $1.2 million in mortgage interest expense  resulting from the sale of properties to our joint venture with GRI during 2008; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | a decrease of approximately $2.1 million related to the payoff of certain mortgages and principal amortization offset by an increase of approximately $900,000 in mortgage interest related to additional mortgage indebtedness; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | an increase of approximately $1.9 million of interest incurred related to higher average unsecured senior notes outstanding in 2008, offset by a decrease of $1.7 million related to our interest rate swap contract associated with our senior notes and a decrease of approximately $1.6 million related to the write off of interest rate contracts due to the early extinguishment of our debt; and |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | an increase of $200,000 of interest expense related to lower capitalized interest for development or redevelopment projects. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------|

|   | · | approximately $32.8 million of impairment loss related to our DIM investment; |
|--------|--------|-------------------------------------------------------------------------------|

|   | · | approximately $3.7 million of impairment loss associated with two redevelopment projects that were terminated; |
|--------|--------|----------------------------------------------------------------------------------------------------------------|

|   | · | approximately $531,700 of impairment loss related to goodwill associated with several of our income producing properties; and |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------|

|   | · | approximately $380,000 of impairment loss related to our preferred stock investment in another REIT. |
|--------|--------|------------------------------------------------------------------------------------------------------|

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|   | · | Senior Note Repurchases.  During 2009, we purchased $44.2 million of our unsecured senior notes with varying maturities and generated a gain on the early extinguishment of debt of $12.4 million. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Equity Offering.  On April 9, 2009, we completed a public offering and concurrent private placement of 9.1 million shares of our common stock. The offerings resulted in net cash proceeds of approximately $126.2 million to us. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Property Sales. We sold ten outparcels and one operating property generating sale proceeds of $16.5 million and resulting in a gain on sale of $7.1 million. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Unsecured Senior Notes. In April 2009, we repaid the $171.6 million principal amount left outstanding on our 3.875% unsecured senior notes and settled the $100.0 million variable interest rate swap contract related to this debt for proceeds of approximately $868,000 upon its settlement. On December 9, 2009, we issued $250 million principal amount of 6.25% senior unsecured notes that mature on December 15, 2014.  |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Investments. During 2009, we realized a gain of $6.3 million on our investment in Ramco. Additionally, during 2009, we liquidated (through sale or maturity) our other debt and equity holdings for approximately $133.3 million. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Secured/Other Financing. We repaid $66.4 million in mortgage debt and repaid the $35.5 million outstanding on our credit line which was outstanding at December 31, 2008. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                            |   |                            |    |   |   |   |     |               |   |
|-------------------------------------------------|--------|---------------------------------|---------|--------|--------|--------|----------|--------------------|--------|
|                                            |   |                            |    |   |   |   |     |               |   |
|                                            |   | For the year ended December 31, |    |
|                                            |   | 2009                            |    |   | 2008   |   |     | Increase(Decrease) |   |
|                                            |   | (in thousands)                  |    |
| Cash provided by operating activities           |   | $                               | 96,294  |   |   | $      | 86,519   |               |   | $ | 9,775 |   |
| Cash provided by (used in) investing activities |   |                            | (8,287  | )      |   |   | 51,306   |               |   | $ | (59,593 | ) |
| Cash used in financing activities               |   |                            | (47,249 | )      |   |   | (133,783 | )                  |   | $ | 86,534 |   |
| Cash and cash equivalents, end of year          |   |                            | 47,970  |   |   |   | 5,355    |               |   | $ | 42,615 |   |

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|                          |   |
|-------------------------------|--------|
| Payments due by period        |   |
| Contractual Obligations       |   | Total |   |   | Less than1 year |   |   | 1-3 years |   |   | 3-5 years |   |   | More than5 years |   |
|                          |   | (In thousands) |   |
| Mortgage notes payable:       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Scheduled amortization        |   | $ | 99,084 |   |   |   | 13,301 |   |   |   | 23,972 |   |   |   | 27,903 |   |   |   | 33,908 |   |
| Balloon payments              |   |   | 452,563 |   |   |   | 57,803 |   |   |   | 113,048 |   |   |   | 148,048 |   |   |   | 133,664 |   |
| Total mortgage obligations    |   |   | 551,647 |   |   |   | 71,104 |   |   |   | 137,020 |   |   |   | 175,951 |   |   |   | 167,572 |   |
|                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Unsecured senior notes        |   |   | 691,136 |   |   |   | - |   |   |   | 10,000 |   |   |   | 357,505 |   |   |   | 323,631 |   |
| Operating leases              |   |   | 1,308 |   |   |   | 367 |   |   |   | 393 |   |   |   | 88 |   |   |   | 460 |   |
| Construction commitments      |   |   | 1,784 |   |   |   | 1,784 |   |   |   | - |   |   |   | - |   |   |   | - |   |
| Total contractual obligations |   | $ | 1,245,875 |   |   | $ | 73,255 |   |   | $ | 147,413 |   |   | $ | 533,544 |   |   | $ | 491,663 |   |
|                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |

|                       |   |                   |    |
|----------------------------|--------|------------------------|---------|
|                       |   | Payments due by period |    |
|                       |   |                   |    |   |   |   |   |   |   |   |   |   |   |   |   |
|                       |   | Total                  |    |   | Less than1 year |   |   | 1-3 years |   |   | 3-5 years |   |   | More than5 years |   |
|                       |   | (In thousands)         |    |
|                       |   |                   |    |   |   |   |   |   |   |   |   |   |   |   |   |
| Mortgage notes             |   | $                      | 159,979 |   |   | $ | 33,981 |   |   | $ | 51,648 |   |   | $ | 47,607 |   |   | $ | 26,743 |   |
| Unsecured senior notes     |   |                   | 254,753 |   |   |   | 42,076 |   |   |   | 83,476 |   |   |   | 106,135 |   |   |   | 23,066 |   |
| Total interest obligations |   | $                      | 414,732 |   |   | $ | 76,057 |   |   | $ | 135,124 |   |   | $ | 153,742 |   |   | $ | 49,809 |   |
|                       |   |                   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                       |   |                   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |

----

Table of Contents

| Property                      |   | Balance atDecember 31, 2009 |   |   | Rate (1) |   | Maturitydate |     | Balance Dueat Maturity |   |
|-------------------------------|--------|-----------------------------|--------|--------|----------|--------|--------------|----------|------------------------|--------|
|                          |   | (in thousands)              |   |   |     |   |         |     | (in thousands)         |   |
| Mortgage debt                 |   |                        |   |   |     |   |         |     |                   |   |
| Bluff's Square                |   | $                           | 9,461  |   |     | 8.740  | %            | 06/01/10 |                   | $      | 9,401 |   |
| Kirkman Shoppes               |   |                        | 8,934  |   |     |   | 8.740        | %        | 06/01/10               |   |   | 8,878 |   |
| Ross Plaza                    |   |                        | 6,231  |   |     |   | 8.740        | %        | 06/01/10               |   |   | 6,192 |   |
| Boynton Plaza                 |   |                        | 6,960  |   |     |   | 8.030        | %        | 07/01/10               |   |   | 6,902 |   |
| Pointe Royale                 |   |                        | 2,698  |   |     |   | 7.950        | %        | 07/15/10               |   |   | 2,502 |   |
| Shops at Skylake              |   |                        | 11,973 |   |     |   | 7.650        | %        | 08/01/10               |   |   | 11,644 |   |
| Parkwest Crossing             |   |                        | 4,400  |   |     |   | 8.100        | %        | 09/01/10               |   |   | 4,352 |   |
| Spalding Village              |   |                        | 8,261  |   |     |   | 8.190        | %        | 09/01/10               |   |   | 7,932 |   |
| Charlotte Square              |   |                        | 3,123  |   |     |   | 9.190        | %        | 02/01/11               |   |   | 2,992 |   |
| Forest Village                |   |                        | 4,140  |   |     |   | 7.270        | %        | 04/01/11               |   |   | 4,044 |   |
| Boca Village                  |   |                        | 7,653  |   |     |   | 7.200        | %        | 05/01/11               |   |   | 7,466 |   |
| MacLand Pointe                |   |                        | 5,408  |   |     |   | 7.250        | %        | 05/01/11               |   |   | 5,268 |   |
| Pine Ridge Square             |   |                        | 6,762  |   |     |   | 7.020        | %        | 05/01/11               |   |   | 6,580 |   |
| Sawgrass Promenade            |   |                        | 7,653  |   |     |   | 7.200        | %        | 05/01/11               |   |   | 7,465 |   |
| Lake Mary Centre              |   |                        | 22,712 |   |     |   | 7.250        | %        | 11/01/11               |   |   | 21,973 |   |
| Lake St. Charles              |   |                        | 3,580  |   |     |   | 7.130        | %        | 11/01/11               |   |   | 3,461 |   |
| Belfair Towne Village         |   |                        | 9,958  |   |     |   | 7.320        | %        | 12/01/11               |   |   | 9,321 |   |
| Marco Town Center             |   |                        | 7,629  |   |     |   | 6.700        | %        | 01/01/12               |   |   | 7,150 |   |
| Riverside Square              |   |                        | 6,892  |   |     |   | 9.190        | %        | 03/01/12               |   |   | 6,458 |   |
| Cashmere Corners              |   |                        | 4,523  |   |     |   | 5.880        | %        | 11/01/12               |   |   | 4,084 |   |
| Eastwood                      |   |                        | 5,390  |   |     |   | 5.880        | %        | 11/01/12               |   |   | 4,866 |   |
| Meadows Shopping Center       |   |                        | 5,664  |   |     |   | 5.870        | %        | 11/01/12               |   |   | 5,113 |   |
| Lutz Lake Crossing            |   |                        | 7,328  |   |     |   | 6.280        | %        | 01/01/13               |   |   | 7,012 |   |
| Midpoint Center               |   |                        | 6,200  |   |     |   | 5.770        | %        | 07/10/13               |   |   | 5,458 |   |
| Buckhead Station              |   |                        | 26,213 |   |     |   | 6.880        | %        | 09/01/13               |   |   | 23,584 |   |
| Alafaya Village               |   |                        | 3,904  |   |     |   | 5.990        | %        | 11/11/13               |   |   | 3,603 |   |
| Summerlin Square              |   |                        | 1,924  |   |     |   | 6.750        | %        | 02/01/14               |   |   | - |   |
| South Point                   |   |                        | 7,616  |   |     |   | 5.720        | %        | 07/10/14               |   |   | 6,509 |   |
| Bird Ludlum                   |   |                        | 5,853  |   |     |   | 7.680        | %        | 02/15/15               |   |   | - |   |
| Treasure Coast Plaza          |   |                        | 2,797  |   |     |   | 8.000        | %        | 04/01/15               |   |   | - |   |
| Shoppes of Silverlakes I      |   |                        | 1,648  |   |     |   | 7.750        | %        | 07/01/15               |   |   | 30 |   |
| Grassland Crossing            |   |                        | 4,825  |   |     |   | 7.870        | %        | 12/01/16               |   |   | 2,601 |   |
| Mableton Crossing             |   |                        | 3,478  |   |     |   | 6.850        | %        | 08/15/18               |   |   | 1,869 |   |
| Sheridan Plaza                |   |                        | 64,107 |   |     |   | 6.250        | %        | 10/10/18               |   |   | 54,754 |   |
| BridgeMill                    |   |                        | 8,369  |   |     |   | 7.940        | %        | 05/05/21               |   |   | 3,761 |   |
| Westport Plaza                |   |                        | 4,330  |   |     |   | 7.490        | %        | 08/24/23               |   |   | 1,221 |   |
| Chastain Square               |   |                        | 3,232  |   |     |   | 6.500        | %        | 02/28/24               |   |   | 58 |   |
| Daniel Village                |   |                        | 3,533  |   |     |   | 6.500        | %        | 02/28/24               |   |   | 63 |   |
| Douglas Commons               |   |                        | 4,209  |   |     |   | 6.500        | %        | 02/28/24               |   |   | 75 |   |
| Fairview Oaks                 |   |                        | 3,984  |   |     |   | 6.500        | %        | 02/28/24               |   |   | 71 |   |
| Madison Centre                |   |                        | 3,232  |   |     |   | 6.500        | %        | 02/28/24               |   |   | 58 |   |
| Paulding Commons              |   |                        | 5,487  |   |     |   | 6.500        | %        | 02/28/24               |   |   | 97 |   |
| Siegen Village                |   |                        | 3,570  |   |     |   | 6.500        | %        | 02/28/24               |   |   | 63 |   |
| Wesley Chapel Crossing        |   |                        | 2,818  |   |     |   | 6.500        | %        | 02/28/24               |   |   | 50 |   |
| Webster Plaza                 |   |                        | 7,659  |   |     |   | 8.070        | %        | 08/15/24               |   |   | 2,793 |   |
| Hammocks Town Center          |   |                        | 11,833 |   |     |   | 6.950        | %        | 06/26/12               |   |   | 11,303 |   |
| Salem Road Station            |   |                        | 5,846  |   |     |   | 6.000        | %        | 11/11/12               |   |   | 5,507 |   |
| Brawley Commons               |   |                        | 6,794  |   |     |   | 6.250        | %        | 07/01/13               |   |   | 6,485 |   |
| Keith Bridge Commons          |   |                        | 8,753  |   |     |   | 4.800        | %        | 10/11/13               |   |   | 7,984 |   |
| Sunrise Town Center           |   |                        | 10,296 |   |     |   | 5.690        | %        | 04/30/14               |   |   | 9,343 |   |
| The Vineyards at Chateau Elan |   |                        | 9,833  |   |     |   | 5.880        | %        | 07/11/14               |   |   | 8,976 |   |
| Grayson Village               |   |                        | 9,820  |   |     |   | 5.210        | %        | 01/11/15               |   |   | 8,791 |   |
| Golden Park Village           |   |                        | 7,341  |   |     |   | 5.250        | %        | 01/11/15               |   |   | 6,577 |   |
| The Shops at Lake Tuscaloosa  |   |                        | 7,139  |   |     |   | 5.450        | %        | 01/11/15               |   |   | 6,419 |   |

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| Property                                   |   | Balance atDecember 31, 2009 |    |   | Rate (1) |   | Maturitydate |   | Balance Dueat Maturity |   |
|--------------------------------------------|--------|-----------------------------|---------|--------|----------|--------|--------------|--------|------------------------|--------|
|                                       |   | (in thousands)              |    |   |     |   |         |   | (in thousands)         |   |
| Eustis Village                             |   | $                           | 13,313  |   |     |   | 5.450        | %      | 05/11/15               |   | $ | 11,997 |   |
| Freehome Village                           |   |                        | 9,889   |   |     |   | 5.150        | %      | 07/11/15               |   |   | 8,757 |   |
| Governors Town Square                      |   |                        | 10,407  |   |     |   | 5.200        | %      | 06/01/15               |   |   | 9,240 |   |
| Loganville Town Center                     |   |                        | 10,090  |   |     |   | 4.890        | %      | 08/11/15               |   |   | 8,883 |   |
| Wilmington Island Shopping Center          |   |                        | 9,560   |   |     |   | 5.050        | %      | 11/11/15               |   |   | 8,399 |   |
| South Plaza Shopping Center                |   |                        | 16,803  |   |     |   | 5.420        | %      | 01/11/16               |   |   | 14,831 |   |
| Glengary Shoppes                           |   |                        | 16,801  |   |     |   | 5.750        | %      | 06/11/16               |   |   | 15,085 |   |
| Magnolia Shoppes                           |   |                        | 14,467  |   |     |   | 6.160        | %      | 07/11/16               |   |   | 12,863 |   |
| Dublin Village                             |   |                        | 6,787   |   |     |   | 5.780        | %      | 12/11/16               |   |   | 6,109 |   |
| Greensboro Village Shopping Center         |   |                        | 9,803   |   |     |   | 5.520        | %      | 02/11/17               |   |   | 8,525 |   |
| Whitaker Square                            |   |                        | 9,751   |   |     |   | 6.320        | %      | 12/01/17               |   |   | 8,717 |   |
|                                       |   |                        |    |   |     |   |         |   |                   |   |   |   |   |
|                                       |   |                        |    |   |     |   |         |   |                   |   |   |   |   |
| Total mortgage debt (65 loans outstanding) |   | $                           | 551,647 |   |     |   | 6.576        | %      | 4.68                   |   | $ | 452,563 |   |
|                                       |   |                        |    |   |     |   |         |   |                   |   |   |   |   |
|                                       |   |                        |    |   |     |   |         |   |                   |   |   |   |   |

| (1) | The rate in effect on December 31, 2009. |
|-----|------------------------------------------|

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|                                 |   |                        |    |   |     |   |   |         |   |     |                   |   |
|--------------------------------------|--------|-----------------------------|---------|--------|----------|--------|--------|--------------|--------|----------|------------------------|--------|
|                                 |   |                        |    |   |     |   |   |         |   |     |                   |   |
| Unsecured senior notes payable       |   | Balance atDecember 31, 2009 |    |   | Rate (1) |   |   | Maturitydate |   |     | Balance Dueat Maturity |   |
|                                 |   | (in thousands)              |    |   |     |   |   |         |   |     | (in thousands)         |   |
|                                 |   |                        |    |   |     |   |   |         |   |     |                   |   |
| 7.84% senior notes                   |   |                        | 10,000  |   |     |   | 7.840  | %            |   | 01/23/12 |                   |   |   | 10,000 |   |
| 6.25% senior notes                   |   |                        | 250,000 |   |     |   | 6.250  | %            |   | 12/15/14 |                   |   |   | 250,000 |   |
| 5.375% senior notes                  |   |                        | 107,505 |   |     |   | 5.375  | %            |   | 10/15/15 |                   |   |   | 107,505 |   |
| 6.00% senior notes                   |   |                        | 105,230 |   |     |   | 6.000  | %            |   | 09/15/16 |                   |   |   | 105,230 |   |
| 6.25% senior notes                   |   |                        | 101,403 |   |     |   | 6.250  | %            |   | 01/15/17 |                   |   |   | 101,403 |   |
| 6.00% senior notes                   |   |                        | 116,998 |   |     |   | 6.000  | %            |   | 09/15/17 |                   |   |   | 116,998 |   |
|                                 |   |                        |    |   |     |   |   |         |   |     |                   |   |   |   |   |
| Total unsecured senior notes payable |   | $                           | 691,136 |   |     |   | 6.098  | %(2)         |   | 6.21(2)  |                   |   | $ | 691,136 |   |
|                                 |   |                        |    |   |     |   |   |         |   |     |                   |   |   |   |   |   |

| (1) | The rate in effect on December 31, 2009. |
|-----|------------------------------------------|

| (2) | Total unsecured senior notes payable rate is calculated as the weighted average interest rate and maturity date is calculated as the weighted average maturity. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                                |   |                        |   |     |        |         |          |                   |   |
|-----------------------------------------------------|--------|-----------------------------|--------|----------|-------------|--------------|---------------|------------------------|--------|
|                                                |   |                        |   |     |        |         |          |                   |   |
| Revolving credit facilities                         |   | Balance atDecember 31, 2009 |   | Rate (1) |        | Maturitydate |          | Balance Dueat Maturity |   |
|                                                |   | (in thousands)              |   |     |        |         |          | (in thousands)         |   |
|                                                |   |                        |   |     |        |         |          |                   |   |
| $227 million Wells Fargo Unsecured (2)              |   | $                           | -      |     | LIBOR +1.40 |         | 10/17/2011(2) |                   | $      | - |   |
| $15 million  City National Bank Unsecured |   |                        | -      |     | LIBOR +.80  |         | 02/10/10      |                   |   | - |   |
| Total revolving credit facilities                   |   | $                           | -      |     |        |         |          |                   | $      | - |   |
|                                                |   |                        |   |     |        |         |          |                   |   |   |   |

| (1) | The weighted average rate in effect on December 31, 2009. |
|-----|-----------------------------------------------------------|

| (2) | The facility includes an option to extend the maturity date by one year. |
|-----|--------------------------------------------------------------------------|

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| ITEM 7A. | QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK |
|----------|------------------------------------------------------------|

| ITEM 8. | FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA |
|---------|---------------------------------------------|

| ITEM 9. | CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE |
|---------|--------------------------------------------------------------------------------------|

| ITEM 9A. | CONTROLS AND PROCEDURES |
|----------|-------------------------|

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| ITEM 9B. | OTHER INFORMATION |
|----------|-------------------|

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| ITEM 10. | DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERANCE |
|----------|-------------------------------------------------------|

| ITEM 11. | EXECUTIVE COMPENSATION |
|----------|------------------------|

| ITEM 12. | SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS |
|----------|------------------------------------------------------------------------------------------------|

| Plan category                                              | (A)Number of securities to be issued upon exercise of outstanding options, warrants and rights | (B)Weighted-average exercise price of outstanding options, warrants and rights | (C)Number of securities remaining available for future issuance under equity compensation plans (excluding securities reflected in column (A)) |
|------------------------------------------------------------|------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------|
| Equity compensation plans approved by security holders     | 2,397,633                                                                                      | $20.76                                                                         | 2,898,858                                                                                                                                      |
| Equity compensation plans not approved by security holders | 364,660 (1)                                                                                    | $24.70                                                                         | -                                                                                                                                              |
| Total                                                      | 2,762,293                                                                                      | $21.28                                                                         | 2,898,858                                                                                                                                      |

| (1) | Represents options to purchase 364,660 shares of common stock issued to Jeffrey S. Olson our Chief Executive Officer, in connection with his initial employment. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ITEM 13. | CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE |
|----------|---------------------------------------------------------------------------|

| ITEM 14. | PRINCIPAL ACCOUTING FEES AND SERVICES |
|----------|---------------------------------------|

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Table of Contents

| ITEM 15. | EXHIBITS AND FINANCIAL STATEMENT SCHEDULES |
|----------|--------------------------------------------|

|   | (a) | The following consolidated financial information is included as a separate section of this Form 10-K: |
|--------|-----|------------------------------------------------------------------------------------------------------------|

| 1.     | Financial Statements:                                                                                      |   |
|--------|------------------------------------------------------------------------------------------------------------|--------|
|   |                                                                                                       | Page   |
|   |                                                                                                       |   |
|   | Management Report on Internal Control Over Financial Reporting                                             | 59     |
|   |                                                                                                       |   |
|   | Report of Independent Registered Public Accounting Firm                                                    | 60     |
|   |                                                                                                       |   |
|   | Report of Independent Registered Public Accounting Firm                                                    | 61     |
|   |                                                                                                       |   |
|   | Consolidated Balance Sheets as of December 31, 2009 and 2008                                               | 62     |
|   |                                                                                                       |   |
|   | Consolidated Statements of Operations for the years ended December 31, 2009, 2008 and 2007                 | 63     |
|   |                                                                                                       |   |
|   | Consolidated Statements of Comprehensive Income for the years ended December 31, 2009, 2008 and 2007       | 64     |
|   |                                                                                                       |   |
|   | Consolidated Statements of Stockholders’ Equity for the years ended December 31, 2009, 2008 and 2007 | 65     |
|   |                                                                                                       |   |
|   | Consolidated Statements of Cash Flows for the years ended December 31, 2009, 2008 and 2007                 | 66     |
|   |                                                                                                       |   |
|   | Notes to the Consolidated Financial Statements                                                             | 68     |
|   |                                                                                                       |   |
| 2.     | Financial statement schedules required to be filed                                                         |   |
|   |                                                                                                       |   |
|   | Schedule III - Real Estate Investments and Accumulated Depreciation                                        | 112    |
|   |                                                                                                       |   |
|   | Schedule IV – Mortgage Loans on Real Estate                                                          | 116    |
|   |                                                                                                       |   |
|   | Schedules I and V are not required to be filed.                                                            |   |

|   | (b) | Exhibits: The following exhibits are filed as part of, or incorporated by reference into, this annual report. |
|--------|-----|---------------------------------------------------------------------------------------------------------------|

| EXHIBIT NO. | DESCRIPTION                                                                                                                                                                 |
|-------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|        |                                                                                                                                                                        |
| 3.1         | Composite Charter of the Company (Exhibit 3.1) (1)                                                                                                                          |
| 3.2         | Amended and Restated Bylaws of the Company (Exhibit 3.2) (2)                                                                                                                |
| 4.1         | Indenture dated November 9, 1995 between the Company, as successor-by-merger to IRT Property Company, and SunTrust Bank, as Trustee (Exhibit 4(c)) (3)                      |
| 4.2         | Supplemental Indenture No. 3, dated September 9, 1998, between the Company, as successor-by-merger to IRT Property Company, and SunTrust Bank, as Trustee (Exhibit 4.1) (6) |
| 4.3         | Supplemental Indenture No. 4, dated November 1, 1999, between the Company, as successor-by-merger to IRT Property Company, and SunTrust Bank, as Trustee (Exhibit 4.1) (7)  |
| 4.4         | Supplemental Indenture No. 5, dated February 12, 2003, between the Company and SunTrust Bank, as Trustee (Exhibit 4.1) (8)                                                  |
| 4.5         | Supplemental Indenture No. 6, dated April 23, 2004, between the Company and SunTrust Bank, as Trustee (Exhibit 4.2) (9)                                                     |
| 4.6         | Supplemental Indenture No. 7, dated May 20, 2005, between the Company and SunTrust Bank, as Trustee (Exhibit 4.1) (10)                                                      |
| 4.7         | Indenture, dated September 9, 1998, between the Company, as successor-by-merger to IRT Property Company, and SunTrust Bank, as Trustee (Exhibit 4.2) (6)                    |
| 4.8         | Supplemental Indenture No. 1, dated September 9, 1998, between the Company, as successor-by-merger to IRT Property Company, and SunTrust Bank, as Trustee (Exhibit 4.3) (6) |
| 4.9         | Supplemental Indenture No. 2, dated November 1, 1999, between the Company, as successor-by-merger to IRT Property Company, and SunTrust Bank, as Trustee (Exhibit 4.5) (7)  |

----

Table of Contents

| EXHIBIT NO. | DESCRIPTION                                                                                                                                                                                                                                                            |
|-------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 4.10        | Supplemental Indenture No. 3, dated February 12, 2003, between the Company and SunTrust Bank, as Trustee (Exhibit 4.2) (8)                                                                                                                                             |
| 4.11        | Supplemental Indenture No. 5, dated April 23, 2004, between the Company and SunTrust Bank, as Trustee (Exhibit 4.1) (9)                                                                                                                                                |
| 4.12        | Supplemental Indenture No. 6 dated May 20, 2005, between the Company and SunTrust Bank, as Trustee (Exhibit 4.2)(10)                                                                                                                                                   |
| 4.13        | Supplemental Indenture No. 7 dated September 20, 2005, between the Company and SunTrust Bank, as Trustee (Exhibit 4.1)(12)                                                                                                                                             |
| 4.14        | Supplemental Indenture No. 8 dated December 30, 2005, between the Company and SunTrust Bank, as Trustee (Exhibit 4.17) (13)                                                                                                                                            |
| 4.15        | Supplemental Indenture No. 9 dated March 10, 2006 between the Company and SunTrust Bank, as Trustee (Exhibit 4.1) (14)                                                                                                                                                 |
| 4.16        | Supplemental Indenture No. 10 dated August 18, 2006 between the Company and SunTrust Bank, as Trustee (Exhibit 4.1) (15)                                                                                                                                               |
| 4.17        | Supplemental Indenture No. 11 dated April 18, 2007, between the Company and U.S. Bank National Association, as Trustee (Exhibit 4.1) (27)                                                                                                                              |
| 4.18        | Supplemental Indenture No. 12 dated December 9, 2009 between the Company and U.S. Bank National Association, as Trustee (Exhibit 4.1) (39)                                                                                                                             |
| 10.1        | Form of Indemnification Agreement (Exhibit 10.1)(16)                                                                                                                                                                                                                   |
| 10.2        | 1995 Stock Option Plan, as amended (Appendix A) (17)*                                                                                                                                                                                                                  |
| 10.3        | Amended and Restated 2000 Executive Incentive Plan (Annex A) (32)*                                                                                                                                                                                                     |
| 10.4        | Form of Stock Option Agreement for stock options awarded under the Amended and Restated 2000 Executive Incentive Plan (Exhibit 10.3) (19)*                                                                                                                             |
| 10.5        | Form of Restricted Stock Agreement for restricted stock awarded under the Amended and Restated 2000 Executive Incentive Plan (Exhibit 10.4) (19)*                                                                                                                      |
| 10.6        | IRT 1989 Stock Option Plan, assumed by the Company (20)*                                                                                                                                                                                                               |
| 10.7        | IRT 1998 Long-Term Incentive Plan, assumed by the Company (Appendix A) (21)*                                                                                                                                                                                           |
| 10.8        | 2004 Employee Stock Purchase Plan (Annex B) (18)*                                                                                                                                                                                                                      |
| 10.9        | Registration Rights Agreement, dated as of January 1, 1996 by and among the Company, Chaim Katzman, Gazit Holdings, Inc., Dan Overseas Ltd., Globe Reit Investments, Ltd., Eli Makavy, Doron Valero and David Wulkan, as amended. (Exhibit 10.6, Amendment No. 3) (22) |
| 10.10       | Stock Exchange Agreement dated May 18, 2001 among the Company, First Capital Realty Inc. and First Capital America Holding Corp (23)                                                                                                                                   |
| 10.11       | Use Agreement, regarding use of facilities, by and between Gazit (1995), Inc. and the Company, dated January 1, 1996. (Exhibit 10.15, Amendment No. 1) (22)                                                                                                            |
| 10.12       | Subscription Agreement, dated October 4, 2000, made by Alony Hetz Properties & Investments, Ltd. (Exhibit 10.13) (24)                                                                                                                                              |
| 10.13       | Stockholders Agreement, dated October 4, 2000, among the Company, Alony Hetz Properties & Investments, Ltd., Gazit-Globe (1982), Ltd., M.G.N. (USA), Inc. and Gazit (1995), Inc. (Exhibit 10.14) (24)                                                              |
| 10.14       | First Amendment to Stockholders Agreement, dated December 19, 2001, among the Company Alony Hetz Properties & Investments, Ltd., Gazit-Globe (1982), Ltd., M.G.N. (USA), Inc. and Gazit (1995), Inc. (Exhibit 10.15) (24)                                          |
| 10.15       | Second Amendment to Stockholders Agreement, dated October 28, 2002, among the Company Alony Hetz Properties & Investments, Ltd., Gazit-Globe (1982), Ltd., M.G.N. (USA), Inc. and Gazit (1995), Inc. (25)                                                          |
| 10.16       | Third Amendment to Stockholders Agreement, dated May 23, 2003, among the Company Alony Hetz Properties & Investments, Ltd., Gazit-Globe (1982), Ltd., M.G.N. (USA), Inc. and Gazit (1995), Inc. (Exhibit 10.1) (9)                                                 |
| 10.17       | Chairman Compensation Agreement effective as of January 1, 2007 between the Company and Chaim Katzman (Exhibit 10.1) (26)*                                                                                                                                             |
| 10.18       | First Amended and Restated Employment Agreement effective as of September 15, 2006 between the Company and Jeffrey S. Olson (Exhibit 10.2) (26)*                                                                                                                       |
| 10.19       | Employment Agreement, effective as of March 14, 2008 between the Company and Thomas Caputo (Exhibit 10.1) (33)*                                                                                                                                                        |
| 10.20       | Fourth Amendment to Stockholders Agreement, dated June 23, 2004, among the Company, Alony-Hetz Properties & Investments, Ltd., Gazit-Globe, Ltd., MGN (USA), Inc. and Gazit (1995), Inc. (Exhibit 10.21) (40)                                                      |

----

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| EXHIBIT NO. | DESCRIPTION                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
|-------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 10.21       | Registration Rights Agreement, dated October 28, 2002, between the Company and certain Purchasers (Exhibit 99.3) (28)                                                                                                                                                                                                                                                                                                                                                              |
| 10.22       | Second Amended and Restated Credit Agreement, dated as of October 17, 2008, among the Company, each of the financial institutions initially a signatory thereto, SunTrust Bank, as Syndication Agent, Bank of America, N.A. and PNC Bank National Association, as Co-Documentation Agents, and Wells Fargo Bank, National Association as contractual representative of the Lenders to the extent and manner provided in Article XII and as Sole Lead Arranger. (Exhibit 10.1) (29) |
| 10.23       | Clarification Agreement and Protocol, dated as of  January 1, 2004, among the Company and Gazit-Globe (1982), Ltd. (Exhibit 10.2) (30)                                                                                                                                                                                                                                                                                                                                   |
| 10.24       | Equity One, Inc. Non-Qualified Deferred Compensation Plan. (Exhibit 10.1) (31)*                                                                                                                                                                                                                                                                                                                                                                                                    |
| 10.25       | Employment Agreement effective as of January 2, 2007 between the Company and Arthur L. Gallagher (Exhibit 10.1) (34)*                                                                                                                                                                                                                                                                                                                                                              |
| 10.26       | Registration Rights Agreement made as of September 23, 2008 by and among the Company and MGN America LLC (Exhibit 10.2) (35)                                                                                                                                                                                                                                                                                                                                                       |
| 10.27       | Common Stock Purchase Agreement made as of September 23, 2008 by and between the Company and MGN America, LLC (Exhibit 10.14) (35)                                                                                                                                                                                                                                                                                                                                                 |
| 10.28       | Senior Officers Voluntary Salary Reduction Letter effective as of February 6, 2009 (Exhibit 10.1) (36)*                                                                                                                                                                                                                                                                                                                                                                            |
| 10.29       | Common Stock Purchase Agreement, dated as of April 8, 2009, between the Company and MGN America, LLC (Exhibit 10.1) (37)                                                                                                                                                                                                                                                                                                                                                           |
| 10.30       | Registration Rights Agreement, dated as of April 8, 2009, between the Company and MGN America, LLC (Exhibit 10.2) (37)                                                                                                                                                                                                                                                                                                                                                             |
| 10.31       | Amended and restated employment contract between Mark Langer and the Company dated April 24, 2009 (Exhibit 10.1) (38)*                                                                                                                                                                                                                                                                                                                                                             |
| 12.1        | Ratios of Earnings to Fixed Charges                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| 21.1        | List of Subsidiaries of the Registrant                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| 23.1        | Consent of Ernst & Young LLP                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 31.1        | Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002                                                                                                                                                                                                                                                                                                                                                                                 |
| 31.2        | Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002                                                                                                                                                                                                                                                                                                                                                                                 |
| 32.1        | Certification of Chief Executive Officer and Chief Financial Officer pursuant to 18 U.S.C. 1350, as created by Section 906 of the Sarbanes-Oxley Act of 2002                                                                                                                                                                                                                                                                                                                       |

----

| (1) | Previously filed as an exhibit to our Quarterly Report on Form 10-Q for the period ended June 30, 2002, and incorporated by reference herein. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | Previously filed as an exhibit to our Annual Report on Form 10-K for the period ended December 31, 2003, and incorporated by reference herein. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------|

| (3) | Previously filed by IRT Property Company as an exhibit to IRT’s Annual Report on Form 10-K for the period ending December 31, 1995, and incorporated by reference herein. |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (4) | Intentionally Omitted. |
|-----|------------------------|

| (5) | Intentionally Omitted. |
|-----|------------------------|

| (6) | Previously filed by IRT Property Company as an exhibit to IRT’s Current Report on Form 8-K filed on September 15, 1998, and incorporated by reference herein. |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (7) | Previously filed by IRT Property Company as an exhibit to IRT’s Current Report on Form 8-K filed on November 12, 1999, and incorporated by reference herein. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (8) | Previously filed as an exhibit to our Current Report on Form 8-K filed on February 20, 2003, and incorporated by reference herein. |
|-----|------------------------------------------------------------------------------------------------------------------------------------|

| (9) | Previously filed as an exhibit to our Quarterly Report on Form 10-Q for the period ended March 31, 2004, and incorporated by reference herein. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------|

| (10) | Previously filed as an exhibit to our Quarterly Report on Form 10-Q for the period ended June 30, 2005, and incorporated by reference herein. |
|------|-----------------------------------------------------------------------------------------------------------------------------------------------|

| (11) | Intentionally Omitted. |
|------|------------------------|

| (12) | Previously filed as an exhibit to our Current Report on Form 8-K filed on September 20, 2005, and incorporated by reference herein. |
|------|-------------------------------------------------------------------------------------------------------------------------------------|

| (13) | Previously filed as an exhibit to our Annual Report on Form 10-K on March 3, 2006, and incorporated by reference herein. |
|------|--------------------------------------------------------------------------------------------------------------------------|

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| (14) | Previously filed as an exhibit to our Current Report on Form 8-K on March 13, 2006, and incorporated by reference herein. |
|------|---------------------------------------------------------------------------------------------------------------------------|

| (15) | Previously filed as an exhibit to our Current Report on Form 8-K filed on August 22, 2006, and incorporated by reference herein. |
|------|----------------------------------------------------------------------------------------------------------------------------------|

| (16) | Previously filed as an exhibit to our Annual Report on Form 10-K on March 16, 2005, and incorporated by reference herein. |
|------|---------------------------------------------------------------------------------------------------------------------------|

| (17) | Previously filed with our definitive Proxy Statement for the Annual Meeting of Stockholders held on June 30, 1999, and incorporated herein by reference. |
|------|----------------------------------------------------------------------------------------------------------------------------------------------------------|

| (18) | Previously filed with our definitive Proxy Statement for the Annual Meeting of Stockholders held on May 21, 2004, and incorporated herein by reference. |
|------|---------------------------------------------------------------------------------------------------------------------------------------------------------|

| (19) | Previously filed with our Current Report on Form 8-K filed on February 18, 2005, and incorporated by reference herein. |
|------|------------------------------------------------------------------------------------------------------------------------|

| (20) | Previously filed by IRT Property Company as an exhibit to IRT’s Current Report on Form 8-K filed on March 22, 1989, and incorporated herein by reference. |
|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (21) | Previously filed by IRT Property Company with IRT’s definitive Proxy Statement for the Annual Meeting of Stockholders held on June 18, 1998, and incorporated herein by reference. |
|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (22) | Previously filed with our Registration Statement on Form S-11, as amended (Registration No. 333-3397), and incorporated herein by reference. |
|------|----------------------------------------------------------------------------------------------------------------------------------------------|

| (23) | Previously filed as Appendix A to our definitive Proxy Statement for the Special Meeting of Stockholders held on September 6, 2001 and incorporated herein by reference. |
|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (24) | Previously filed with our Annual Report Form 10-K/A filed on March 18, 2002, and incorporated herein by reference. |
|------|--------------------------------------------------------------------------------------------------------------------|

| (25) | Previously filed as Exhibit 10.1 to our Quarterly Report on Form 10-Q for the period ended September 30, 2002, and incorporated by reference herein. |
|------|------------------------------------------------------------------------------------------------------------------------------------------------------|

| (26) | Previously filed as an exhibit to our Quarterly Report on Form 10-Q on November 9, 2006, and incorporated by reference herein. |
|------|--------------------------------------------------------------------------------------------------------------------------------|

| (27) | Previously filed as an exhibit to our Current Report on Form 8-K filed on April 20, 2007, and incorporated by reference herein. |
|------|---------------------------------------------------------------------------------------------------------------------------------|

| (28) | Previously filed as Exhibit 2.1 to our Current Report on Form 8-K filed on October 30, 2002, and incorporated by reference herein. |
|------|------------------------------------------------------------------------------------------------------------------------------------|

| (29) | Previously filed as an exhibit to our Current Report on Form 8-K filed on October 23, 2008, and incorporated by reference herein. |
|------|-----------------------------------------------------------------------------------------------------------------------------------|

| (30) | Previously filed as an exhibit to our Current Report on Form 8-K filed on March 16, 2004, and incorporated by reference herein. |
|------|---------------------------------------------------------------------------------------------------------------------------------|

| (31) | Previously filed as an exhibit to our Current Report on Form 8-K filed on July 7, 2005, and incorporated by reference herein. |
|------|-------------------------------------------------------------------------------------------------------------------------------|

| (32) | Previously filed as Annex A to our definitive Proxy Statement for the Annual Meeting of Stockholders held on June 4, 2007 and incorporated herein by reference |
|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (33) | Previously filed as an exhibit to our Current Report on Form 8-K filed on March 18, 2008, and incorporated by reference herein. |
|------|---------------------------------------------------------------------------------------------------------------------------------|

| (34) | Previously filed as an exhibit to our Quarterly Report on Form 10-Q filed on May 5, 2008, and incorporated by reference herein. |
|------|---------------------------------------------------------------------------------------------------------------------------------|

| (35) | Previously filed as an exhibit to our Current Report on Form 8-K filed on September 29, 2008, and incorporated by reference herein. |
|------|-------------------------------------------------------------------------------------------------------------------------------------|

| (36) | Previously filed as an exhibit to our Current Report on Form 8-K filed on February 6, 2009, and incorporated by reference herein. |
|------|-----------------------------------------------------------------------------------------------------------------------------------|

| (37) | Previously filed as an exhibit to our Current Report on Form 8-K filed on April 14, 2009, and incorporated by reference herein. |
|------|---------------------------------------------------------------------------------------------------------------------------------|

| (38) | Previously filed as an exhibit to our Quarterly Report on Form 10-Q filed on May 11, 2009, and incorporated by reference herein. |
|------|----------------------------------------------------------------------------------------------------------------------------------|

| (39) | Previously filed as an exhibit to our Current Report on Form 8-K filed on December 9, 2009, and incorporated by reference herein. |
|------|-----------------------------------------------------------------------------------------------------------------------------------|

| (40) | Previously filed as an exhibit to our Annual Report on Form 10-K on February 25, 2008, and incorporated by reference herein. |
|------|------------------------------------------------------------------------------------------------------------------------------|

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SIGNA

| Date: March 8, 2010 | EQUITY ONE, INC.                        |
|---------------------|-----------------------------------------|
|                |                                    |
|                | By:/s/ Jeffrey S. OlsonJeffrey S. Olson |
|                | Chief Executive Officer                 |

| SIGNATURE                                       | TITLE                                                                                 | DATE          |
|-------------------------------------------------|---------------------------------------------------------------------------------------|---------------|
|                                            |                                                                                  |          |
| /s/ Jeffrey S. Olson                            | Chief Executive Officer and Director                                                  | March 8, 2010 |
|       Jeffrey S. Olson | (Principal Executive Officer)                                                         |          |
|                                            |                                                                                  |          |
| /s/ Mark Langer                                 | Executive Vice President and                                                          | March 8, 2010 |
|       Mark Langer      | Chief Financial Officer(Principal Financial Officer and Principal Accounting Officer) |          |
|                                            |                                                                                  |          |
| /s/ Chaim Katzman                               | Chairman of the Board                                                                 | March 8, 2010 |
|      Chaim Katzman     |                                                                                  |          |
|                                            |                                                                                  |          |
| /s/ Noam Ben-Ozer                               | Director                                                                              | March 8, 2010 |
|      Noam Ben-Ozer          |                                                                                  |          |
|                                            |                                                                                  |          |
| /s/ James S. Cassel                             | Director                                                                              | March 8, 2010 |
|      James S. Cassel        |                                                                                  |          |
|                                            |                                                                                  |          |
| /s/ Cynthia Cohen                               | Director                                                                              | March 8, 2010 |
|      Cynthia Cohen          |                                                                                  |          |
|                                            |                                                                                  |          |
| /s/ Neil Flanzraich                             | Director                                                                              | March 8, 2010 |
|      Neil Flanzraich        |                                                                                  |          |
|                                            |                                                                                  |          |
| /s/ Nathan Hetz                                 | Director                                                                              | March 8, 2010 |
|      Nathan Hetz            |                                                                                  |          |
|                                            |                                                                                  |          |
| /s/ Peter Linneman                              | Director                                                                              | March 8, 2010 |
|      Peter Linneman    |                                                                                  |          |
|                                            |                                                                                  |          |
| /s/ Dori J. Segal                               | Director                                                                              | March 8, 2010 |
|      Dori J. Segal          |                                                                                  |          |

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|                                                                                                       | Page   |
|------------------------------------------------------------------------------------------------------------|--------|
|                                                                                                       |   |
| Management Report on Internal Control Over Financial Reporting                                             | 59     |
|                                                                                                       |   |
| Report of Independent Registered Public Accounting Firm                                                    | 60     |
|                                                                                                       |   |
| Report of Independent Registered Public Accounting Firm                                                    | 61     |
|                                                                                                       |   |
| Consolidated Balance Sheets as of December 31, 2009 and 2008                                               | 62     |
|                                                                                                       |   |
| Consolidated Statements of Operations for the years ended December 31, 2009, 2008 and 2007                 | 63     |
|                                                                                                       |   |
| Consolidated Statements of Comprehensive Income for the years ended December 31, 2009, 2008 and 2007       | 64     |
|                                                                                                       |   |
| Consolidated Statements of Stockholders’ Equity for the years ended December 31, 2009, 2008 and 2007 | 65     |
|                                                                                                       |   |
| Consolidated Statements of Cash Flows for the years ended December 31, 2009, 2008 and 2007                 | 66     |
|                                                                                                       |   |
| Notes to the Consolidated Financial Statements                                                             | 68     |

----

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|   | · | Pertain to the maintenance of records that in reasonable detail accurately and fairly reflect the transactions and dispositions of the assets of the Company; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the Company are being made only in accordance with authorizations of management and directors of the Company; and |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of the Company’s assets that could have a material effect on the financial statements. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | /s/ Ernst & Young LLP    |
|--------|------------------------------|
|   | Certified Public Accountants |

----

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|   | /s/ Ernst & Young LLP    |
|--------|------------------------------|
|   | Certified Public Accountants |

----

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|                                                                                                                                             |   | December 31,2009 |      |   | December 31,2008 |   |
|--------------------------------------------------------------------------------------------------------------------------------------------------|--------|------------------|-----------|--------|------------------|--------|
| ASSETS                                                                                                                                           |   |             |      |   |             |   |
| Properties:                                                                                                                                      |   |             |      |   |             |   |
| Income producing                                                                                                                                 |   | $                | 2,433,431 |   |             | $      | 1,900,513 |   |
| Less: accumulated depreciation                                                                                                                   |   |             | (240,172  | )      |             |   | (196,151 | ) |
| Income producing properties, net                                                                                                                 |   |             | 2,193,259 |   |             |   | 1,704,362 |   |
|                                                                                                                                             |   |             |      |   |             |   |   |   |
| Construction in progress and land held for development                                                                                           |   |             | 68,866    |   |             |   | 74,371 |   |
| Properties, net                                                                                                                                  |   |             | 2,262,125 |   |             |   | 1,778,733 |   |
|                                                                                                                                             |   |             |      |   |             |   |   |   |
| Cash and cash equivalents                                                                                                                        |   |             | 47,970    |   |             |   | 5,355 |   |
| Accounts and other receivables, net                                                                                                              |   |             | 9,806     |   |             |   | 12,209 |   |
| Investment in and advances to unconsolidated joint ventures                                                                                      |   |             | 11,524    |   |             |   | 11,745 |   |
| Securities                                                                                                                                       |   |             | 820       |   |             |   | 160,585 |   |
| Goodwill                                                                                                                                         |   |             | 11,477    |   |             |   | 11,845 |   |
| Other assets                                                                                                                                     |   |             | 108,598   |   |             |   | 55,791 |   |
| TOTAL ASSETS                                                                                                                                     |   | $                | 2,452,320 |   |             | $      | 2,036,263 |   |
|                                                                                                                                             |   |             |      |   |             |   |   |   |
| LIABILITIES AND STOCKHOLDERS’ EQUITY                                                                                                       |   |             |      |   |             |   |   |   |
| Liabilities:                                                                                                                                     |   |             |      |   |             |   |   |   |
| Notes Payable                                                                                                                                    |   |             |      |   |             |   |   |   |
| Mortgage notes payable                                                                                                                           |   | $                | 551,647   |   |             | $      | 371,077 |   |
| Unsecured revolving credit facilities                                                                                                            |   |             | -         |   |             |   | 35,500 |   |
| Unsecured senior notes payable                                                                                                                   |   |             | 691,136   |   |             |   | 657,913 |   |
|                                                                                                                                             |   |             | 1,242,783 |   |             |   | 1,064,490 |   |
| Unamortized/unaccreted (discount) premium on notes payable                                                                                       |   |             | (25,892   | )      |             |   | 5,225 |   |
| Total notes payable                                                                                                                              |   |             | 1,216,891 |   |             |   | 1,069,715 |   |
|                                                                                                                                             |   |             |      |   |             |   |   |   |
| Other liabilities                                                                                                                                |   |             |      |   |             |   |   |   |
| Accounts payable and accrued expenses                                                                                                            |   |             | 33,251    |   |             |   | 27,778 |   |
| Tenant security deposits                                                                                                                         |   |             | 9,180     |   |             |   | 8,908 |   |
| Deferred tax liabilities, net                                                                                                                    |   |             | 50,059    |   |             |   | 1,409 |   |
| Other liabilities                                                                                                                                |   |             | 54,237    |   |             |   | 17,966 |   |
| Total liabilities                                                                                                                                |   |             | 1,363,618 |   |             |   | 1,125,776 |   |
| Redeemable noncontrolling interest                                                                                                               |   |             | 989       |   |             |   | 989 |   |
|                                                                                                                                             |   |             |      |   |             |   |   |   |
| Commitments and contingencies                                                                                                                    |   |             | -         |   |             |   | - |   |
|                                                                                                                                             |   |             |      |   |             |   |   |   |
| Stockholders'  equity:                                                                                                                 |   |             |      |   |             |   |   |   |
| Preferred stock, $0.01 par value – 10,000 shares authorized but unissued                                                                   |   |             | -         |   |             |   | - |   |
| Common stock, $0.01 par value – 100,000 shares authorized, 86,131 and 76,198 shares issued and outstanding for 2009 and 2008, respectively |   |             | 861       |   |             |   | 762 |   |
| Additional paid-in capital                                                                                                                       |   |             | 1,110,427 |   |             |   | 967,514 |   |
| Distributions in excess of earnings                                                                                                              |   |             | (46,810   | )      |             |   | (36,617 | ) |
| Contingent consideration                                                                                                                         |   |             | 323       |   |             |   | - |   |
| Accumulated other comprehensive loss                                                                                                             |   |             | (266      | )      |             |   | (22,161 | ) |
| Total stockholders’ equity of Equity One, Inc                                                                                              |   |             | 1,064,535 |   |             |   | 909,498 |   |
|                                                                                                                                             |   |             |      |   |             |   |   |   |
| Noncontrolling interest                                                                                                                          |   |             | 23,178    |   |             |   | - |   |
| Total stockholders equity                                                                                                                        |   |             | 1,087,713 |   |             |   | 909,498 |   |
|                                                                                                                                             |   |             |      |   |             |   |   |   |
| TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY                                                                                                       |   | $                | 2,452,320 |   |             | $      | 2,036,263 |   |

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Table of Contents

|                                                                                                                                  |   | 2009   |    |   | 2008   |   |    | 2007   |   |
|---------------------------------------------------------------------------------------------------------------------------------------|--------|--------|---------|--------|--------|--------|---------|--------|--------|
| REVENUE:                                                                                                                              |   |   |    |   |   |   |    |   |   |
| Minimum rent                                                                                                                          |   | $      | 210,068 |   |   | $      | 181,998 |   |   | $ | 188,045 |   |
| Expense recoveries                                                                                                                    |   |   | 57,968  |   |   |   | 51,761  |   |   |   | 53,153 |   |
| Percentage rent                                                                                                                       |   |   | 1,679   |   |   |   | 1,901   |   |   |   | 2,101 |   |
| Management and leasing services                                                                                                       |   |   | 1,675   |   |   |   | 1,789   |   |   |   | 1,163 |   |
| Total revenue                                                                                                                         |   |   | 271,390 |   |   |   | 237,449 |   |   |   | 244,462 |   |
| COSTS AND EXPENSES:                                                                                                                   |   |   |    |   |   |   |    |   |   |   |   |   |
| Property operating                                                                                                                    |   |   | 78,078  |   |   |   | 64,198  |   |   |   | 62,837 |   |
| Rental property depreciation and amortization                                                                                         |   |   | 62,131  |   |   |   | 45,438  |   |   |   | 45,901 |   |
| General and administrative                                                                                                            |   |   | 38,835  |   |   |   | 31,957  |   |   |   | 27,925 |   |
| Total costs and expenses                                                                                                              |   |   | 179,044 |   |   |   | 141,593 |   |   |   | 136,663 |   |
|                                                                                                                                  |   |   |    |   |   |   |    |   |   |   |   |   |
| INCOME BEFORE OTHER INCOME AND EXPENSE, TAX AND DISCONTINUED OPERATIONS                                                               |   |   | 92,346  |   |   |   | 95,856  |   |   |   | 107,799 |   |
|                                                                                                                                  |   |   |    |   |   |   |    |   |   |   |   |   |
| OTHER INCOME AND EXPENSE:                                                                                                             |   |   |    |   |   |   |    |   |   |   |   |   |
| Investment income                                                                                                                     |   |   | 10,155  |   |   |   | 10,220  |   |   |   | 7,208 |   |
| Equity in (loss) income in unconsolidated joint ventures                                                                              |   |   | (88     | )      |   |   | 108     |   |   |   | - |   |
| Other income                                                                                                                          |   |   | 1,503   |   |   |   | 967     |   |   |   | 310 |   |
| Interest expense                                                                                                                      |   |   | (73,450 | )      |   |   | (60,851 | )      |   |   | (66,520 | ) |
| Amortization of deferred financing fees                                                                                               |   |   | (1,520  | )      |   |   | (1,629  | )      |   |   | (1,678 | ) |
| Gain on acquisition of controlling interest in subsidiary                                                                             |   |   | 27,501  |   |   |   | -       |   |   |   | - |   |
| Loss on sale of fixed assets                                                                                                          |   |   | -       |   |   |   | -       |   |   |   | (283 | ) |
| Gain on sale of real estate                                                                                                           |   |   | -       |   |   |   | 21,542  |   |   |   | 2,018 |   |
| Gain on extinguishment of debt                                                                                                        |   |   | 12,345  |   |   |   | 6,473   |   |   |   | - |   |
| Impairment loss                                                                                                                       |   |   | (369    | )      |   |   | (37,497 | )      |   |   | (430 | ) |
| INCOME FROM CONTINUING OPERATIONS BEFORE TAX AND DISCONTINUED OPERATIONS:                                                             |   |   | 68,423  |   |   |   | 35,189  |   |   |   | 48,424 |   |
| Income tax benefit (provision) of taxable REIT subsidiaries                                                                           |   |   | 5,017   |   |   |   | (1,015  | )      |   |   | 272 |   |
| INCOME  FROM CONTINUING OPERATIONS                                                                                          |   |   | 73,440  |   |   |   | 34,174  |   |   |   | 48,696 |   |
| DISCONTINUED OPERATIONS:                                                                                                              |   |   |    |   |   |   |    |   |   |   |   |   |
| Operations of income-producing properties sold or held for sale                                                                       |   |   | 808     |   |   |   | 1,391   |   |   |   | 1,284 |   |
| Gain (loss) on disposal of income-producing properties                                                                                |   |   | 7,127   |   |   |   | (557    | )      |   |   | 19,405 |   |
| INCOME FROM DISCONTINUED OPERATIONS                                                                                                   |   |   | 7,935   |   |   |   | 834     |   |   |   | 20,689 |   |
| NET INCOME                                                                                                                            |   |   | 81,375  |   |   |   | 35,008  |   |   |   | 69,385 |   |
| Net income attributable to noncontrolling interest                                                                                    |   |   | 2,442   |   |   |   | -       |   |   |   | - |   |
| NET INCOME ATTRIBUTABLE TO EQUITY ONE                                                                                                 |   | $      | 83,817  |   |   | $      | 35,008  |   |   | $ | 69,385 |   |
|                                                                                                                                  |   |   |    |   |   |   |    |   |   |   |   |   |
| EARNINGS PER COMMON SHARE - BASIC:                                                                                                    |   |   |    |   |   |   |    |   |   |   |   |   |
| Continuing operations                                                                                                                 |   | $      | 0.91    |   |   | $      | 0.46    |   |   | $ | 0.66 |   |
| Discontinued operations                                                                                                               |   |   | 0.09    |   |   |   | 0.01    |   |   |   | 0.28 |   |
|                                                                                                                                  |   | $      | 1.00    |   |   | $      | 0.47    |   |   | $ | 0.94 |   |
| Number of Shares Used in Computing Basic Earnings per Share                                                                           |   |   | 83,290  |   |   |   | 74,075  |   |   |   | 73,091 |   |
|                                                                                                                                  |   |   |    |   |   |   |    |   |   |   |   |   |
| EARNINGS PER COMMON SHARE - DILUTED:                                                                                                  |   |   |    |   |   |   |    |   |   |   |   |   |
| Continuing operations                                                                                                                 |   |   | 0.89    |   |   | $      | 0.46    |   |   | $ | 0.66 |   |
| Discontinued operations                                                                                                               |   |   | 0.09    |   |   |   | 0.01    |   |   |   | 0.28 |   |
|                                                                                                                                  |   | $      | 0.99    |   |   | $      | 0.47    |   |   | $ | 0.94 |   |
| Number of Shares Used in Computing Diluted Earnings per Share                                                                         |   |   | 83,857  |   |   |   | 74,098  |   |   |   | 73,168 |   |
|                                                                                                                                  |   |   |    |   |   |   |    |   |   |   |   |   |
| Note: Diluted EPS for the year ended December 31, 2009 does not foot due to the mathematical rounding of the individual calculations. |   |   |    |   |   |   |    |   |   |   |   |   |

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Table of Contents

|                                                                                                       |   | 2009   |    |   | 2008   |   |    | 2007   |   |
|------------------------------------------------------------------------------------------------------------|--------|--------|---------|--------|--------|--------|---------|--------|--------|
|                                                                                                       |   |   |    |   |   |   |    |   |   |
| NET INCOME                                                                                                 |   | $      | 81,375  |   |   | $      | 35,008  |   |   | $ | 69,385 |   |
| OTHER COMPREHENSIVE INCOME:                                                                                |   |   |    |   |   |   |    |   |   |   |   |   |
| Net unrealized holding gain (loss) on securities available for sale                                        |   |   | 10,918  |   |   |   | (36,562 | )      |   |   | (1,386 | ) |
| Reclassification adjustment for other-than-temporary impairment loss on securities available for sale      |   |   | -       |   |   |   | 23,174  |   |   |   | - |   |
| Reclassification adjustment for gain on the sale of securities and cash flow hedges included in net income |   |   | 10,711  |   |   |   | 15      |   |   |   | 2,322 |   |
| Change in fair value of cash hedges                                                                        |   |   | -       |   |   |   | -       |   |   |   | 75 |   |
| Net realized gain (loss) on interest rate contracts included in net income                                 |   |   | 184     |   |   |   | 102     |   |   |   | (2,498 | ) |
| Net amortization of interest rate contracts                                                                |   |   | 82      |   |   |   | 72      |   |   |   | 23 |   |
| Other comprehensive income (loss) adjustment                                                               |   |   | 21,895  |   |   |   | (13,199 | )      |   |   | (1,464 | ) |
|                                                                                                       |   |   |    |   |   |   |    |   |   |   |   |   |
| COMPREHENSIVE INCOME                                                                                       |   |   | 103,270 |   |   |   | 21,809  |   |   |   | 67,921 |   |
|                                                                                                       |   |   |    |   |   |   |    |   |   |   |   |   |
| Comprehensive loss attributable to noncontrolling interest                                                 |   |   | 2,442   |   |   |   | -       |   |   |   | - |   |
|                                                                                                       |   |   |    |   |   |   |    |   |   |   |   |   |
| COMPREHENSIVE INCOME ATTRIBUTABLE TO EQUITY ONE                                                            |   | $      | 105,712 |   |   | $      | 21,809  |   |   | $ | 67,921 |   |

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Table of Contents

|                                                       |   | Common Stock |   |   | AdditionalPaid-InCapital |   |      | Retained Earnings |   |   | Contingent Consideration |   |   | Accumulated Other Comprehensive Loss |   |   | Equity Attributable to Equity One |   |    | Equity Attributable to Non-controlling Interest |   |   | Total Stockholders' Equity |   |
|------------------------------------------------------------|--------|--------------|--------|--------|--------------------------|--------|-----------|-------------------|--------|--------|--------------------------|--------|--------|--------------------------------------|--------|--------|-----------------------------------|--------|---------|-------------------------------------------------|--------|--------|----------------------------|--------|
| BALANCE, JANUARY 1, 2007                                   |   | $            | 728    |   |                     | $      | 895,247   |              |   | $      | 37,201                   |   |   | $                                    | -      |   |                              | $      | (7,498  | )                                               |   | $      | -                          |   |   | $ | - |   |   | $ | 925,678 |   |
| Issuance of common stock                                   |   |         | 5      |   |                     |   | 3,877     |              |   |   | -                        |   |   |                                 | -      |   |                              |   | -       |                                            |   |   | -                          |   |   |   | - |   |   |   | 3,882 |   |
| Stock issuance cost                                        |   |         | -      |   |                     |   | 7,050     |              |   |   | -                        |   |   |                                 | -      |   |                              |   | -       |                                            |   |   | -                          |   |   |   | - |   |   |   | 7,050 |   |
| Share-based compensation expense                           |   |         | -      |   |                     |   | -         |              |   |   | -                        |   |   |                                 | -      |   |                              |   | -       |                                            |   |   | -                          |   |   |   | - |   |   |   | - |   |
| Net income                                                 |   |         | -      |   |                     |   | -         |              |   |   | 69,385                   |   |   |                                 | -      |   |                              |   | -       |                                            |   |   | -                          |   |   |   | - |   |   |   | 69,385 |   |
| Dividends declared                                         |   |         | -      |   |                     |   | -         |              |   |   | (88,599                  | )      |   |                                 | -      |   |                              |   | -       |                                            |   |   | -                          |   |   |   | - |   |   |   | (88,599 | ) |
| Other comprehensive income adjustment                      |   |         | -      |   |                     |   | -         |              |   |   | -                        |   |   |                                 | -      |   |                              |   | (1,464  | )                                               |   |   | -                          |   |   |   | - |   |   |   | (1,464 | ) |
|                                                       |   |         |   |   |                     |   |      |              |   |   |                     |   |   |                                 |   |   |                              |   |    |                                            |   |   |                       |   |   |   |   |   |   |   |   |   |
| BALANCE, DECEMBER 31, 2007                                 |   |         | 733    |   |                     |   | 906,174   |              |   |   | 17,987                   |   |   |                                 | -      |   |                              |   | (8,962  | )                                               |   |   | -                          |   |   |   | - |   |   |   | 915,932 |   |
| Issuance of common stock                                   |   |         | 29     |   |                     |   | 57,073    |              |   |   | -                        |   |   |                                 | -      |   |                              |   | -       |                                            |   |   | -                          |   |   |   | - |   |   |   | 57,102 |   |
| Stock issuance cost                                        |   |         | -      |   |                     |   | (2,161    | )                 |   |   | -                        |   |   |                                 | -      |   |                              |   | -       |                                            |   |   | -                          |   |   |   | - |   |   |   | (2,161 | ) |
| Share-based compensation expense                           |   |         | -      |   |                     |   | 6,428     |              |   |   | -                        |   |   |                                 | -      |   |                              |   | -       |                                            |   |   | -                          |   |   |   | - |   |   |   | 6,428 |   |
| Net income                                                 |   |         | -      |   |                     |   | -         |              |   |   | 35,008                   |   |   |                                 | -      |   |                              |   | -       |                                            |   |   | -                          |   |   |   | - |   |   |   | 35,008 |   |
| Dividends declared                                         |   |         | -      |   |                     |   | -         |              |   |   | (89,612                  | )      |   |                                 | -      |   |                              |   | -       |                                            |   |   | -                          |   |   |   | - |   |   |   | (89,612 | ) |
| Other comprehensive income adjustment                      |   |         | -      |   |                     |   | -         |              |   |   | -                        |   |   |                                 | -      |   |                              |   | (13,199 | )                                               |   |   | -                          |   |   |   | - |   |   |   | (13,199 | ) |
|                                                       |   |         |   |   |                     |   |      |              |   |   |                     |   |   |                                 |   |   |                              |   |    |                                            |   |   |                       |   |   |   |   |   |   |   |   |   |
| BALANCE, DECEMBER 31, 2008                                 |   |         | 762    |   |                     |   | 967,514   |              |   |   | (36,617                  | )      |   |                                 | -      |   |                              |   | (22,161 | )                                               |   |   | 909,498                    |   |   |   | - |   |   |   | 909,498 |   |
| Issuance of common stock                                   |   |         | 104    |   |                     |   | 144,670   |              |   |   | -                        |   |   |                                 | -      |   |                              |   | -       |                                            |   |   | 144,774                    |   |   |   | - |   |   |   | 144,774 |   |
| Stock issuance cost                                        |   |         | -      |   |                     |   | (4,266    | )                 |   |   | -                        |   |   |                                 | -      |   |                              |   | -       |                                            |   |   | (4,266                     | )      |   |   | - |   |   |   | (4,266 | ) |
| Share-based compensation expense                           |   |         | -      |   |                     |   | 7,911     |              |   |   | -                        |   |   |                                 | -      |   |                              |   | -       |                                            |   |   | 7,911                      |   |   |   | - |   |   |   | 7,911 |   |
| Common stock repurchases                                   |   |         | (5     | )      |                     |   | (5,418    | )                 |   |   | -                        |   |   |                                 | -      |   |                              |   | -       |                                            |   |   | (5,423                     | )      |   |   | - |   |   |   | (5,423 | ) |
| Net income (loss)                                          |   |         | -      |   |                     |   | -         |              |   |   | 83,817                   |   |   |                                 | -      |   |                              |   | -       |                                            |   |   | 83,817                     |   |   |   | (2,442 | ) |   |   | 81,375 |   |
| Dividends declared and paid                                |   |         | -      |   |                     |   | -         |              |   |   | (94,010                  | )      |   |                                 | -      |   |                              |   | -       |                                            |   |   | (94,010                    | )      |   |   | - |   |   |   | (94,010 | ) |
| Acquisition of DIM, Vastgoed N.V.                          |   |         | -      |   |                     |   | -         |              |   |   | -                        |   |   |                                 | 323    |   |                              |   | -       |                                            |   |   | 323                        |   |   |   | 25,796 |   |   |   | 26,119 |   |
| Purchase of subsidiary shares from noncontrolling interest |   |         | -      |   |                     |   | 16        |              |   |   | -                        |   |   |                                 | -      |   |                              |   | -       |                                            |   |   | 16                         |   |   |   | (176 | ) |   |   | (160 | ) |
| Other comprehensive income adjustment                      |   |         | -      |   |                     |   | -         |              |   |   | -                        |   |   |                                 | -      |   |                              |   | 21,895  |                                            |   |   | 21,895                     |   |   |   | - |   |   |   | 21,895 |   |
| BALANCE, DECEMBER 31, 2009                                 |   | $            | 861    |   |                     | $      | 1,110,427 |              |   | $      | (46,810                  | )      |   | $                                    | 323    |   |                              | $      | (266    | )                                               |   | $      | 1,064,535                  |   |   | $ | 23,178 |   |   | $ | 1,087,713 |   |

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Table of Contents

|                                                                                                                            |   | 2009   |     |   | 2008   |   |     | 2007   |   |
|---------------------------------------------------------------------------------------------------------------------------------|--------|--------|----------|--------|--------|--------|----------|--------|--------|
| OPERATING ACTIVITIES:                                                                                                           |   |   |     |   |   |   |     |   |   |
| Net income                                                                                                                      |   | $      | 81,375   |   |   | $      | 35,008   |   |   | $ | 69,385 |   |
| Adjustments to reconcile net income to net cash provided by operating activities, net of effects of acquisitions and disposals: |   |   |     |   |   |   |     |   |   |   |   |   |
| Straight line rent adjustment                                                                                                   |   |   | (1,383   | )      |   |   | (829     | )      |   |   | (1,582 | ) |
| Accretion of below market lease intangibles                                                                                     |   |   | (6,775   | )      |   |   | (3,708   | )      |   |   | (4,586 | ) |
| Equity in income (loss) of joint ventures                                                                                       |   |   | 88       |   |   |   | (108     | )      |   |   | - |   |
| Amortization of premium on investments held for sale                                                                            |   |   | (257     | )      |   |   | (413     | )      |   |   | - |   |
| Gain on acquisition of DIM Vastgoed                                                                                             |   |   | (27,501  | )      |   |   | -        |   |   |   | - |   |
| Income tax (benefit) provision of taxable REIT subsidiaries                                                                     |   |   | (5,017   | )      |   |   | 1,045    |   |   |   | - |   |
| Provision for losses on accounts receivable                                                                                     |   |   | 4,624    |   |   |   | 2,214    |   |   |   | 1,559 |   |
| Amortization (accretion) of discount (premium) on notes payable                                                                 |   |   | 2,224    |   |   |   | (1,900   | )      |   |   | (2,102 | ) |
| Amortization of deferred financing fees                                                                                         |   |   | 1,503    |   |   |   | 1,629    |   |   |   | 1,684 |   |
| Rental property depreciation and amortization                                                                                   |   |   | 63,845   |   |   |   | 46,406   |   |   |   | 47,514 |   |
| Share-based payment                                                                                                             |   |   | 7,911    |   |   |   | 6,428    |   |   |   | 7,050 |   |
| Operating distributions from joint ventures                                                                                     |   |   | 265      |   |   |   | 169      |   |   |   | - |   |
| (Gain) loss on sale of securities                                                                                               |   |   | (6,362   | )      |   |   | -        |   |   |   | (325 | ) |
| Amortization of derivatives                                                                                                     |   |   | 137      |   |   |   | (29      | )      |   |   | 23 |   |
| (Gain) on disposal of real estate and income-producing properties                                                               |   |   | (7,126   | )      |   |   | (20,985  | )      |   |   | (21,423 | ) |
| Other-than-temporary impairment loss on available for sale securities                                                           |   |   | 369      |   |   |   | 37,543   |   |   |   | 3,360 |   |
| Loss on sale of fixed asset                                                                                                     |   |   | -        |   |   |   | -        |   |   |   | 283 |   |
| (Gain) on extinguishment of debt                                                                                                |   |   | (12,345  | )      |   |   | (6,473   | )      |   |   | 491 |   |
| Changes in assets and liabilities:                                                                                              |   |   |     |   |   |   |     |   |   |   |   |   |
| Accounts and other receivables                                                                                                  |   |   | (1,375   | )      |   |   | (264     | )      |   |   | 3,262 |   |
| Other assets                                                                                                                    |   |   | (1,162   | )      |   |   | 1,395    |   |   |   | 8,465 |   |
| Accounts payable and accrued expenses                                                                                           |   |   | 4,249    |   |   |   | (7,128   | )      |   |   | (2,191 | ) |
| Tenant security deposits                                                                                                        |   |   | (653     | )      |   |   | (777     | )      |   |   | 63 |   |
| Other liabilities                                                                                                               |   |   | (340     | )      |   |   | (2,704   | )      |   |   | (4,026 | ) |
| Net cash provided by operating activities                                                                                       |   |   | 96,294   |   |   |   | 86,519   |   |   |   | 106,904 |   |
|                                                                                                                            |   |   |     |   |   |   |     |   |   |   |   |   |
| INVESTING ACTIVITIES:                                                                                                           |   |   |     |   |   |   |     |   |   |   |   |   |
| Additions to income-producing property                                                                                          |   | $      | (119,454 | )      |   | $      | (9,714   | )      |   | $ | (107,587 | ) |
| Additions to construction in progress                                                                                           |   |   | (11,809  | )      |   |   | (30,447  | )      |   |   | (15,212 | ) |
| Additions to and purchases of land held for development                                                                         |   |   | (26,920  | )      |   |   | (87      | )      |   |   | (2,651 | ) |
| Proceeds from disposal of real estate and rental properties                                                                     |   |   | 15,870   |   |   |   | 191,905  |   |   |   | 71,273 |   |
| Change in cash held in escrow                                                                                                   |   |   | -        |   |   |   | 54,460   |   |   |   | (52,913 | ) |
| Increase in deferred leasing costs and lease intangibles                                                                        |   |   | (6,030   | )      |   |   | (5,936   | )      |   |   | (3,884 | ) |
| Advances to joint ventures                                                                                                      |   |   | 164      |   |   |   | (265     | )      |   |   | - |   |
| Investment in consolidated subsidiary                                                                                           |   |   | (956     | )      |   |   | -        |   |   |   | - |   |
| Investment in joint ventures                                                                                                    |   |   | (400     | )      |   |   | (17,178  | )      |   |   | - |   |
| Additions to notes receivable                                                                                                   |   |   | -        |   |   |   | (3       | )      |   |   | (14 | ) |
| Distributions of capital from joint ventures                                                                                    |   |   | 107      |   |   |   | 2,966    |   |   |   | - |   |
| Proceeds from repayment of notes receivable                                                                                     |   |   | -        |   |   |   | 22       |   |   |   | 4,745 |   |
| Proceeds from sale of securities                                                                                                |   |   | 152,008  |   |   |   | 250      |   |   |   | 2,822 |   |
| Cash used to purchase securities                                                                                                |   |   | (10,867  | )      |   |   | (134,667 | )      |   |   | (1,181 | ) |
| Net cash (used in) provided by investing activities                                                                             |   |   | (8,287   | )      |   |   | 51,306   |   |   |   | (104,602 | ) |
|                                                                                                                            |   |   |     |   |   |   |     |   |   |   |   |   |
| FINANCING ACTIVITIES:                                                                                                           |   |   |     |   |   |   |     |   |   |   |   |   |
| Repayments of mortgage notes payable                                                                                            |   | $      | (81,737  | )      |   | $      | (78,316  | )      |   | $ | (22,270 | ) |
| Net (repayments) borrowings under revolving credit facilities                                                                   |   |   | (36,770  | )      |   |   | (1,500   | )      |   |   | (39,500 | ) |
| Borrowing under mortgage notes                                                                                                  |   |   | -        |   |   |   | 65,000   |   |   |   | - |   |
| Proceeds from Senior debt borrowings                                                                                            |   |   | 247,838  |   |   |   | -        |   |   |   | 148,874 |   |
| Repayment of Senior debt borrowings                                                                                             |   |   | (203,482 | )      |   |   | (81,518  | )      |   |   | - |   |
| Cash paid for settlement of interest rate contracts                                                                             |   |   | -        |   |   |   | -        |   |   |   | (2,498 | ) |
| Proceeds from issuance of common stock                                                                                          |   |   | 132,488  |   |   |   | 57,102   |   |   |   | 3,882 |   |
| Repurchase of stock                                                                                                             |   |   | (5,423   | )      |   |   | -        |   |   |   | - |   |
| Payment of deferred financing costs                                                                                             |   |   | (1,887   | )      |   |   | (2,779   | )      |   |   | (878 | ) |
| Stock issuance cost                                                                                                             |   |   | (4,266   | )      |   |   | (2,161   | )      |   |   | - |   |
| Cash dividends paid to stockholders                                                                                             |   |   | (94,010  | )      |   |   | (89,611  | )      |   |   | (88,599 | ) |
| Net cash (used in) financing activities                                                                                         |   |   | (47,249  | )      |   |   | (133,783 | )      |   |   | (989 | ) |
|                                                                                                                            |   |   |     |   |   |   |     |   |   |   |   |   |
| Net increase (decrease) in cash and cash equivalents                                                                            |   |   | 40,758   |   |   |   | 4,042    |   |   |   | 1,313 |   |
| Cash and cash equivalents through acquisition                                                                                   |   |   | 1,857    |   |   |   | -        |   |   |   | - |   |
| Cash and cash equivalents at beginning of the period                                                                            |   |   | 5,355    |   |   |   | 1,313    |   |   |   | - |   |
| Cash and cash equivalents at end of the period                                                                                  |   | $      | 47,970   |   |   | $      | 5,355    |   |   | $ | 1,313 |   |

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|                                                                                                                                               |   | 2009   |     |   | 2008   |   |    | 2007   |   |
|----------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|----------|--------|--------|--------|---------|--------|--------|
|                                                                                                                                               |   |   |     |   |   |   |    |   |   |
| SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:                                                                                                  |   |   |     |   |   |   |    |   |   |
| Cash paid for interest (net of capitalized interest of $1.4 million, 2.9 million and $3.2 million  in 2009, 2008 and 2007, respectively) |   | $      | 71,202   |   |   | $      | 65,413  |   |   | $ | 66,386 |   |
| SUPPLEMENTAL SCHEDULE OF NON-CASH INVESTING AND FINANCING ACTIVITIES:                                                                              |   |   |     |   |   |   |    |   |   |   |   |   |
| Change in unrealized holding gain (loss) on securities                                                                                             |   | $      | 11,030   |   |   | $      | (36,562 | )      |   | $ | (1,386 | ) |
| Change in fair value of hedges                                                                                                                     |   | $      | -        |   |   | $      | -       |   |   | $ | 75 |   |
|                                                                                                                                               |   |   |     |   |   |   |    |   |   |   |   |   |
|                                                                                                                                               |   |   |     |   |   |   |    |   |   |   |   |   |
| The Company acquired upon acquisition of certain rental properties:                                                                                |   |   |     |   |   |   |    |   |   |   |   |   |
| Fair value of rental property                                                                                                                      |   | $      | 103,650  |   |   | $      | -       |   |   | $ | 69,069 |   |
| Settlement and aqusition costs                                                                                                                     |   |   | 304      |   |   |   | -       |   |   |   | - |   |
| Assumption of mortgage notes payable                                                                                                               |   |   | -        |   |   |   | -       |   |   |   | (27,740 | ) |
| Fair value adjustment of mortgage notes payable                                                                                                    |   |   | -        |   |   |   | -       |   |   |   | (1,974 | ) |
| Cash paid for rental property                                                                                                                      |   | $      | 103,954  |   |   | $      | -       |   |   | $ | 39,355 |   |
| The Company issued senior unsecured notes:                                                                                                         |   |   |     |   |   |   |    |   |   |   |   |   |
| Face value of notes                                                                                                                                |   | $      | 250,000  |   |   | $      | -       |   |   | $ | 150,000 |   |
| Discount                                                                                                                                           |   |   | (2,160   | )      |   |   | -       |   |   | $ | (151 | ) |
| Cash received                                                                                                                                      |   | $      | 247,840  |   |   | $      | -       |   |   | $ | 149,849 |   |
| Net cash paid for the acquisition of DIM is as follows:                                                                                            |   |   |     |   |   |   |    |   |   |   |   |   |
| Income producing properties                                                                                                                        |   | $      | 387,325  |   |   | $      | -       |   |   | $ | - |   |
| Intangible assets                                                                                                                                  |   |   | 42,267   |   |   |   | -       |   |   |   | - |   |
| Other assets                                                                                                                                       |   |   | 4,859    |   |   |   | -       |   |   |   | - |   |
| Mortgage notes payable                                                                                                                             |   |   | (230,969 | )      |   |   | -       |   |   |   | - |   |
| Secured revolving credit facility                                                                                                                  |   |   | (1,270   | )      |   |   | -       |   |   |   | - |   |
| Below market leases                                                                                                                                |   |   | (31,584  | )      |   |   | -       |   |   |   | - |   |
| Deferred tax liability                                                                                                                             |   |   | (53,530  | )      |   |   | -       |   |   |   | - |   |
| Other liabilities                                                                                                                                  |   |   | (4,097   | )      |   |   | -       |   |   |   | - |   |
| Net noncash assets acquired                                                                                                                        |   |   | 113,001  |   |   |   | -       |   |   |   | - |   |
| Previous equity interest                                                                                                                           |   |   | (36,124  | )      |   |   | -       |   |   |   | - |   |
| Issuance Equity One common stock (866,373 shares)                                                                                                  |   |   | (12,234  | )      |   |   | -       |   |   |   | - |   |
| Contingent consideration                                                                                                                           |   |   | (323     | )      |   |   | -       |   |   |   | - |   |
| Noncontrolling interest in DIM                                                                                                                     |   |   | (25,795  | )      |   |   | -       |   |   |   | - |   |
| Gain on acquisition of DIM Vastgoed                                                                                                                |   |   | (39,560  | )      |   |   | -       |   |   |   | - |   |
| Cash acquired                                                                                                                                      |   |   | 1,857    |   |   |   | -       |   |   |   | - |   |
| Net cash paid for acquisition                                                                                                                      |   | $      | 822      |   |   | $      | -       |   |   | $ | - |   |

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| 1. | Organization and Basis of Presentation |
|----|----------------------------------------|

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| 2. | Summary of Significant Accounting Policies |
|----|--------------------------------------------|

| Buildings                       |   | 30-40 years                                          |
|---------------------------------|--------|------------------------------------------------------|
| Buildings and Land Improvements |   | 5-40 years                                           |
| Tenant improvements             |   | Lesser of minimum lease term or economic useful life |
| Furniture and Equipment         |   | 5-7 years                                            |

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|   | · | historical project performance, including current occupancy, projected capitalization rates and net operating income; |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------|

|   | · | competitors’ presence and their actions; |
|--------|--------|------------------------------------------------|

|   | · | properly specific attributes such as location desirability, anchor tenants and demographics; |
|--------|--------|----------------------------------------------------------------------------------------------|

|   | · | current local market economic and demographic conditions; and |
|--------|--------|---------------------------------------------------------------|

|   | · | future expected capital expenditures and the timing before net operating income is stabilized. |
|--------|--------|------------------------------------------------------------------------------------------------|

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|                                  |   |           |   |   |   |   |   |   |   |
|---------------------------------------|--------|----------------|--------|--------|--------|--------|--------|--------|--------|
|                                  |   |           |   |   |   |   |   |   |   |
|                                  |   | 2009           |   |   | 2008   |   |   | 2007   |   |
|                                  |   | (In thousands) |   |
|                                  |   |           |   |   |   |   |   |   |   |
| Unvested restricted stock             |   | $              | 5,108  |   |   | $      | 4,424  |   |   | $ | 5,239 |   |
| Unvested stock options                |   |           | 2,790  |   |   |   | 1,989  |   |   |   | 1,799 |   |
| Employee stock purchase plan discount |   |           | 13     |   |   |   | 15     |   |   |   | 12 |   |
| Total cost                            |   |           | 7,911  |   |   |   | 6,428  |   |   |   | 7,050 |   |
| Less amount capitalized               |   |           | (152   | )      |   |   | (323   | )      |   |   | (494 | ) |
| Net share-based compensation expense  |   | $              | 7,759  |   |   | $      | 6,105  |   |   | $ | 6,556 |   |
|                                  |   |           |   |   |   |   |   |   |   |   |   |   |

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| 3. | Properties |
|----|------------|

|                               |   |         |      |   |   |   |
|------------------------------------|--------|--------------|-----------|--------|--------|--------|
|                               |   | December 31, |      |
|                               |   | 2009         |      |   | 2008   |   |
|                               |   | (thousands)  |      |
|                               |   |         |      |   |   |   |
| Land and land improvements         |   | $            | 1,010,166 |   |   | $      | 816,886 |   |
| Building and building improvements |   |         | 1,351,318 |   |   |   | 1,037,976 |   |
| Tenant improvements                |   |         | 71,947    |   |   |   | 45,651 |   |
|                               |   |         | 2,433,431 |   |   |   | 1,900,513 |   |
| Less: accumulated depreciation     |   |         | (240,172  | )      |   |   | (196,151 | ) |
| Income-producing property, net     |   | $            | 2,193,259 |   |   | $      | 1,704,362 |   |
|                               |   |         |      |   |   |   |   |   |

| 4. | Significant Acquisitions and Dispositions |
|----|-------------------------------------------|

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| Acquisition Date Fair Value (1)                     |   |
|-----------------------------------------------------|--------|
|                                                |   | (In Thousands) |   |
| Previous equity interest                            |   | $ | 36,945 |   |
| Value of our common stock exchange (866,373 shares) |   |   | 12,234 |   |
| Contingent consideration                            |   |   | 323 |   |
| Total                                               |   | $ | 49,502 |   |
|                                                |   |   |   |   |
| (1) Excludes effect of 2010 closing.                |   |   |   |   |

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| Fair Values                               |   |
|-------------------------------------------|--------|
|                                      |   |   |   |
|                                      |   | (In thousands) |   |
| Income-producing properties               |   | $ | 387,325 |   |
| Cash and cash equivalents                 |   |   | 1,857 |   |
| Accounts and other receivables            |   |   | 1,809 |   |
| Intangible assets                         |   |   | 42,267 |   |
| Other assets                              |   |   | 3,050 |   |
| Total assets acquired                     |   | $ | 436,308 |   |
|                                      |   |   |   |   |
| Mortgage notes payable                    |   |   | 230,969 |   |
| Secured revolving credit facility         |   |   | 1,270 |   |
| Accounts payable and accrued expenses     |   |   | 1,081 |   |
| Tenant security deposits                  |   |   | 926 |   |
| Below-market leases                       |   |   | 31,584 |   |
| Deferred tax liability                    |   |   | 53,530 |   |
| Other liabilities                         |   |   | 2,090 |   |
| Total liabilities assumed                 |   | $ | 321,450 |   |
|                                      |   |   |   |   |
| Net assets acquired                       |   | $ | 114,858 |   |
|                                      |   |   |   |   |
| Noncontrolling interest in DIM at closing |   | $ | 25,795 |   |
|                                      |   |   |   |   |

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|                                            |   |                                 |   |
|-------------------------------------------------|--------|--------------------------------------|--------|
| (In thousands)                                  |   |
|                                            |   | Period from January 14, 2009 through |   |
|                                            |   | December 31, 2009                    |   |
| Revenues                                        |   | $                                    | 40,831 |   |
| Property operating expenses                     |   |                                 | 10,852 |   |
| Rental property depreciation & amortization |   |                                 | 17,660 |   |
| General and administrative                      |   |                                 | 3,196  |   |
| Investment income                               |   |                                 | 6      |   |
| Interest expense                                |   |                                 | 19,599 |   |
| Amortization of deferred financing fees         |   |                                 | 41     |   |
| Other income                                    |   |                                 | -      |   |
| Income taxes benefits                           |   |                                 | 3,470  |   |
| Net loss                                        |   |                                 | 7,041  |   |
|                                            |   |                                 |   |   |
| Noncontrolling interest’s share           |   |                                 | 2,442  |   |
| Our share of the net loss                       |   | $                                    | 4,599  |   |
|                                            |   |                                 |   |   |

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|             |   |                                    |         |   |   |        |   |   |             |   |   |               |   |
|------------------|--------|-----------------------------------------|--------------|--------|--------|-------------|--------|--------|------------------|--------|--------|--------------------|--------|
|             |   |                                    |         |   |   |        |   |   |             |   |   |               |   |
|             |   |                                    |         |   |   |        |   |   |             |   |   |               |   |
| Date Sold        |   | Property Name                           | City         | State  |   | Square Feet |   |   | Gross SalesPrice |   |   | Gain (loss)on Sale |   |
|             |   |                                    |         |   |   |        |   |   |             |   |   |               |   |
| July 31, 2009    |   | Willowdaile - Harris Teeter outparcel   | Durham       | NC     |   |        | 48,000 |   |             | $      | 3,245  |               |   | $ | 1,862 |   |
| May 28, 2009     |   | Waterstone - Walgreens outparcel        | Homestead    | FL     |   |        | 13,831 |   |             |   | 2,500  |               |   |   | 1,598 |   |
| October 30, 2009 |   | CVS Plaza - CVS outparcel               | Miami        | FL     |   |        | 10,990 |   |             |   | 2,000  |               |   |   | 1,096 |   |
| June 30, 2009    |   | Waterstone - Bank of America outparcel  | Homestead    | FL     |   |        | 4,700  |   |             |   | 1,733  |               |   |   | 1,344 |   |
| July 11, 2009    |   | Milestone - Jack in the Box outparcel   | Greenville   | SC     |   |        | 3,000  |   |             |   | 1,519  |               |   |   | 475 |   |
| October 9, 2009  |   | Milestone - Bojangles outparcel         | Greenville   | SC     |   |        | 3,400  |   |             |   | 1,227  |               |   |   | 85 |   |
| June 5, 2009     |   | Bluebonnet - AutoZone outparcel         | Baton Rouge  | LA     |   |        | 7,000  |   |             |   | 978    |               |   |   | 674 |   |
| August 13, 2009  |   | Walmart-Mathews                         | Mathews      | LA     |   |        | 54,223 |   |             |   | 930    |               |   |   | (1,758 | ) |
| March 31, 2009   |   | Winchester Plaza - McDonald's outparcel | Huntsville   | AL     |   |        | 2,844  |   |             |   | 920    |               |   |   | 626 |   |
| March 31, 2009   |   | Waterstone - Pollo Tropical outparcel   | Homestead    | FL     |   |        | 3,000  |   |             |   | 788    |               |   |   | 552 |   |
| October 30, 2009 |   | Ft. Caroline - McDonalds outparcel      | Jacksonville | FL     |   |        | 2,730  |   |             |   | 650    |               |   |   | 573 |   |
| Total Sold       |   |                                    |         |   |   |        |   |   |             | $      | 16,490 |               |   | $ | 7,127 |   |
|             |   |                                    |         |   |   |        |   |   |             |   |   |               |   |   |   |   |
|             |   |                                    |         |   |   |        |   |   |             |   |   |               |   |   |   |   |

| 5. | Accounts and Other Receivables |
|----|--------------------------------|

|                                      |   |           |   |   |   |   |
|-------------------------------------------|--------|----------------|--------|--------|--------|--------|
|                                      |   | December 31,   |   |
|                                      |   | 2009           |   |   | 2008   |   |
|                                      |   | (in thousands) |   |
|                                      |   |           |   |   |   |   |
| Tenants                                   |   | $              | 13,132 |   |   | $      | 13,829 |   |
| Other                                     |   |           | 1,126  |   |   |   | 1,456 |   |
| Allowance for doubtful accounts           |   |           | (4,452 | )      |   |   | (3,076 | ) |
| Total accounts and other receivables, net |   | $              | 9,806  |   |   | $      | 12,209 |   |
|                                      |   |           |   |   |   |   |   |   |

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| 6. | Other Assets |
|----|--------------|

|                         |   |           |    |   |   |   |
|------------------------------|--------|----------------|---------|--------|--------|--------|
|                         |   | December 31,   |    |
|                         |   | 2009           |    |   | 2008   |   |
|                         |   | (In thousands) |    |
|                         |   |           |    |   |   |   |
| Deposits and escrow impounds |   | $              | 10,569  |   |   | $      | 7,056 |   |
| Deferred financing fees, net |   |           | 6,963   |   |   |   | 6,788 |   |
| Leasing commissions, net     |   |           | 19,619  |   |   |   | 12,046 |   |
| Lease intangible assets, net |   |           | 53,526  |   |   |   | 11,769 |   |
| Furniture and equipment, net |   |           | 1,689   |   |   |   | 2,423 |   |
| Prepaid and other assets     |   |           | 16,232  |   |   |   | 15,709 |   |
| Total other assets           |   | $              | 108,598 |   |   | $      | 55,791 |   |
|                         |   |           |    |   |   |   |   |   |

|                           |   |               |   |
|--------------------------------|--------|--------------------|--------|
|                           |   |  December 31, |   |
|                           |   | 2009               |   |   | 2008 |   |
|                           |   | (In thousands)     |   |
| Intangible Assets:             |   |               |   |   |   |   |
| Above market leases            |   | $                  | 6,566  |   |   | $ | 3,765 |   |
| In place lease interests       |   |               | 63,527 |   |   |   | 15,744 |   |
| Lease origination costs        |   |               | 4,122  |   |   |   | 3,816 |   |
| Lease incentive                |   |               | 963    |   |   |   | 135 |   |
| Total intangibles              |   |               | 75,178 |   |   |   | 23,460 |   |
|                           |   |               |   |   |   |   |   |   |
| Accumulated Amortization:      |   |               |   |   |   |   |   |   |
| Above market leases            |   |               | 2,911  |   |   |   | 1,751 |   |
| In place lease interests       |   |               | 16,246 |   |   |   | 7,796 |   |
| Lease origination costs        |   |               | 2,407  |   |   |   | 2,141 |   |
| Lease incentive                |   |               | 88     |   |   |   | 3 |   |
| Total accumulated amortization |   |               | 21,652 |   |   |   | 11,691 |   |
|                           |   |               |   |   |   |   |   |   |
| Intangible Assets, net         |   | $                  | 53,526 |   |   | $ | 11,769 |   |
|                           |   |               |   |   |   |   |   |   |

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| 7. | Borrowings |
|----|------------|

|                                                                    |   |           |    |   |   |   |
|-------------------------------------------------------------------------|--------|----------------|---------|--------|--------|--------|
|                                                                    |   | December 31,   |    |
|                                                                    |   | 2009           |    |   | 2008   |   |
| Mortgage Notes Payable                                                  |   | (In thousands) |    |
|                                                                    |   |           |    |   |   |   |
| Fixed rate mortgage loans                                               |   | $              | 551,647 |   |   | $      | 371,077 |   |
| Unamortized (unaccreted) net premium discount on mortgage notes payable |   |           | (22,754 | )      |   |   | 6,360 |   |
| Total                                                                   |   | $              | 528,893 |   |   | $      | 377,437 |   |
|                                                                    |   |           |    |   |   |   |   |   |

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|                                 |   |           |    |   |   |   |
|--------------------------------------|--------|----------------|---------|--------|--------|--------|
|                                 |   |           |    |   |   |   |
|                                 |   | December 31,   |    |
|                                 |   | 2009           |    |   | 2008   |   |
|                                 |   | (In thousands) |    |
| Unsecured Senior Notes Payable  |   |           |    |   |   |   |
| Fair value of interest rate swap     |   | $              | -       |   |   | $      | 949 |   |
| 3.875% Senior Notes, due 4/15/09     |   |           | -       |   |   |   | 176,185 |   |
| 7.84% Senior Notes, due 1/23/12      |   |           | 10,000  |   |   |   | 10,000 |   |
| 6.25% senior notes, due 12/15/14     |   |           | 250,000 |   |   |   | - |   |
| 5.375% Senior Notes, due 10/15/15    |   |           | 107,505 |   |   |   | 117,000 |   |
| 6.0% Senior Notes, due 9/15/16       |   |           | 105,230 |   |   |   | 106,500 |   |
| 6.25% Senior Notes, due 1/15/17      |   |           | 101,403 |   |   |   | 115,000 |   |
| 6.0% Senior Notes, due 9/15/17       |   |           | 116,998 |   |   |   | 132,279 |   |
|                                 |   |           |    |   |   |   |   |   |
| Total                                |   | $              | 691,136 |   |   | $      | 657,913 |   |
|                                 |   |           |    |   |   |   |   |   |

|  Unamortized/unaccreted premium / (discount) |   | December 31,   |    |
|---------------------------------------------------|--------|----------------|---------|
|                                              |   | 2009           |    |   | 2008 |   |
|                                              |   | (In thousands) |    |
|                                              |   |           |    |   |   |   |
| Mortgage notes payable                            |   | $              | (22,755 | ) |   | $ | 6,360 |   |
| Unsecured senior notes payable                    |   |           | (3,137  | ) |   |   | (1,135 | ) |
|                                              |   | $              | (25,892 | ) |   | $ | 5,225 |   |
|                                              |   |           |    |   |   |   |   |   |

----

Table of Contents

|                                  |   |           |   |   |   |   |
|---------------------------------------|--------|----------------|--------|--------|--------|--------|
|                                  |   | December 31,   |   |
|                                  |   | 2009           |   |   | 2008   |   |
| Unsecured Revolving Credit Facilities |   | (In thousands) |   |
|                                  |   |           |   |   |   |   |
| Wells Fargo                           |   | $              | -      |   |   | $      | 35,500 |   |
| City National Bank                    |   |           | -      |   |   |   | - |   |
|                                  |   |           |   |   |   |   |   |   |
| Total                                 |   | $              | -      |   |   | $      | 35,500 |   |
|                                  |   |           |   |   |   |   |   |   |

|                                                  |   |           |      |
|-------------------------------------------------------|--------|----------------|-----------|
| Principal Maturities for the Year Ending December 31, |   | Amount         |      |
|                                                  |   | (In thousands) |      |
| 2010                                                  |   | $              | 71,104    |   |
| 2011                                                  |   |           | 81,008    |   |
| 2012                                                  |   |           | 66,012    |   |
| 2013                                                  |   |           | 65,148    |   |
| 2014                                                  |   |           | 284,653   |   |
| Thereafter                                            |   |           | 674,858   |   |
| Total                                                 |   | $              | 1,242,783 |   |
|                                                  |   |           |      |   |

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Table of Contents

| 8. | Securities |
|----|------------|

|              |   |              |   |   |              |   |   |            |   |   |      |   |   |         |    |   |            |   |
|-------------------|--------|-------------------|--------|--------|-------------------|--------|--------|-----------------|--------|--------|-----------|--------|--------|--------------|---------|--------|-----------------|--------|
|              |   |              |   |   |              |   |   |            |   |   |      |   |   |         |    |   |            |   |
|              |   | December 31, 2009 |   |   | December 31, 2008 |   |
|              |   | (In thousands)    |   |   | (In thousands)    |   |
| Investment        |   | FairValue         |   |   | RealizedLoss      |   |   | Unrealized Gain |   |   | FairValue |   |   | RealizedLoss |    |   | Unrealized Loss |   |
| Equity securities |   | $                 | 820    |   |              | $      | -      |            |   | $      | 345       |   |   | $            | 32,210  |   |            | $      | (33,171 | ) |   | $ | (16,446 | ) |
| Debt securities   |   |              | -      |   |              |   | -      |            |   |   | -         |   |   |         | 128,375 |   |            |   | - |   |   |   | (4,838 | ) |
|              |   | $                 | 820    |   |              | $      | -      |            |   | $      | 345       |   |   | $            | 160,585 |   |            | $      | (33,171 | ) |   | $ | (21,284 | ) |
|              |   |              |   |   |              |   |   |            |   |   |      |   |   |         |    |   |            |   |   |   |   |   |   |   |

| 9. | Impairment Loss |
|----|-----------------|

----

Table of Contents

| 10. | Consolidating Financial Information |
|-----|-------------------------------------|

|                                                       |   |             |      |   |                          |   |    |                      |   |   |                |   |   |         |     |
|------------------------------------------------------------|--------|------------------|-----------|--------|-------------------------------|--------|---------|---------------------------|--------|--------|---------------------|--------|--------|--------------|----------|
| Condensed Balance SheetAs of December 31, 2009             |   | Equity One, Inc. |      |   | CombinedGuarantorSubsidiaries |   |    | Non-GuarantorSubsidiaries |   |   | Eliminating Entries |   |   | Consolidated |     |
| ASSETS                                                     |   | (In thousands)   |      |
| Properties, net                                            |   | $                | 1,007,214 |   |                          | $      | 272,205 |                      |   | $      | 982,706             |   |   |         | -        |   |   | $ | 2,262,125 |   |
| Investment in affiliates                                   |   |             | 628,310   |   |                          |   | -       |                      |   |   | -                   |   |   |         | (628,310 | ) |   |   | - |   |
| Other assets                                               |   |             | 185,166   |   |                          |   | 18,903  |                      |   |   | 133,343             |   |   |         | (147,217 | ) |   |   | 190,195 |   |
| Total Assets                                               |   | $                | 1,820,690 |   |                          | $      | 291,108 |                      |   | $      | 1,116,049           |   |   | $            | (775,527 | ) |   | $ | 2,452,320 |   |
| LIABILITIES                                                |   |             |      |   |                          |   |    |                      |   |   |                |   |   |         |     |   |   |   |   |   |
| Mortgage notes payable                                     |   | $                | 55,060    |   |                          | $      | 44,054  |                      |   | $      | 597,461             |   |   | $            | (144,928 | ) |   | $ | 551,647 |   |
| Unsecured revolving credit facilities                      |   |             | -         |   |                          |   | -       |                      |   |   | 820                 |   |   |         | (820     | ) |   |   | - |   |
| Unsecured senior notes payable                             |   |             | 691,136   |   |                          |   | -       |                      |   |   | -                   |   |   |         | -        |   |   |   | 691,136 |   |
| Unamortized/unaccreted (discount)/premium on notes payable |   |             | (2,638    | )      |                          |   | 13      |                      |   |   | (23,267             | )      |   |         | -        |   |   |   | (25,892 | ) |
| Other liabilities                                          |   |             | 27,983    |   |                          |   | 6,488   |                      |   |   | 113,725             |   |   |         | (1,469   | ) |   |   | 146,727 |   |
| Total Liabilities                                          |   |             | 771,541   |   |                          |   | 50,555  |                      |   |   | 688,739             |   |   |         | (147,217 | ) |   |   | 1,363,618 |   |
| Redeemable noncontrolling interest                         |   |             | -         |   |                          |   | -       |                      |   |   | -                   |   |   |         | 989      |   |   |   | 989 |   |
| STOCKHOLDERS’ EQUITY                                 |   |             | 1,049,149 |   |                          |   | 240,553 |                      |   |   | 427,310             |   |   |         | (629,299 | ) |   |   | 1,087,713 |   |
| Total Liabilities and Stockholders' Equity                 |   | $                | 1,820,690 |   |                          | $      | 291,108 |                      |   | $      | 1,116,049           |   |   | $            | (775,527 | ) |   | $ | 2,452,320 |   |
|                                                       |   |             |      |   |                          |   |    |                      |   |   |                |   |   |         |     |   |   |   |   |   |

----

Table of Contents

|                                                       |   |             |      |   |                          |   |    |                      |   |   |                |   |   |         |     |
|------------------------------------------------------------|--------|------------------|-----------|--------|-------------------------------|--------|---------|---------------------------|--------|--------|---------------------|--------|--------|--------------|----------|
| Condensed Balance SheetAs of December 31, 2008             |   | Equity One, Inc. |      |   | CombinedGuarantorSubsidiaries |   |    | Non-GuarantorSubsidiaries |   |   | Eliminating Entries |   |   | Consolidated |     |
| ASSETS                                                     |   | (In thousands)   |      |
| Properties, net                                            |   | $                | 1,019,154 |   |                          | $      | 274,587 |                      |   | $      | 484,992             |   |   | $            | -        |   |   | $ | 1,778,733 |   |
| Investment in affiliates                                   |   |             | 628,309   |   |                          |   | -       |                      |   |   | -                   |   |   |         | (628,309 | ) |   |   | - |   |
| Other assets                                               |   |             | 184,561   |   |                          |   | 17,408  |                      |   |   | 55,561              |   |   |         | -        |   |   |   | 257,530 |   |
| Total Assets                                               |   | $                | 1,832,024 |   |                          | $      | 291,995 |                      |   | $      | 540,553             |   |   | $            | (628,309 | ) |   | $ | 2,036,263 |   |
| LIABILITIES                                                |   |             |      |   |                          |   |    |                      |   |   |                |   |   |         |     |   |   |   |   |   |
| Mortgage notes payable                                     |   | $                | 57,491    |   |                          | $      | 49,951  |                      |   | $      | 263,635             |   |   | $            | -        |   |   | $ | 371,077 |   |
| Unsecured revolving credit facilities                      |   |             | 35,500    |   |                          |   | -       |                      |   |   | -                   |   |   |         | -        |   |   |   | 35,500 |   |
| Unsecured senior notes payable                             |   |             | 657,913   |   |                          |   | -       |                      |   |   | -                   |   |   |         | -        |   |   |   | 657,913 |   |
| Unamortized/unaccreted (discount)/premium on notes payable |   |             | (316      | )      |                          |   | 37      |                      |   |   | 5,504               |   |   |         | -        |   |   |   | 5,225 |   |
| Other liabilities                                          |   |             | 37,219    |   |                          |   | 5,067   |                      |   |   | 13,775              |   |   |         | -        |   |   |   | 56,061 |   |
| Total Liabilities                                          |   |             | 787,807   |   |                          |   | 55,055  |                      |   |   | 282,914             |   |   |         | -        |   |   |   | 1,125,776 |   |
| Redeemable noncontrolling interest                         |   |             | -         |   |                          |   | -       |                      |   |   | -                   |   |   |         | 989      |   |   |   | 989 |   |
| STOCKHOLDERS’ EQUITY                                 |   |             | 1,044,217 |   |                          |   | 236,940 |                      |   |   | 257,639             |   |   |         | (629,298 | ) |   |   | 909,498 |   |
| Total Liabilities and Stockholders' Equity                 |   | $                | 1,832,024 |   |                          | $      | 291,995 |                      |   | $      | 540,553             |   |   | $            | (628,309 | ) |   | $ | 2,036,263 |   |
|                                                       |   |             |      |   |                          |   |    |                      |   |   |                |   |   |         |     |   |   |   |   |   |

----

Table of Contents

| Condensed Statement of Operationsfor the year endedDecember 31, 2009     |   | Equity OneInc. |    |   | CombinedGuarantorSubsidiaries |   |   | Non-GuarantorSubsidiaries |   |   | EliminatingEntries |   |   | Consolidated |    |
|--------------------------------------------------------------------------|--------|----------------|---------|--------|-------------------------------|--------|--------|---------------------------|--------|--------|--------------------|--------|--------|--------------|---------|
|                                                                     |   | (In thousands) |    |
| REVENUE:                                                                 |   |           |    |   |                          |   |   |                      |   |   |               |   |   |         |    |
| Minimum rent                                                             |   | $              | 101,066 |   |                          | $      | 27,888 |                      |   | $      | 81,114             |   |   | $            | -       |   |   | $ | 210,068 |   |
| Expense recoveries                                                       |   |           | 26,887  |   |                          |   | 8,702  |                      |   |   | 22,379             |   |   |         | -       |   |   |   | 57,968 |   |
| Percentage rent                                                          |   |           | 659     |   |                          |   | 202    |                      |   |   | 818                |   |   |         | -       |   |   |   | 1,679 |   |
| Management and leasing services                                          |   |           | 194     |   |                          |   | 1,481  |                      |   |   | -                  |   |   |         | -       |   |   |   | 1,675 |   |
| Total revenue                                                            |   |           | 128,806 |   |                          |   | 38,273 |                      |   |   | 104,311            |   |   |         | -       |   |   |   | 271,390 |   |
| EQUITY IN SUBSIDIARIES' EARNINGS                                         |   |           | 50,846  |   |                          |   | -      |                      |   |   | -                  |   |   |         | (50,846 | ) |   |   | - |   |
| COSTS AND EXPENSES:                                                      |   |           |    |   |                          |   |   |                      |   |   |               |   |   |         |    |   |   |   |   |   |
| Property operating                                                       |   |           | 37,324  |   |                          |   | 8,477  |                      |   |   | 32,277             |   |   |         | -       |   |   |   | 78,078 |   |
| Rental property depreciation and amortization                            |   |           | 25,342  |   |                          |   | 6,354  |                      |   |   | 30,435             |   |   |         | -       |   |   |   | 62,131 |   |
| General and administrative                                               |   |           | 30,996  |   |                          |   | 3,536  |                      |   |   | 4,303              |   |   |         | -       |   |   |   | 38,835 |   |
| Total costs and expenses                                                 |   |           | 93,662  |   |                          |   | 18,367 |                      |   |   | 67,015             |   |   |         | -       |   |   |   | 179,044 |   |
| INCOME BEFORE OTHER INCOME AND EXPENSE AND DISCONTINUED OPERATIONS:      |   |           | 85,990  |   |                          |   | 19,906 |                      |   |   | 37,296             |   |   |         | (50,846 | ) |   |   | 92,346 |   |
| OTHER INCOME AND EXPENSES:                                               |   |           |    |   |                          |   |   |                      |   |   |               |   |   |         |    |   |   |   |   |   |
| Investment income                                                        |   |           | 12,377  |   |                          |   | 6      |                      |   |   | 19                 |   |   |         | (2,247  | ) |   |   | 10,155 |   |
| Equity in income in unconsolidated joint ventures                        |   |           | -       |   |                          |   | (88    | )                         |   |   | -                  |   |   |         |    |   |   |   | (88 | ) |
| Other income                                                             |   |           | 1,503   |   |                          |   | -      |                      |   |   | -                  |   |   |         |    |   |   |   | 1,503 |   |
| Interest expense                                                         |   |           | (34,407 | )      |                          |   | (3,216 | )                         |   |   | (38,074            | )      |   |         | 2,247   |   |   |   | (73,450 | ) |
| Amortization of deferred financing fees                                  |   |           | (1,234  | )      |                          |   | (75    | )                         |   |   | (211               | )      |   |         | -       |   |   |   | (1,520 | ) |
| Gain on sale of real estate                                              |   |           | -       |   |                          |   | -      |                      |   |   | 27,501             |   |   |         | -       |   |   |   | 27,501 |   |
| Gain on extinquishment of debt                                           |   |           | 12,286  |   |                          |   | -      |                      |   |   | 59                 |   |   |         | -       |   |   |   | 12,345 |   |
| Impairment loss                                                          |   |           | (369    | )      |                          |   | -      |                      |   |   | -                  |   |   |         | -       |   |   |   | (369 | ) |
| INCOME FROM CONTINUING OPERATIONS BEFORE TAX AND DISCONTINUED OPERATIONS |   |           | 76,146  |   |                          |   | 16,533 |                      |   |   | 26,590             |   |   |         | (50,846 | ) |   |   | 68,423 |   |
| Income tax benefit of taxable REIT subsidiaries                          |   |           | -       |   |                          |   | 1,547  |                      |   |   | 3,470              |   |   |         | -       |   |   |   | 5,017 |   |
| INCOME FROM CONTINUING OPERATIONS                                        |   |           | 76,146  |   |                          |   | 18,080 |                      |   |   | 30,060             |   |   |         | (50,846 | ) |   |   | 73,440 |   |
| DISCONTINUED OPERATIONS:                                                 |   |           |    |   |                          |   |   |                      |   |   |               |   |   |         |    |   |   |   |   |   |
| Operations of income-producing properties sold or held for sale          |   |           | 596     |   |                          |   | 192    |                      |   |   | 20                 |   |   |         | -       |   |   |   | 808 |   |
| Gain on disposal of income producing property                            |   |           | 4,633   |   |                          |   | 1,869  |                      |   |   | 625                |   |   |         | -       |   |   |   | 7,127 |   |
| Income from discontinued operations                                      |   |           | 5,229   |   |                          |   | 2,061  |                      |   |   | 645                |   |   |         | -       |   |   |   | 7,935 |   |
| NET INCOME                                                               |   |           | 81,375  |   |                          |   | 20,141 |                      |   |   | 30,705             |   |   |         | (50,846 | ) |   |   | 81,375 |   |
|                                                                     |   |           |    |   |                          |   |   |                      |   |   |               |   |   |         |    |   |   |   |   |   |
| Net Income attributable to noncontrolling interest                       |   |           | 2,442   |   |                          |   | -      |                      |   |   | -                  |   |   |         | -       |   |   |   | 2,442 |   |
| NET INCOME ATTRIBUTABLE TO EQUITY ONE                                    |   | $              | 83,817  |   |                          | $      | 20,141 |                      |   | $      | 30,705             |   |   | $            | (50,846 | ) |   | $ | 83,817 |   |

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Table of Contents

| Condensed Statement of Operationsfor the year endedDecember 31, 2008     |   | Equity OneInc. |    |   | CombinedGuarantorSubsidiaries |   |   | Non-GuarantorSubsidiaries |   |   | EliminatingEntries |   |   | Consolidated |    |
|--------------------------------------------------------------------------|--------|----------------|---------|--------|-------------------------------|--------|--------|---------------------------|--------|--------|--------------------|--------|--------|--------------|---------|
|                                                                     |   | (In thousands) |    |
| REVENUE:                                                                 |   |           |    |   |                          |   |   |                      |   |   |               |   |   |         |    |
| Minimum rent                                                             |   | $              | 101,978 |   |                          | $      | 31,516 |                      |   | $      | 48,504             |   |   | $            | -       |   |   | $ | 181,998 |   |
| Expense recoveries                                                       |   |           | 26,210  |   |                          |   | 9,483  |                      |   |   | 16,068             |   |   |         | -       |   |   |   | 51,761 |   |
| Percentage rent                                                          |   |           | 779     |   |                          |   | 205    |                      |   |   | 917                |   |   |         | -       |   |   |   | 1,901 |   |
| Management and leasing services                                          |   |           | -       |   |                          |   | 1,789  |                      |   |   | -                  |   |   |         | -       |   |   |   | 1,789 |   |
| Total revenue                                                            |   |           | 128,967 |   |                          |   | 42,993 |                      |   |   | 65,489             |   |   |         | -       |   |   |   | 237,449 |   |
| EQUITY IN SUBSIDIARIES' EARNINGS                                         |   |           | 23,931  |   |                          |   | -      |                      |   |   | -                  |   |   |         | (23,931 | ) |   |   | - |   |
| COSTS AND EXPENSES:                                                      |   |           |    |   |                          |   |   |                      |   |   |               |   |   |         |    |   |   |   |   |   |
| Property operating                                                       |   |           | 33,041  |   |                          |   | 8,060  |                      |   |   | 23,097             |   |   |         | -       |   |   |   | 64,198 |   |
| Rental property depreciation and amortization                            |   |           | 25,774  |   |                          |   | 6,997  |                      |   |   | 12,667             |   |   |         | -       |   |   |   | 45,438 |   |
| General and administrative                                               |   |           | 26,610  |   |                          |   | 4,891  |                      |   |   | 456                |   |   |         | -       |   |   |   | 31,957 |   |
| Total costs and expenses                                                 |   |           | 85,425  |   |                          |   | 19,948 |                      |   |   | 36,220             |   |   |         | -       |   |   |   | 141,593 |   |
| INCOME BEFORE OTHER INCOME AND EXPENSE AND DISCONTINUED OPERATIONS:      |   |           | 67,473  |   |                          |   | 23,045 |                      |   |   | 29,269             |   |   |         | (23,931 | ) |   |   | 95,856 |   |
| OTHER INCOME AND EXPENSES:                                               |   |           |    |   |                          |   |   |                      |   |   |               |   |   |         |    |   |   |   |   |   |
| Investment income                                                        |   |           | 4,216   |   |                          |   | 30     |                      |   |   | 5,974              |   |   |         | -       |   |   |   | 10,220 |   |
| Equity in income in unconsolidated joint ventures                        |   |           | -       |   |                          |   | 108    |                      |   |   | -                  |   |   |         | -       |   |   |   | 108 |   |
| Other income                                                             |   |           | 752     |   |                          |   | -      |                      |   |   | 215                |   |   |         | -       |   |   |   | 967 |   |
| Interest expense                                                         |   |           | (41,393 | )      |                          |   | (4,753 | )                         |   |   | (14,705            | )      |   |         | -       |   |   |   | (60,851 | ) |
| Amortization of deferred financing fees                                  |   |           | (1,430  | )      |                          |   | (75    | )                         |   |   | (124               | )      |   |         | -       |   |   |   | (1,629 | ) |
| Gain on sale of real estate                                              |   |           | 204     |   |                          |   | 13,916 |                      |   |   | 7,422              |   |   |         | -       |   |   |   | 21,542 |   |
| Gain on extinquishment of debt                                           |   |           | 6,473   |   |                          |   | -      |                      |   |   | -                  |   |   |         | -       |   |   |   | 6,473 |   |
| Impairment loss                                                          |   |           | (2,249  | )      |                          |   | (71    | )                         |   |   | (35,177            | )      |   |         | -       |   |   |   | (37,497 | ) |
| INCOME FROM CONTINUING OPERATIONS BEFORE TAX AND DISCONTINUED OPERATIONS |   |           | 34,046  |   |                          |   | 32,200 |                      |   |   | (7,126             | )      |   |         | (23,931 | ) |   |   | 35,189 |   |
| Income tax benefit of taxable REIT subsidiaries                          |   |           | -       |   |                          |   | (1,015 | )                         |   |   | -                  |   |   |         | -       |   |   |   | (1,015 | ) |
| INCOME FROM CONTINUING OPERATIONS                                        |   |           | 34,046  |   |                          |   | 31,185 |                      |   |   | (7,126             | )      |   |         | (23,931 | ) |   |   | 34,174 |   |
| DISCONTINUED OPERATIONS:                                                 |   |           |    |   |                          |   |   |                      |   |   |               |   |   |         |    |   |   |   |   |   |
| Operations of income-producing properties sold or held for sale          |   |           | 962     |   |                          |   | 324    |                      |   |   | 105                |   |   |         | -       |   |   |   | 1,391 |   |
| Loss on disposal of income producing property                            |   |           | -       |   |                          |   | -      |                      |   |   | (557               | )      |   |         | -       |   |   |   | (557 | ) |
| Income from discontinued operations                                      |   |           | 962     |   |                          |   | 324    |                      |   |   | (452               | )      |   |         | -       |   |   |   | 834 |   |
| NET INCOME                                                               |   | $              | 35,008  |   |                          | $      | 31,509 |                      |   | $      | (7,578             | )      |   | $            | (23,931 | ) |   | $ | 35,008 |   |
| Net Income attributable to noncontrolling interest                       |   |           | -       |   |                          |   | -      |                      |   |   | -                  |   |   |         | -       |   |   |   | - |   |
| NET INCOME ATTRIBUTABLE TO EQUITY ONE                                    |   | $              | 35,008  |   |                          | $      | 31,509 |                      |   | $      | (7,578             | )      |   | $            | (23,931 | ) |   | $ | 35,008 |   |

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Table of Contents

| Condensed Statement of Operationsfor the year endedDecember 31, 2007     |   | Equity OneInc. |    |   | CombinedGuarantorSubsidiaries |   |   | Non-GuarantorSubsidiaries |   |   | EliminatingEntries |   |   | Consolidated |    |
|--------------------------------------------------------------------------|--------|----------------|---------|--------|-------------------------------|--------|--------|---------------------------|--------|--------|--------------------|--------|--------|--------------|---------|
|                                                                     |   | (In thousands) |    |
| REVENUE:                                                                 |   |           |    |   |                          |   |   |                      |   |   |               |   |   |         |    |
| Minimum rent                                                             |   | $              | 101,610 |   |                          | $      | 34,118 |                      |   | $      | 52,317             |   |   | $            | -       |   |   | $ | 188,045 |   |
| Expense recoveries                                                       |   |           | 26,606  |   |                          |   | 10,106 |                      |   |   | 16,441             |   |   |         | -       |   |   |   | 53,153 |   |
| Percentage rent                                                          |   |           | 746     |   |                          |   | 324    |                      |   |   | 1,031              |   |   |         | -       |   |   |   | 2,101 |   |
| Management and leasing services                                          |   |           | -       |   |                          |   | 1,163  |                      |   |   | -                  |   |   |         | -       |   |   |   | 1,163 |   |
| Total revenue                                                            |   |           | 128,962 |   |                          |   | 45,711 |                      |   |   | 69,789             |   |   |         | -       |   |   |   | 244,462 |   |
| EQUITY IN SUBSIDIARIES' EARNINGS                                         |   |           | 56,825  |   |                          |   | -      |                      |   |   | -                  |   |   |         | (56,825 | ) |   |   | - |   |
| COSTS AND EXPENSES:                                                      |   |           |    |   |                          |   |   |                      |   |   |               |   |   |         |    |   |   |   |   |   |
| Property operating                                                       |   |           | 31,016  |   |                          |   | 8,880  |                      |   |   | 22,941             |   |   |         | -       |   |   |   | 62,837 |   |
| Rental property depreciation and amortization                            |   |           | 24,585  |   |                          |   | 7,595  |                      |   |   | 13,721             |   |   |         | -       |   |   |   | 45,901 |   |
| General and administrative                                               |   |           | 22,732  |   |                          |   | 5,075  |                      |   |   | 118                |   |   |         | -       |   |   |   | 27,925 |   |
| Total costs and expenses                                                 |   |           | 78,333  |   |                          |   | 21,550 |                      |   |   | 36,780             |   |   |         | -       |   |   |   | 136,663 |   |
| INCOME BEFORE OTHER INCOME AND EXPENSE AND DISCONTINUED OPERATIONS:      |   |           | 107,454 |   |                          |   | 24,161 |                      |   |   | 33,009             |   |   |         | (56,825 | ) |   |   | 107,799 |   |
| OTHER INCOME AND EXPENSES:                                               |   |           |    |   |                          |   |   |                      |   |   |               |   |   |         |    |   |   |   |   |   |
| Investment income                                                        |   |           | 1,157   |   |                          |   | 16     |                      |   |   | 6,035              |   |   |         |    |   |   |   | 7,208 |   |
| Other income                                                             |   |           | 310     |   |                          |   | -      |                      |   |   | -                  |   |   |         |    |   |   |   | 310 |   |
| Interest expense                                                         |   |           | (46,531 | )      |                          |   | (5,832 | )                         |   |   | (14,157            | )      |   |         |    |   |   |   | (66,520 | ) |
| Amortization of deferred financing fees                                  |   |           | (1,493  | )      |                          |   | (75    | )                         |   |   | (110               | )      |   |         |    |   |   |   | (1,678 | ) |
| Loss on sale of fixed assets                                             |   |           | (283    | )      |                          |   | -      |                      |   |   | -                  |   |   |         |    |   |   |   | (283 | ) |
| Gain on sale of real estate                                              |   |           | 1,028   |   |                          |   | -      |                      |   |   | 990                |   |   |         |    |   |   |   | 2,018 |   |
| Impairment loss                                                          |   |           | -       |   |                          |   | -      |                      |   |   | (430               | )      |   |         |    |   |   |   | (430 | ) |
| INCOME FROM CONTINUING OPERATIONS BEFORE TAX AND DISCONTINUED OPERATIONS |   |           | 61,642  |   |                          |   | 18,270 |                      |   |   | 25,337             |   |   |         | (56,825 | ) |   |   | 48,424 |   |
| Income tax benefit of taxable REIT subsidiaries                          |   |           | -       |   |                          |   | 272    |                      |   |   | -                  |   |   |         |    |   |   |   | 272 |   |
| INCOME FROM CONTINUING OPERATIONS                                        |   |           | 61,642  |   |                          |   | 18,542 |                      |   |   | 25,337             |   |   |         | (56,825 | ) |   |   | 48,696 |   |
| DISCONTINUED OPERATIONS:                                                 |   |           |    |   |                          |   |   |                      |   |   |               |   |   |         |    |   |   |   |   |   |
| Operations of income-producing properties sold or held for sale          |   |           | 1,321   |   |                          |   | 1,554  |                      |   |   | (1,591             | )      |   |         | -       |   |   |   | 1,284 |   |
| Gain on disposal of income producing property                            |   |           | 6,422   |   |                          |   | 10,305 |                      |   |   | 2,678              |   |   |         | -       |   |   |   | 19,405 |   |
| Income from discontinued operations                                      |   |           | 7,743   |   |                          |   | 11,859 |                      |   |   | 1,087              |   |   |         | -       |   |   |   | 20,689 |   |
| NET INCOME                                                               |   | $              | 69,385  |   |                          | $      | 30,401 |                      |   | $      | 26,424             |   |   | $            | (56,825 | ) |   | $ | 69,385 |   |
| Net Income attributable to noncontrolling interest                       |   |           | -       |   |                          |   | -      |                      |   |   | -                  |   |   |         | -       |   |   |   | - |   |
| NET INCOME ATTRIBUTABLE TO EQUITY ONE                                    |   | $              | 69,385  |   |                          | $      | 30,401 |                      |   | $      | 26,424             |   |   | $            | (56,825 | ) |   | $ | 69,385 |   |

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| Condensed Statement of Cash Flowsfor the year ended December 31, 2009  |   | Equity One,Inc. |     |   | CombinedGuarantorSubsidiaries |   |     | Non-GuarantorSubsidiaries |   |   | Consolidated |   |
|------------------------------------------------------------------------|--------|-----------------|----------|--------|-------------------------------|--------|----------|---------------------------|--------|--------|--------------|--------|
|                                                                   |   | (In thousands)  |     |
|                                                                   |   |            |     |   |                          |   |     |                      |   |   |         |   |
| Net cash (used in) provided by operating activities                    |   | $               | 19,990   |   |                          | $      | 12,154   |                      |   | $      | 64,150       |   |   | $ | 96,294 |   |
| INVESTING ACTIVITIES:                                                  |   |            |     |   |                          |   |     |                      |   |   |         |   |   |   |   |   |
| Additions to and purchases of rental properties                        |   |            | (4,356   | )      |                          |   | (7,669   | )                         |   |   | (107,429     | )      |   |   | (119,454 | ) |
| Land held for development                                              |   |            | -        |   |                          |   | (26,920  | )                         |   |   | -            |   |   |   | (26,920 | ) |
| Additions to construction in progress                                  |   |            | (4,527   | )      |                          |   | (49      | )                         |   |   | (7,233       | )      |   |   | (11,809 | ) |
| Proceeds from disposal of real estate and rental properties            |   |            | 11,837   |   |                          |   | 3,144    |                      |   |   | 889          |   |   |   | 15,870 |   |
| Investment in joint ventures                                           |   |            | (400     | )      |                          |   | -        |                      |   |   | -            |   |   |   | (400 | ) |
| Advances to joint ventures                                             |   |            | 164      |   |                          |   | -        |                      |   |   | -            |   |   |   | 164 |   |
| Distributions of capital from joint ventures                           |   |            | 107      |   |                          |   | -        |                      |   |   | -            |   |   |   | 107 |   |
| Increase in deferred leasing costs                                     |   |            | (2,582   | )      |                          |   | (392     | )                         |   |   | (3,056       | )      |   |   | (6,030 | ) |
| Proceeds from sale of securities                                       |   |            | 152,008  |   |                          |   | -        |                      |   |   | -            |   |   |   | 152,008 |   |
| Purchase of securities                                                 |   |            | (10,867  | )      |                          |   | -        |                      |   |   | -            |   |   |   | (10,867 | ) |
| Advances to subsidiaries, net                                          |   |            | (104,601 | )      |                          |   | (22,723  | )                         |   |   | 127,324      |   |   |   | - |   |
| Investment in consolidated subsidiary                                  |   |            | (956     | )      |                          |   | -        |                      |   |   | -            |   |   |   | (956 | ) |
| Net cash provided by (used in) investing activities                    |   |            | 35,827   |   |                          |   | (54,609  | )                         |   |   | 10,495       |   |   |   | (8,287 | ) |
| FINANCING ACTIVITIES:                                                  |   |            |     |   |                          |   |     |                      |   |   |         |   |   |   |   |   |
| Repayments of mortgage notes payable                                   |   |            | (2,465   | )      |                          |   | (5,897   | )                         |   |   | (73,375      | )      |   |   | (81,737 | ) |
| Net repayments  borrowings under revolving credit facilities |   |            | (40,694  | )      |                          |   | 5,194    |                      |   |   | (1,270       | )      |   |   | (36,770 | ) |
| Repayment from senior debt                                             |   |            | (687     | )      |                          |   | (202,795 | )                         |   |   | -            |   |   |   | (203,482 | ) |
| Proceeds from Senior debt borrowings                                   |   |            | -        |   |                          |   | 247,840  |                      |   |   | -            |   |   |   | 247,840 |   |
| Proceeds from issuance of common stock                                 |   |            | 132,488  |   |                          |   | -        |                      |   |   | -            |   |   |   | 132,488 |   |
| Repurchase of common stock                                             |   |            | (5,425   | )      |                          |   | -        |                      |   |   | -            |   |   |   | (5,425 | ) |
| Stock issuance cost                                                    |   |            | (4,266   | )      |                          |   | -        |                      |   |   | -            |   |   |   | (4,266 | ) |
| Change in deferred financing costs                                     |   |            | -        |   |                          |   | (1,887   | )                         |   |   | -            |   |   |   | (1,887 | ) |
| Cash dividends paid to stockholders                                    |   |            | (94,010  | )      |                          |   | -        |                      |   |   | -            |   |   |   | (94,010 | ) |
| Net cash (used in) financing activities                                |   |            | (15,059  | )      |                          |   | 42,455   |                      |   |   | (74,645      | )      |   |   | (47,249 | ) |
| NET INCREASE IN CASH AND CASH EQUIVALENTS                              |   |            | 40,758   |   |                          |   | -        |                      |   |   | -            |   |   |   | 40,758 |   |
| CASH ACQUIRED THROUGH ACQUISITION                                      |   |            | 1,857    |   |                          |   | -        |                      |   |   | -            |   |   |   | 1,857 |   |
| CASH AND CASH EQUIVALENTS, BEGINNING OF THE PERIOD                     |   |            | 5,355    |   |                          |   | -        |                      |   |   | -            |   |   |   | 5,355 |   |
| CASH AND CASH EQUIVALENTS, END OF THE PERIOD                           |   | $               | 47,970   |   |                          | $      | -        |                      |   | $      | -            |   |   | $ | 47,970 |   |

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| Condensed Statement of Cash Flowsfor the year ended December 31, 2008 |   | Equity One,Inc. |     |   |   CombinedGuarantorSubsidiaries |   |     | Non-GuarantorSubsidiaries |   |   | Consolidated |   |
|-----------------------------------------------------------------------|--------|-----------------|----------|--------|--------------------------------------|--------|----------|---------------------------|--------|--------|--------------|--------|
|                                                                  |   | (In thousands)  |     |
|                                                                  |   |            |     |   |                                 |   |     |                      |   |   |         |   |
| Net cash (used in) provided by operating activities                   |   | $               | (15,776  | )      |                                 | $      | 72,178   |                      |   | $      | 30,229       |   |   | $ | 86,631 |   |
| INVESTING ACTIVITIES:                                                 |   |            |     |   |                                 |   |     |                      |   |   |         |   |   |   |   |   |
| Additions to and purchases of rental properties                       |   |            | (957     | )      |                                 |   | (5,551   | )                         |   |   | (3,206       | )      |   |   | (9,714 | ) |
| Land held for development                                             |   |            | -        |   |                                 |   | (87      | )                         |   |   | -            |   |   |   | (87 | ) |
| Additions to construction in progress                                 |   |            | (5,820   | )      |                                 |   | (17,380  | )                         |   |   | (7,247       | )      |   |   | (30,447 | ) |
| Proceeds from disposal of rental properties                           |   |            | 550      |   |                                 |   | 176,855  |                      |   |   | 14,500       |   |   |   | 191,905 |   |
| Decrease in cash held in escrow                                       |   |            | 54,460   |   |                                 |   | -        |                      |   |   | -            |   |   |   | 54,460 |   |
| Investment in joint ventures                                          |   |            | (4,410   | )      |                                 |   | (12,768  | )                         |   |   | -            |   |   |   | (17,178 | ) |
| Advances to joint ventures                                            |   |            | (265     | )      |                                 |   | -        |                      |   |   | -            |   |   |   | (265 | ) |
| Distributions of capital from joint ventures                          |   |            | 2,966    |   |                                 |   | -        |                      |   |   | -            |   |   |   | 2,966 |   |
| Increase in deferred leasing costs                                    |   |            | (1,952   | )      |                                 |   | (2,575   | )                         |   |   | (1,409       | )      |   |   | (5,936 | ) |
| Additions to notes receivable                                         |   |            | (3       | )      |                                 |   | -        |                      |   |   | -            |   |   |   | (3 | ) |
| Proceeds from repayment of notes receivable                           |   |            | 13       |   |                                 |   | 4        |                      |   |   | 5            |   |   |   | 22 |   |
| Proceeds from sale of securities                                      |   |            | 250      |   |                                 |   | -        |                      |   |   | -            |   |   |   | 250 |   |
| Purchase of securities                                                |   |            | (134,667 | )      |                                 |   | -        |                      |   |   | -            |   |   |   | (134,667 | ) |
| Advances to affiliates                                                |   |            | 176,346  |   |                                 |   | (177,064 | )                         |   |   | 718          |   |   |   | - |   |
| Net cash provided by (used in)  investing activities        |   |            | 86,511   |   |                                 |   | (38,566  | )                         |   |   | 3,361        |   |   |   | 51,306 |   |
| FINANCING ACTIVITIES:                                                 |   |            |     |   |                                 |   |     |                      |   |   |         |   |   |   |   |   |
| Repayments of mortgage notes payable                                  |   |            | (9,775   | )      |                                 |   | (33,612  | )                         |   |   | (34,929      | )      |   |   | (78,316 | ) |
| Borrowings under mortgage notes                                       |   |            | 65,000   |   |                                 |   | -        |                      |   |   | -            |   |   |   | 65,000 |   |
| Net repayments under revolving credit facilities                      |   |            | (1,500   | )      |                                 |   | -        |                      |   |   | -            |   |   |   | (1,500 | ) |
| Repayment of senior debt                                              |   |            | (81,518  | )      |                                 |   | -        |                      |   |   | -            |   |   |   | (81,518 | ) |
| Change in deferred financing costs                                    |   |            | (4,119   | )      |                                 |   | -        |                      |   |   | 1,341        |   |   |   | (2,779 | ) |
| Proceeds from issuance of common stock                                |   |            | 57,102   |   |                                 |   | -        |                      |   |   | -            |   |   |   | 57,102 |   |
| Stock issuance cost                                                   |   |            | (2,161   | )      |                                 |   | -        |                      |   |   | -            |   |   |   | (2,161 | ) |
| Cash dividends paid to stockholders                                   |   |            | (89,611  | )      |                                 |   | -        |                      |   |   | -            |   |   |   | (89,611 | ) |
| Distributions to noncontrolling interest                              |   |            | (112     | )      |                                 |   | -        |                      |   |   | -            |   |   |   | (112 | ) |
| Net cash (used in) financing activities                               |   |            | (66,694  | )      |                                 |   | (33,612  | )                         |   |   | (33,588      | )      |   |   | (133,895 | ) |
| Net increase in cash and cash equivalents                             |   |            | 4,041    |   |                                 |   | -        |                      |   |   | -            |   |   |   | 4,041 |   |
| Cash and cash equivalents at beginning of the year                    |   |            | 1,313    |   |                                 |   | -        |                      |   |   | -            |   |   |   | 1,313 |   |
| Cash and cash equivalents at end of the year                          |   | $               | 5,354    |   |                                 | $      | -        |                      |   | $      | -            |   |   | $ | 5,354 |   |

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| Condensed Statement of Cash Flowsfor the year endedDecember 31, 2007 |   | Equity One,Inc. |    |   | CombinedGuarantorSubsidiaries |   |     | Non-GuarantorSubsidiaries |   |   | Consolidated |   |
|----------------------------------------------------------------------|--------|-----------------|---------|--------|-------------------------------|--------|----------|---------------------------|--------|--------|--------------|--------|
|                                                                 |   | (In thousands)  |    |
| Net cash (used in) provided by operating activities                  |   | $               | (17,171 | )      |                          | $      | 95,255   |                      |   | $      | 28,932       |   |   | $ | 107,016 |   |
| INVESTING ACTIVITIES:                                                |   |            |    |   |                          |   |     |                      |   |   |         |   |   |   |   |   |
| Additions to and purchases of rental property                        |   |            | (2,421  | )      |                          |   | (106,323 | )                         |   |   | 1,157        |   |   |   | (107,587 | ) |
| Land held for development                                            |   |            | -       |   |                          |   | (2,529   | )                         |   |   | (122         | )      |   |   | (2,651 | ) |
| Additions to construction in progress                                |   |            | (58     | )      |                          |   | (14,256  | )                         |   |   | (898         | )      |   |   | (15,212 | ) |
| Proceeds from disposal of rental properties                          |   |            | 29,833  |   |                          |   | 37,793   |                      |   |   | 3,647        |   |   |   | 71,273 |   |
| Increase in cash held in escrow                                      |   |            | (52,913 | )      |                          |   | -        |                      |   |   | -            |   |   |   | (52,913 | ) |
| Increase in deferred leasing costs                                   |   |            | (3,884  | )      |                          |   | -        |                      |   |   | -            |   |   |   | (3,884 | ) |
| Additions to notes receivable                                        |   |            | -       |   |                          |   | (14      | )                         |   |   | -            |   |   |   | (14 | ) |
| Proceeds from repayment of notes receivable                          |   |            | 4,706   |   |                          |   | 26       |                      |   |   | 13           |   |   |   | 4,745 |   |
| Proceeds from sale of securities                                     |   |            | 2,822   |   |                          |   | -        |                      |   |   | -            |   |   |   | 2,822 |   |
| Purchase of securities                                               |   |            | (1,181  | )      |                          |   | -        |                      |   |   | -            |   |   |   | (1,181 | ) |
| Advances from (to) affiliates                                        |   |            | 22,271  |   |                          |   | (3,157   | )                         |   |   | (19,114      | )      |   |   | - |   |
| Net cash (used in) investing activities                              |   |            | (825    | )      |                          |   | (88,460  | )                         |   |   | (15,317      | )      |   |   | (104,602 | ) |
| FINANCING ACTIVITIES:                                                |   |            |    |   |                          |   |     |                      |   |   |         |   |   |   |   |   |
| Repayment of mortgage notes payable                                  |   |            | (1,860  | )      |                          |   | (6,795   | )                         |   |   | (13,615      | )      |   |   | (22,270 | ) |
| Net repayments under revolving credit facilities                     |   |            | (39,500 | )      |                          |   | -        |                      |   |   | -            |   |   |   | (39,500 | ) |
| Proceeds from senior debt offerings                                  |   |            | 148,874 |   |                          |   | -        |                      |   |   | -            |   |   |   | 148,874 |   |
| Cash paid for settlement of interest rate contracts                  |   |            | (2,498  | )      |                          |   | -        |                      |   |   | -            |   |   |   | (2,498 | ) |
| Change in deferred financing costs                                   |   |            | (878    | )      |                          |   | -        |                      |   |   | -            |   |   |   | (878 | ) |
| Proceeds from issuance of common stock                               |   |            | 3,882   |   |                          |   | -        |                      |   |   | -            |   |   |   | 3,882 |   |
| Cash dividends paid to stockholders                                  |   |            | (88,599 | )      |                          |   | -        |                      |   |   | -            |   |   |   | (88,599 | ) |
| Distributions to noncontrolling interest                             |   |            | (112    | )      |                          |   | -        |                      |   |   | -            |   |   |   | (112 | ) |
| Net cash provided by (used in) financing activities                  |   |            | 19,309  |   |                          |   | (6,795   | )                         |   |   | (13,615      | )      |   |   | (1,101 | ) |
|                                                                 |   |            |    |   |                          |   |     |                      |   |   |         |   |   |   |   |   |
| Net increase in cash and cash equivalents                            |   |            | 1,313   |   |                          |   | -        |                      |   |   | -            |   |   |   | 1,313 |   |
| Cash and cash equivalents at beginning of the period                 |   |            | -       |   |                          |   | -        |                      |   |   | -            |   |   |   | - |   |
| Cash and cash equivalents at end of the period                       |   | $               | 1,313   |   |                          | $      | -        |                      |   | $      | -            |   |   | $ | 1,313 |   |
|                                                                 |   |            |    |   |                          |   |     |                      |   |   |         |   |   |   |   |   |

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Table of Contents

| 11. | Discontinued Operations |
|-----|-------------------------|

|                                           |   |           |   |   |   |   |   |   |   |
|------------------------------------------------|--------|----------------|--------|--------|--------|--------|--------|--------|--------|
|                                           |   |           |   |   |   |   |   |   |   |
|                                           |   | 2009           |   |   | 2008   |   |   | 2007   |   |
|                                           |   | (In thousands) |   |
|                                           |   |           |   |   |   |   |   |   |   |
| Rental Revenue                                 |   | $              | 903    |   |   | $      | 1,812  |   |   | $ | 10,357 |   |
| Expenses                                       |   |           |   |   |   |   |   |   |   |   |   |   |
| Property operating expenses                    |   |           | 41     |   |   |   | 227    |   |   |   | 3,452 |   |
| Rental property depreciation and amortization  |   |           | 54     |   |   |   | 148    |   |   |   | 1,613 |   |
| Other income and expense                       |   |           | -      |   |   |   | 46     |   |   |   | 4,008 |   |
| Operations of income-producing properties sold |   | $              | 808    |   |   | $      | 1,391  |   |   | $ | 1,284 |   |
|                                           |   |           |   |   |   |   |   |   |   |   |   |   |

|                                           |   |           |   |   |   |   |   |   |   |
|------------------------------------------------|--------|----------------|--------|--------|--------|--------|--------|--------|--------|
|                                           |   |           |   |   |   |   |   |   |   |
|                                           |   | 2009           |   |   | 2008   |   |   | 2007   |   |
|                                           |   | (In thousands) |   |
|                                           |   |           |   |   |   |   |   |   |   |
| Rental Revenue                                 |   | $              | -      |   |   | $      | 7,661  |   |   | $ | 18,453 |   |
| Expenses                                       |   |           |   |   |   |   |   |   |   |   |   |   |
| Property operating expenses                    |   |           | -      |   |   |   | 2,152  |   |   |   | 5,093 |   |
| Rental property depreciation and amortization  |   |           | -      |   |   |   | 1,572  |   |   |   | 3,701 |   |
| Interest expense                               |   |           | -      |   |   |   | 1,491  |   |   |   | 2,740 |   |
| Other (income) expense                         |   |           | -      |   |   |   | (2     | )      |   |   | (2 | ) |
| Operations of income-producing properties sold |   | $              | -      |   |   | $      | 2,448  |   |   | $ | 6,921 |   |
|                                           |   |           |   |   |   |   |   |   |   |   |   |   |

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| 12. | Investments in Unconsolidated Joint Ventures |
|-----|----------------------------------------------|

|                                                               |       |   |      |   |   |              |   |   |              |   |
|--------------------------------------------------------------------|------------|--------|-----------|--------|--------|-------------------|--------|--------|-------------------|--------|
|                                                               |       |   |      |   |   |              |   |   |              |   |
|                                                               | Location   |   | Ownership |   |   | December 31, 2009 |   |   | December 31, 2008 |   |
|                                                               |       |   |      |   |   |              |   |   |              |   |
|                                                               |       |   |      |   |   |              |   |   |              |   |
| GRI Venture                                                        | GA, SC, FL |   |      | 10.0   | %      |              | $      | 8,518  |              |   | $ | 8,744 |   |
| DRA Venture                                                        | FL         |   |      | 20.0   | %      |              |   | 3,006  |              |   |   | 3,001 |   |
| Total investments in and advances to unconsolidated joint ventures |       |   |      |   |   |              | $      | 11,524 |              |   | $ | 11,745 |   |
|                                                               |       |   |      |   |   |              |   |   |              |   |   |   |   |

| 13. | Stockholders’ Equity and Earnings Per Share |
|-----|---------------------------------------------------|

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|                                                                    |   |                   |   |   |   |   |   |   |   |
|-------------------------------------------------------------------------|--------|------------------------|--------|--------|--------|--------|--------|--------|--------|
|                                                                    |   |                   |   |   |   |   |   |   |   |
|                                                                    |   | Year EndedDecember 31, |   |
|                                                                    |   | 2009                   |   |   | 2008   |   |   | 2007   |   |
|                                                                    |   | (In thousands)         |   |
|                                                                    |   |                   |   |   |   |   |   |   |   |
| Income from continuing operations                                       |   | $                      | 73,440 |   |   | $      | 34,174 |   |   | $ | 48,696 |   |
| Net loss attributable to noncontrolling interest                        |   |                   | 2,442  |   |   |   | -      |   |   |   | - |   |
| Allocation of continuing operations income to restricted share awards   |   |                   | (435   | )      |   |   | (219   | )      |   |   | (404 | ) |
| Income from continuing operations attributable to common shareholders   |   |                   | 75,447 |   |   |   | 33,955 |   |   |   | 48,292 |   |
| Income from discontinued operations                                     |   |                   | 7,935  |   |   |   | 834    |   |   |   | 20,689 |   |
| Allocation of discontinued operations income to restricted share awards |   |                   | (46    | )      |   |   | (5     | )      |   |   | (54 | ) |
| Income from discontinued operations attributable to common shareholders |   |                   | 7,889  |   |   |   | 829    |   |   |   | 20,635 |   |
| Net income available to common stockholders                             |   | $                      | 83,336 |   |   | $      | 34,783 |   |   | $ | 68,927 |   |
|                                                                    |   |                   |   |   |   |   |   |   |   |   |   |   |
|                                                                    |   |                   |   |   |   |   |   |   |   |   |   |   |
| Weighted Average Shares Outstanding — Basic                  |   |                   | 83,290 |   |   |   | 74,075 |   |   |   | 73,091 |   |
|                                                                    |   |                   |   |   |   |   |   |   |   |   |   |   |
| Basic earnings per share attributable to the common shareholders:       |   |                   |   |   |   |   |   |   |   |   |   |   |
|                                                                    |   |                   |   |   |   |   |   |   |   |   |   |   |
| Income from continuing operations                                       |   | $                      | 0.91   |   |   | $      | 0.46   |   |   | $ | 0.66 |   |
| Income from discontinued operations                                     |   |                   | 0.09   |   |   |   | 0.01   |   |   |   | 0.28 |   |
| Net income                                                              |   | $                      | 1.00   |   |   | $      | 0.47   |   |   | $ | 0.94 |   |
|                                                                    |   |                   |   |   |   |   |   |   |   |   |   |   |

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|                                                                                                                                  |   |                   |   |   |   |   |   |   |   |
|---------------------------------------------------------------------------------------------------------------------------------------|--------|------------------------|--------|--------|--------|--------|--------|--------|--------|
|                                                                                                                                  |   |                   |   |   |   |   |   |   |   |
|                                                                                                                                  |   | Year EndedDecember 31, |   |
|                                                                                                                                  |   | 2009                   |   |   | 2008   |   |   | 2007   |   |
|                                                                                                                                  |   | (In thousands)         |   |
|                                                                                                                                  |   |                   |   |   |   |   |   |   |   |
| Income from continuing operations                                                                                                     |   | $                      | 73,440 |   |   | $      | 34,174 |   |   | $ | 48,696 |   |
| Net loss attributable to noncontrolling interest                                                                                      |   |                   | 2,442  |   |   |   | -      |   |   |   | - |   |
| Income from continuing operations attributable to Equity One, Inc.                                                                    |   |                   | 75,882 |   |   |   | 34,174 |   |   |   | 48,696 |   |
| Allocation of earnings (losses) to restricted share awards                                                                            |   |                   | (435   | )      |   |   | (219   | )      |   |   | (249 | ) |
| Allocation of earnings associated with DIM contingent shares                                                                          |   |                   | (634   | )      |   |   | -      |   |   |   | - |   |
| Allocation of continuing operations income (loss) to restricted share awards                                                          |   |                   | (1     | )      |   |   | -      |   |   |   | - |   |
| Income from continuing operations attributable to common shareholders                                                                 |   |                   | 74,812 |   |   |   | 33,955 |   |   |   | 48,446 |   |
| Income from discontinued operations                                                                                                   |   |                   | 7,935  |   |   |   | 834    |   |   |   | 20,689 |   |
| Allocation of discontinued operations income to restricted share awards                                                               |   |                   | (1     | )      |   |   | -      |   |   |   | - |   |
| Income from discontinued operations attributable to common shareholders                                                               |   |                   | 7,934  |   |   |   | 834    |   |   |   | 20,689 |   |
| Net income available to common stockholders                                                                                           |   | $                      | 82,746 |   |   | $      | 34,789 |   |   | $ | 69,135 |   |
|                                                                                                                                  |   |                   |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                                  |   |                   |   |   |   |   |   |   |   |   |   |   |
| Weighted Average Shares Outstanding — Basic                                                                                |   |                   | 83,290 |   |   |   | 74,075 |   |   |   | 73,091 |   |
| Stock options using the treasury method                                                                                               |   |                   | 51     |   |   |   | 23     |   |   |   | 77 |   |
| Contingent shares to be issued for DIM stock                                                                                          |   |                   | 516    |   |   |   | -      |   |   |   | - |   |
| Subtotal                                                                                                                              |   |                   | 567    |   |   |   | 23     |   |   |   | 77 |   |
|                                                                                                                                  |   |                   |   |   |   |   |   |   |   |   |   |   |
| Diluted earnings per share - weighted average shares                                                                                  |   |                   | 83,857 |   |   |   | 74,098 |   |   |   | 73,168 |   |
|                                                                                                                                  |   |                   |   |   |   |   |   |   |   |   |   |   |
| Diluted earnings per share attributable to common shareholders:                                                                       |   |                   |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                                  |   |                   |   |   |   |   |   |   |   |   |   |   |
| Income from continuing operations                                                                                                     |   | $                      | 0.89   |   |   | $      | 0.46   |   |   | $ | 0.66 |   |
| Income from discontinued operations                                                                                                   |   |                   | 0.09   |   |   |   | 0.01   |   |   |   | 0.28 |   |
| Net income                                                                                                                            |   | $                      | 0.99   |   |   | $      | 0.47   |   |   | $ | 0.94 |   |
|                                                                                                                                  |   |                   |   |   |   |   |   |   |   |   |   |   |
| Note: Diluted EPS for the year ended December 31, 2009 does not foot due to the mathematical rounding of the individual calculations. |   |

| 14. | Noncontrolling Interest |
|-----|-------------------------|

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| 15. | Share-Based Compensation and Other Benefit Plans |
|-----|--------------------------------------------------|

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|                                                           |   | 2009                |   |   | 2008                            |   |   | 2007                |   |
|----------------------------------------------------------------|--------|---------------------|--------|--------|---------------------------------|--------|--------|---------------------|--------|
|                                                           |   | Shares Under Option |   |   | Weighted-Average Exercise Price |   |   | Shares Under Option |   |   | Weighted-Average Exercise Price |   |   | Shares Under Option |   |   | Weighted-Average Exercise Price |   |
|                                                           |   | (In thousands)      |   |   |                            |   |   | (In thousands)      |   |   |   |   |   | (In thousands) |   |   |   |   |
| Outstanding at the beginning of the year                       |   |                | 2,475  |   |                            | $      | 23.32  |                |   |   | 2,325 |   |   | $ | 23.85 |   |   |   | 2,437 |   |   | $ | 22.82 |   |
| Granted                                                        |   |                | 780    |   |                            |   | 13.37  |                |   |   | 711 |   |   |   | 20.84 |   |   |   | 305 |   |   |   | 23.40 |   |
| Exercised                                                      |   |                | (179   | )      |                            |   | 12.23  |                |   |   | (150 | ) |   |   | 16.09 |   |   |   | (412 | ) |   |   | 17.36 |   |
| Forfeited or expired                                           |   |                | (314   | )      |                            |   | 22.90  |                |   |   | (411 | ) |   |   | 24.99 |   |   |   | (5 | ) |   |   | 27.28 |   |
| Outstanding at the end of the year                             |   |                | 2,762  |   |                            | $      | 21.28  |                |   |   | 2,475 |   |   | $ | 23.32 |   |   |   | 2,325 |   |   | $ | 23.85 |   |
|                                                           |   |                |   |   |                            |   |   |                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Exercisable at the end of year                                 |   |                | 1,479  |   |                            | $      | 23.60  |                |   |   | 922 |   |   | $ | 24.26 |   |   |   | 678 |   |   | $ | 22.29 |   |
|                                                           |   |                |   |   |                            |   |   |                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Weighted average fair value of options granted during the year |   |                |   |   |                            | $      | 1.26   |                |   |   |   |   |   | $ | 2.14 |   |   |   |   |   |   | $ | 3.43 |   |
|                                                           |   |                |   |   |                            |   |   |                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |

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|                         |   |   |         |   |   |   |         |   |   |
|------------------------------|--------|--------|--------------|--------|--------|--------|--------------|--------|--------|
|                         |   | 2009   |         |   | 2008   |   |         | 2007   |   |
| Dividend Yield               |   |   | 5.4% - 10.4  | %      |   |   | 4.9% - 7.2   | %      |   |   | 5.1 | % |
| Risk-free interest rate      |   |   | 2.0% - 3.0   | %      |   |   | 1.7% - 3.4   | %      |   |   | 4.1% - 4.9 | % |
| Expected option life (years) |   |   | 5.8 - 7.0    |   |   |   | 5.8 - 6.3    |   |   |   | 4.3 |   |
| Expected volatility          |   |   | 25.8% - 29.2 | %      |   |   | 21.0% - 23.2 | %      |   |   | 20.0% - 22.0 | % |
|                         |   |   |         |   |   |   |         |   |   |   |   |   |

|                          |   | Unvested Shares |   |   |  Weighted-AveragePrice |   |
|-------------------------------|--------|-----------------|--------|--------|-----------------------------|--------|
|                          |   | (In thousands)  |   |   |                        |   |
|                          |   |            |   |   |                        |   |
| Unvested at December 31, 2008 |   |            | 385    |   |                        | $      | 24.79 |   |
| Granted                       |   |            | 113    |   |                        |   | 13.93 |   |
| Vested                        |   |            | (232   | )      |                        |   | 23.22 |   |
| Forfeited                     |   |            | (3     | )      |                        |   | 26.33 |   |
| Unvested at December 31, 2009 |   |            | 263    |   |                        | $      | 21.51 |   |
|                          |   |            |   |   |                        |   |   |   |

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| 16. | Income Taxes |
|-----|--------------|

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|                                                                                                                                                                                                                |   |        |    |   |     |   |   |     |   |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------|---------|--------|----------|--------|--------|----------|--------|
|                                                                                                                                                                                                                |   |  2009  |    |   | 2008     |   |   | 2007     |   |
|                                                                                                                                                                                                                |   | (Estimated) |    |   | (Actual) |   |   | (Actual) |   |
|                                                                                                                                                                                                                |   |        |    |   |     |   |   |     |   |
| GAAP net income attributable to Equity One                                                                                                                                                                          |   | $           | 81,375  |   |     | $      | 35,008 |     |   | $ | 69,385 |   |
| Net (income) loss attributable to taxable REIT subsidiaries (1)                                                                                                                                                     |   |        | (20,160 | )      |     |   | 29,021 |     |   |   | (6,251 | ) |
| GAAP net income from REIT operations                                                                                                                                                                                |   |        | 61,215  |   |     |   | 64,029 |     |   |   | 63,134 |   |
|                                                                                                                                                                                                                |   |        |    |   |     |   |   |     |   |   |   |   |
| Book/tax difference for depreciation                                                                                                                                                                                |   |        | 2,871   |   |     |   | 3,178  |     |   |   | 669 |   |
| Book/tax difference on sale of property                                                                                                                                                                             |   |        | (3,450  | )      |     |   | (9,687 | )        |   |   | 5,995 |   |
| Book/tax difference on exercise of stock options and restricted shares                                                                                                                                              |   |        | 2,422   |   |     |   | 1,550  |     |   |   | (3,486 | ) |
| Book/tax difference for interest expense                                                                                                                                                                            |   |        | (149    | )      |     |   | (560   | )        |   |   | (1,294 | ) |
| Deferred/prepaid/above- and below-market rents, net                                                                                                                                                                 |   |        | (205    | )      |     |   | (2,424 | )        |   |   | (2,560 | ) |
| GAAP impairment loss                                                                                                                                                                                                |   |        | 369     |   |     |   | 2,367  |     |   |   | 1,851 |   |
| Subpart F income from foreign taxable REIT subsidiary                                                                                                                                                               |   |        | -       |   |     |   | 5,488  |     |   |   | 5,889 |   |
| Deferred gain on extinguishment of debt                                                                                                                                                                             |   |        | (12,286 | )      |     |   | -      |     |   |   | - |   |
| Other book/tax differences, net                                                                                                                                                                                     |   |        | (3,498  | )      |     |   | 394    |     |   |   | (1,533 | ) |
|                                                                                                                                                                                                                |   |        |    |   |     |   |   |     |   |   |   |   |
| Adjusted taxable income subject to 90% dividend requirements                                                                                                                                                        |   | $           | 47,289  |   |     | $      | 64,335 |     |   | $ | 68,665 |   |
|                                                                                                                                                                                                                |   |        |    |   |     |   |   |     |   |   |   |   |
| (1) 2009 includes gain on acquisition of controlling interest in subsidiary of $27,501, related to the consolidation of DIM and 2008 includes an impairment loss on available-for-sale securities of $32,791.  |

|                    |   |                     |   |   |   |   |   |   |   |
|-------------------------|--------|--------------------------|--------|--------|--------|--------|--------|--------|--------|
|                    |   |                     |   |   |   |   |   |   |   |
|                    |   | Years Ended December 31, |   |
|                    |   | 2009                     |   |   | 2008   |   |   | 2007   |   |
| Dividend paid per share |   | $                        | 1.12   |   |   | $      | 1.20   |   |   | $ | 1.20 |   |
| Ordinary income         |   |                     | 47.92  | %      |   |   | 56.50  | %      |   |   | 51.26 | % |
| Return of capital       |   |                     | 48.68  | %      |   |   | 28.51  | %      |   |   | 20.41 | % |
| Capital gains           |   |                     | 3.40   | %      |   |   | 14.99  | %      |   |   | 28.33 | % |
|                    |   |                     |   |   |   |   |   |   |   |   |   |   |

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|                                                      |   |   |   |   |   |   |    |   |   |
|-----------------------------------------------------------|--------|--------|--------|--------|--------|--------|---------|--------|--------|
|                                                      |   |   |   |   |   |   |    |   |   |
|                                                      |   | 2009   |   |   | 2008   |   |    | 2007   |   |
|                                                      |   |   |   |   |   |   |    |   |   |
| U.S. (loss) income before income taxes                    |   | $      | (8,327 | )      |   | $      | (503    | )      |   | $ | 90 |   |
| Foreign income (loss) before income taxes                 |   |   | 23,470 |   |   |   | (27,302 | )      |   |   | 5,889 |   |
| Total income (loss) before income taxes                   |   |   | 15,143 |   |   |   | (27,805 | )      |   |   | 5,979 |   |
| Less benefit (provision ) for income taxes:               |   |   |   |   |   |   |    |   |   |   |   |   |
| Current federal and state                                 |   |   | 90     |   |   |   | (125    | )      |   |   | (676 | ) |
| Deferred federal and state                                |   |   | 4,927  |   |   |   | (890    | )      |   |   | 948 |   |
| Total tax benefit (provision)                             |   | $      | 5,017  |   |   | $      | (1,015  | )      |   | $ | 272 |   |
|                                                      |   |   |   |   |   |   |    |   |   |   |   |   |
| Net income  (loss) from taxable REIT subsidiary |   | $      | 20,160 |   |   | $      | (28,820 | )      |   | $ | 6,251 |   |
|                                                      |   |   |   |   |   |   |    |   |   |   |   |   |

|                                                        |   |   |   |   |   |   |   |   |   |
|-------------------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
|                                                        |   |   |   |   |   |   |   |   |   |
|                                                        |   | 2009   |   |   | 2008   |   |   | 2007   |   |
|                                                        |   |   |   |   |   |   |   |   |   |
| Federal (provision) benefit at statutory tax rate (35%/34%) |   | $      | (5,043 | )      |   | $      | 9,454  |   |   | $ | (2,033 | ) |
| State taxes, net of federal benefit                         |   |   | 392    |   |   |   | 19     |   |   |   | (3 | ) |
| Participation exemption                                     |   |   | -      |   |   |   | (8,072 | )      |   |   | 1,778 |   |
| Gain on acquisition of DIM                                  |   |   | 7,013  |   |   |   | -      |   |   |   | - |   |
| Foreign tax rate differential                               |   |   | 2,224  |   |   |   | (1,092 | )      |   |   | 236 |   |
| Other                                                       |   |   | (721   | )      |   |   | (65    | )      |   |   | (169 | ) |
| Valuation allowance (increase) decrease                     |   |   | 1,152  |   |   |   | (1,259 | )      |   |   | 463 |   |
| Total tax benefit (provision)                               |   | $      | 5,017  |   |   | $      | (1,015 | )      |   | $ | 272 |   |
|                                                        |   |   |   |   |   |   |   |   |   |   |   |   |

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|                           |   |   |    |   |   |   |
|--------------------------------|--------|--------|---------|--------|--------|--------|
|                           |   |   |    |   |   |   |
|                           |   | 2009   |    |   | 2008   |   |
| Deferred tax assets:           |   |   |    |   |   |   |
| Disallowed interest            |   | $      | 3,040   |   |   | $      | 2,329 |   |
| Other                          |   |   | 605     |   |   |   | 44 |   |
| Net operating loss             |   |   | 6,331   |   |   |   | 129 |   |
| Valuation allowance            |   |   | (183    | )      |   |   | (1,334 | ) |
| Total deferred tax assets      |   | $      | 9,793   |   |   | $      | 1,168 |   |
|                           |   |   |    |   |   |   |   |   |
| Deferred tax liabilities:      |   |   |    |   |   |   |   |   |
| Other real estate investments  |   |   | (48,663 | )      |   |   | (2,527 | ) |
| Mortgage revaluation           |   |   | (10,795 | )      |   |   | - |   |
| Other                          |   |   | (394    | )      |   |   | (50 | ) |
| Total deferred tax liabilities |   |   | (59,852 | )      |   |   | (2,577 | ) |
|                           |   |   |    |   |   |   |   |   |
| Net deferred tax liability     |   | $      | (50,059 | )      |   | $      | (1,409 | ) |
|                           |   |   |    |   |   |   |   |   |

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| 17. | Future Minimum Rental Income |
|-----|------------------------------|

|        |   |           |      |
|-------------|--------|----------------|-----------|
|        |   |           |      |
| Year Ending |   | Amount         |      |
|        |   | (In thousands) |      |
|        |   |           |      |
| 2010        |   |           | 207,275   |   |
| 2011        |   |           | 182,661   |   |
| 2012        |   |           | 152,484   |   |
| 2013        |   |           | 125,172   |   |
| 2014        |   |           | 96,871    |   |
| Thereafter  |   |           | 342,758   |   |
| Total       |   | $              | 1,107,221 |   |
|        |   |           |      |   |

| 18. | Other Income |
|-----|--------------|

|                          |   |                    |   |
|-------------------------------|--------|-------------------------|--------|
|                          |   | Year Ended December 31, |   |
|                          |   | 2009                    |   |   | 2008 |   |   | 2007 |   |
|                          |   | (In thousands)          |   |
|                          |   |                    |   |   |   |   |   |   |   |
| Casualty Insurance Settlement |   | $                       | 1,073  |   |   | $ | - |   |   | $ | - |   |
| Miscellaneous Income          |   |                    | 231    |   |   |   | 36 |   |   |   | 63 |   |
| Related Party Income          |   |                    | 154    |   |   |   | 135 |   |   |   | 247 |   |
| Forfeited Deposits            |   |                    | 45     |   |   |   | 203 |   |   |   | - |   |
| Easement Income               |   |                    | -      |   |   |   | 593 |   |   |   | - |   |
| Legal Settlements             |   |                    | -      |   |   |   | - |   |   |   | - |   |
|                          |   | $                       | 1,503  |   |   | $ | 967 |   |   | $ | 310 |   |
|                          |   |                    |   |   |   |   |   |   |   |   |   |   |

| 19. | Commitments and Contingencies |
|-----|-------------------------------|

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| 20. | Severance |
|-----|-----------|

|                                       |   |
|--------------------------------------------|--------|
|  Twelve Months EndedDecember 31, 2009 |   |
| (In thousands)                             |   |
| Cash Severance Items:                      |   |   |   |
| Base Pay                                   |   | $ | 1,325 |   |
| Bonus                                      |   |   | 902 |   |
| Total cash items                           |   |   | 2,227 |   |
|                                       |   |   |   |   |
| Non-cash Severance Items:                  |   |   |   |   |
| Restricted Stock Accelerated Vesting       |   | $ | 919 |   |
| Stock Option Accelerated Vesting           |   |   | 610 |   |
| Long-term Incentive Plan Not Paid          |   |   | (334 | ) |
| Total non-cash items                       |   |   | 1,195 |   |
|                                       |   |   |   |   |
| Total                                      |   | $ | 3,422 |   |
|                                       |   |   |   |   |

| 21. | Fair Value Measurements |
|-----|-------------------------|

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|   | · | Level 1 — Financial assets and liabilities whose values are based on unadjusted quoted market prices for identical assets and liabilities in an active market that we have the ability to access. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Level 2 — Financial assets and liabilities whose values are based on quoted prices in markets that are not active or model inputs that are observable for substantially the full term of the asset or liability. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Level 3 — Financial assets and liabilities whose values are based on prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                          |   | Fair Value Measurements |   |
|-------------------------------|--------|-------------------------|--------|
|                          |   | (In thousands)          |   |
|                          |   |                    |   |   |   |   |
| Description                   |   | Level 1                 |   |   | Level 2 |   |
|                          |   |                    |   |   |   |   |
| Available-for-sale-securities |   | $                       | 820    |   |   | $ | - |   |
| Long tern incentive plan      |   |                    | -      |   |   |   | 743 |   |
| Total                         |   | $                       | 820    |   |   | $ | 743 |   |

----

Table of Contents

| 22. | Fair value of financial instruments |
|-----|-------------------------------------|

| 23. | Environmental Matters |
|-----|-----------------------|

| 24. | Subsequent Events |
|-----|-------------------|

----

Table of Contents

| 25. | Quarterly Financial Data (unaudited) |
|-----|--------------------------------------|

|                                        |   |              |   |   |               |   |   |              |   |   |               |   |
|---------------------------------------------|--------|-------------------|--------|--------|--------------------|--------|--------|-------------------|--------|--------|--------------------|--------|
|                                        |   |              |   |   |               |   |   |              |   |   |               |   |
|                                        |   | First Quarter (1) |   |   | Second Quarter (1) |   |   | Third Quarter (1) |   |   | Fourth Quarter (1) |   |
| 2009:                                       |   |              |   |   |               |   |   |              |   |   |               |   |
| Total revenues                              |   | $                 | 68,957 |   |               | $      | 67,404 |              |   | $      | 66,770             |   |   | $ | 68,259 |   |
| Income from continuing operations           |   | $                 | 41,840 |   |               | $      | 10,967 |              |   | $      | 13,985             |   |   | $ | 6,648 |   |
| Net income                                  |   | $                 | 43,359 |   |               | $      | 14,851 |              |   | $      | 14,748             |   |   | $ | 8,417 |   |
| Net income available to common shareholders |   | $                 | 43,836 |   |               | $      | 15,357 |              |   | $      | 15,318             |   |   | $ | 9,306 |   |
|                                        |   |              |   |   |               |   |   |              |   |   |               |   |   |   |   |   |
| Basic per share data                        |   |              |   |   |               |   |   |              |   |   |               |   |   |   |   |   |
| Income from continuing operations           |   | $                 | 0.55   |   |               | $      | 0.14   |              |   | $      | 0.17               |   |   | $ | 0.09 |   |
| Net Income                                  |   | $                 | 0.57   |   |               | $      | 0.18   |              |   | $      | 0.18               |   |   | $ | 0.11 |   |
|                                        |   |              |   |   |               |   |   |              |   |   |               |   |   |   |   |   |
| Diluted per share data                      |   |              |   |   |               |   |   |              |   |   |               |   |   |   |   |   |
| Income from continuing operations           |   | $                 | 0.54   |   |               | $      | 0.13   |              |   | $      | 0.17               |   |   | $ | 0.08 |   |
| Net income                                  |   | $                 | 0.56   |   |               | $      | 0.18   |              |   | $      | 0.17               |   |   | $ | 0.10 |   |
|                                        |   |              |   |   |               |   |   |              |   |   |               |   |   |   |   |   |

| (1) | Reclassified to reflect the reporting of discontinued operations. |
|-----|-------------------------------------------------------------------|

|                                        |   |              |   |   |               |   |   |              |   |   |               |   |
|---------------------------------------------|--------|-------------------|--------|--------|--------------------|--------|--------|-------------------|--------|--------|--------------------|--------|
|                                        |   |              |   |   |               |   |   |              |   |   |               |   |
|                                        |   | First Quarter (1) |   |   | Second Quarter (1) |   |   | Third Quarter (1) |   |   | Fourth Quarter (1) |   |
| 2008:                                       |   |              |   |   |               |   |   |              |   |   |               |   |
| Total revenues                              |   | $                 | 62,917 |   |               | $      | 60,504 |              |   | $      | 56,313             |   |   | $ | 57,715 |   |
| Income (loss) from continuing operations    |   | $                 | 20,478 |   |               | $      | 29,542 |              |   | $      | (21,673            | )      |   | $ | 5,827 |   |
| Net income (loss)                           |   | $                 | 20,854 |   |               | $      | 29,418 |              |   | $      | (21,395            | )      |   | $ | 6,131 |   |
| Net income available to common shareholders |   | $                 | 20,854 |   |               | $      | 29,418 |              |   | $      | (21,395            | )      |   | $ | 6,131 |   |
|                                        |   |              |   |   |               |   |   |              |   |   |               |   |   |   |   |   |
| Basic per share data                        |   |              |   |   |               |   |   |              |   |   |               |   |   |   |   |   |
| Income (loss) from continuing operations    |   | $                 | 0.28   |   |               | $      | 0.40   |              |   | $      | (0.30              | )      |   | $ | 0.08 |   |
| Net Income (loss)                           |   | $                 | 0.28   |   |               | $      | 0.40   |              |   | $      | (0.29              | )      |   | $ | 0.08 |   |
|                                        |   |              |   |   |               |   |   |              |   |   |               |   |   |   |   |   |
| Diluted per share data                      |   |              |   |   |               |   |   |              |   |   |               |   |   |   |   |   |
| Income (loss) from continuing operations    |   | $                 | 0.28   |   |               | $      | 0.40   |              |   | $      | (0.30              | )      |   | $ | 0.08 |   |
| Net income (loss)                           |   | $                 | 0.28   |   |               | $      | 0.40   |              |   | $      | (0.29              | )      |   | $ | 0.08 |   |
|                                        |   |              |   |   |               |   |   |              |   |   |               |   |   |   |   |   |

| (1) | Reclassified to reflect the reporting of discontinued operations. |
|-----|-------------------------------------------------------------------|

----

Table of Contents

|                           |     |   |          |   |   | INITIAL COST TO COMPANY |   |   |   Capitalized         |   |   | GROSS AMOUNTS AT WHICH CARRIED AT CLOSE OF PERIOD |   |   |   |   |   |                       |   |   |   |   |   |
|--------------------------------|----------|--------|---------------|--------|--------|-------------------------|--------|--------|----------------------------|--------|--------|---------------------------------------------------|--------|--------|--------|--------|--------|----------------------------|--------|--------|--------|--------|--------|
| Property                       | Location |   | Encum-brances |   |   | Land                    |   |   | Building &Improvements |   |   | Subsequent toAcquisition orImprovements           |   |   | Land   |   |   | Building &Improvements |   |   | Total  |   |   | AccumulatedDepreciation |   |   | Date ofConstruction |   |   | DateAcquired |   |   |
|                           |     |   |          |   |   |                    |   |   |                       |   |   |                                              |   |   |   |   |   |                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| 2400 PGA                       | FL       |   | $             | -      |   |                    | $      | 1,418  |                       |   | $      | -                                                 |   |   | $      | -      |   |                       | $      | 1,418  |   |   |   | 1 |   |   |   | 1,419 |   |   |   | (1 | ) |   |   | n/a |   |   | 03/20/06 |   |   |
| 4101 South I-85 Industrial     | NC       |   |          | -      |   |                    |   | 1,619  |                       |   |   | 950                                               |   |   |   | 274    |   |                       | $      | 1,619  |   |   |   | 1,224 |   |   |   | 2,843 |   |   |   | (237 | ) |   |   | 1956,1963 |   |   | 02/12/03 |   |   |
| Alafaya Commons                | FL       |   |          | -      |   |                    |   | 6,858  |                       |   |   | 10,720                                            |   |   |   | 1,306  |   |                       | $      | 6,858  |   |   |   | 12,026 |   |   |   | 18,885 |   |   |   | (1,974 | ) |   |   | 1987 |   |   | 02/12/03 |   |   |
| Alafaya Village                | FL       |   |          | 3,904  |   |                    |   | 1,444  |                       |   |   | 4,967                                             |   |   |   | 550    |   |                       | $      | 1,444  |   |   |   | 5,517 |   |   |   | 6,962 |   |   |   | (622 | ) |   |   | 1986 |   |   | 04/20/06 |   |   |
| Ambassador Row                 | LA       |   |          | -      |   |                    |   | 3,880  |                       |   |   | 10,570                                            |   |   |   | 828    |   |                       | $      | 3,880  |   |   |   | 11,398 |   |   |   | 15,278 |   |   |   | (1,954 | ) |   |   | 1980 |   |   | 02/12/03 |   |   |
| Ambassador Row Courtyard       | LA       |   |          | -      |   |                    |   | 3,110  |                       |   |   | 9,208                                             |   |   |   | 2,006  |   |                       | $      | 3,110  |   |   |   | 11,214 |   |   |   | 14,324 |   |   |   | (2,162 | ) |   |   | 1986 |   |   | 02/12/03 |   |   |
| Atlantic Village               | FL       |   |          | -      |   |                    |   | 1,190  |                       |   |   | 4,760                                             |   |   |   | 1,277  |   |                       | $      | 1,190  |   |   |   | 6,037 |   |   |   | 7,227 |   |   |   | (2,595 | ) |   |   | 1984 |   |   | 06/30/95 |   |   |
| Banco Popular Building         | FL       |   |          | -      |   |                    |   | 3,363  |                       |   |   | 1,566                                             |   |   |   | 551    |   |                       | $      | 3,363  |   |   |   | 2,117 |   |   |   | 5,480 |   |   |   | (293 | ) |   |   | 1971 |   |   | 09/27/05 |   |   |
| Bay Pointe Plaza               | FL       |   |          | -      |   |                    |   | 4,655  |                       |   |   | 5,870                                             |   |   |   | 105    |   |                       | $      | 4,655  |   |   |   | 5,975 |   |   |   | 10,629 |   |   |   | (1,100 | ) |   |   | 1984 |   |   | 02/12/03 |   |   |
| Beauclerc Village              | FL       |   |          | -      |   |                    |   | 651    |                       |   |   | 2,242                                             |   |   |   | 1,419  |   |                       | $      | 651    |   |   |   | 3,661 |   |   |   | 4,312 |   |   |   | (1,279 | ) |   |   | 1962 |   |   | 05/15/98 |   |   |
| Belfair Towne Village          | SC       |   |          | 9,958  |   |                    |   | 11,238 |                       |   |   | 10,037                                            |   |   |   | 3,975  |   |                       | $      | 11,238 |   |   |   | 14,012 |   |   |   | 25,251 |   |   |   | (2,291 | ) |   |   | 2000 |   |   | 12/22/03 |   |   |
| Bird Ludlum                    | FL       |   |          | 5,853  |   |                    |   | 4,088  |                       |   |   | 16,318                                            |   |   |   | 1,270  |   |                       | $      | 4,088  |   |   |   | 17,588 |   |   |   | 21,676 |   |   |   | (6,748 | ) |   |   | 1988 |   |   | 08/11/94 |   |   |
| Bluebonnet Village             | LA       |   |          | -      |   |                    |   | 2,290  |                       |   |   | 4,168                                             |   |   |   | 1,691  |   |                       | $      | 2,290  |   |   |   | 5,859 |   |   |   | 8,149 |   |   |   | (892 | ) |   |   | 1983 |   |   | 02/12/03 |   |   |
| Bluffs Square Shoppes          | FL       |   |          | 9,461  |   |                    |   | 3,232  |                       |   |   | 9,917                                             |   |   |   | 343    |   |                       | $      | 3,232  |   |   |   | 10,260 |   |   |   | 13,491 |   |   |   | (3,010 | ) |   |   | 1986 |   |   | 08/15/00 |   |   |
| Boca Village                   | FL       |   |          | 7,653  |   |                    |   | 3,385  |                       |   |   | 10,174                                            |   |   |   | 449    |   |                       | $      | 3,385  |   |   |   | 10,623 |   |   |   | 14,008 |   |   |   | (2,719 | ) |   |   | 1978 |   |   | 08/15/00 |   |   |
| Boynton Plaza                  | FL       |   |          | 6,960  |   |                    |   | 2,943  |                       |   |   | 9,100                                             |   |   |   | 257    |   |                       | $      | 2,943  |   |   |   | 9,357 |   |   |   | 12,300 |   |   |   | (2,650 | ) |   |   | 1978 |   |   | 08/15/00 |   |   |
| Brawley Commons                | NC       |   |          | 6,794  |   |                    |   | 4,206  |                       |   |   | 11,556                                            |   |   |   | 47     |   |                       | $      | 4,206  |   |   |   | 11,603 |   |   |   | 15,809 |   |   |   | (323 | ) |   |   | 1997 |   |   | 01/14/09 |   |   |
| BridgeMill                     | GA       |   |          | 8,369  |   |                    |   | 8,593  |                       |   |   | 6,310                                             |   |   |   | 641    |   |                       | $      | 8,593  |   |   |   | 6,950 |   |   |   | 15,543 |   |   |   | (1,333 | ) |   |   | 2000 |   |   | 11/13/03 |   |   |
| Brookside Plaza                | CT       |   |          | -      |   |                    |   | 2,291  |                       |   |   | 26,260                                            |   |   |   | 4,630  |   |                       | $      | 2,291  |   |   |   | 30,890 |   |   |   | 33,180 |   |   |   | (3,392 | ) |   |   | 1985 |   |   | 01/12/06 |   |   |
| Buckhead Station               | GA       |   |          | 26,213 |   |                    |   | 27,138 |                       |   |   | 45,277                                            |   |   |   | 1,021  |   |                       | $      | 27,138 |   |   |   | 46,298 |   |   |   | 73,436 |   |   |   | (3,485 | ) |   |   | 1996 |   |   | 03/09/07 |   |   |
| Butler Creek                   | GA       |   |          | -      |   |                    |   | 2,808  |                       |   |   | 7,648                                             |   |   |   | 1,831  |   |                       | $      | 2,808  |   |   |   | 9,479 |   |   |   | 12,286 |   |   |   | (2,136 | ) |   |   | 1990 |   |   | 07/15/03 |   |   |
| Carolina Pavilion              | NC       |   |          | -      |   |                    |   | 22,043 |                       |   |   | 69,563                                            |   |   |   | 1,051  |   |                       | $      | 22,043 |   |   |   | 70,614 |   |   |   | 92,657 |   |   |   | (2,309 | ) |   |   | 2002 |   |   | 01/14/09 |   |   |
| Carrollwood                    | FL       |   |          | -      |   |                    |   | 2,756  |                       |   |   | 6,553                                             |   |   |   | 1,091  |   |                       | $      | 2,756  |   |   |   | 7,644 |   |   |   | 10,400 |   |   |   | (1,525 | ) |   |   | 1970 |   |   | 02/12/03 |   |   |
| Cashmere Corners               | FL       |   |          | 4,523  |   |                    |   | 1,947  |                       |   |   | 5,707                                             |   |   |   | -      |   |                       | $      | 1,947  |   |   |   | 5,707 |   |   |   | 7,655 |   |   |   | (1,326 | ) |   |   | 2001 |   |   | 08/15/00 |   |   |
| Centre Pointe Plaza            | NC       |   |          | -      |   |                    |   | 2,081  |                       |   |   | 4,411                                             |   |   |   | 757    |   |                       | $      | 2,081  |   |   |   | 5,168 |   |   |   | 7,249 |   |   |   | (989 | ) |   |   | 1989 |   |   | 02/12/03 |   |   |
| Chapel Trail Plaza             | FL       |   |          | -      |   |                    |   | 3,641  |                       |   |   | 5,777                                             |   |   |   | 3,037  |   |                       | $      | 3,641  |   |   |   | 8,814 |   |   |   | 12,455 |   |   |   | (991 | ) |   |   | 1996 |   |   | 05/10/06 |   |   |
| Charlotte Square               | FL       |   |          | 3,123  |   |                    |   | 4,155  |                       |   |   | 4,414                                             |   |   |   | 135    |   |                       | $      | 4,155  |   |   |   | 4,549 |   |   |   | 8,703 |   |   |   | (891 | ) |   |   | 1980 |   |   | 02/12/03 |   |   |
| Chastain Square                | GA       |   |          | 3,232  |   |                    |   | 10,689 |                       |   |   | 5,937                                             |   |   |   | 118    |   |                       | $      | 10,689 |   |   |   | 6,055 |   |   |   | 16,744 |   |   |   | (1,075 | ) |   |   | 1981 |   |   | 02/12/03 |   |   |
| Chelsea Place                  | FL       |   |          | -      |   |                    |   | 2,591  |                       |   |   | 6,491                                             |   |   |   | 1,151  |   |                       | $      | 2,591  |   |   |   | 7,642 |   |   |   | 10,233 |   |   |   | (1,306 | ) |   |   | 1992 |   |   | 02/12/03 |   |   |
| Chestnut Square                | NC       |   |          | -      |   |                    |   | 1,189  |                       |   |   | 1,326                                             |   |   |   | 3,569  |   |                       | $      | 1,189  |   |   |   | 4,895 |   |   |   | 6,083 |   |   |   | (441 | ) |   |   | 1985 |   |   | 02/12/03 |   |   |
| Commerce Crossing              | GA       |   |          | -      |   |                    |   | 2,013  |                       |   |   | 1,301                                             |   |   |   | 403    |   |                       | $      | 2,013  |   |   |   | 1,704 |   |   |   | 3,717 |   |   |   | (570 | ) |   |   | 1988 |   |   | 02/12/03 |   |   |
| Conway Crossing                | FL       |   |          | -      |   |                    |   | 2,615  |                       |   |   | 5,818                                             |   |   |   | 1,923  |   |                       | $      | 2,615  |   |   |   | 7,741 |   |   |   | 10,356 |   |   |   | (1,330 | ) |   |   | 2002 |   |   | 02/12/03 |   |   |
| Coral Reef Shopping Center     | FL       |   |          | -      |   |                    |   | 16,465 |                       |   |   | 4,376                                             |   |   |   | 431    |   |                       | $      | 16,465 |   |   |   | 4,808 |   |   |   | 21,273 |   |   |   | (432 | ) |   |   | 1968 |   |   | 09/01/06 |   |   |
| Corporate                      | FL       |   |          | -      |   |                    |   | -      |                       |   |   | 146                                               |   |   |   | -      |   |                       | $      | -      |   |   |   | 146 |   |   |   | 146 |   |   |   | (3 | ) |   |   | n/a |   |   |   | n/a |   |   |
| Country Club Plaza             | LA       |   |          | -      |   |                    |   | 1,294  |                       |   |   | 2,060                                             |   |   |   | 16     |   |                       | $      | 1,294  |   |   |   | 2,076 |   |   |   | 3,369 |   |   |   | (365 | ) |   |   | 1982 |   |   | 02/12/03 |   |   |
| Countryside Shops              | FL       |   |          | -      |   |                    |   | 11,343 |                       |   |   | 13,853                                            |   |   |   | 3,085  |   |                       | $      | 11,343 |   |   |   | 16,938 |   |   |   | 28,281 |   |   |   | (2,919 | ) |   |   | 1986 |   |   | 02/12/03 |   |   |
| Crossroads Square              | FL       |   |          | -      |   |                    |   | 3,592  |                       |   |   | 4,401                                             |   |   |   | 5,774  |   |                       | $      | 3,592  |   |   |   | 10,175 |   |   |   | 13,767 |   |   |   | (1,859 | ) |   |   | 1973 |   |   | 08/15/00 |   |   |
| Cutler Ridge                   | FL       |   |          | -      |   |                    |   | 1,064  |                       |   |   | 326                                               |   |   |   | -      |   |                       | $      | 1,064  |   |   |   | 326 |   |   |   | 1,390 |   |   |   | (33 | ) |   |   | 1972 |   |   | 09/14/06 |   |   |
| CVS Plaza                      | FL       |   |          | -      |   |                    |   | 657    |                       |   |   | 2,803                                             |   |   |   | 1,314  |   |                       | $      | 657    |   |   |   | 4,117 |   |   |   | 4,774 |   |   |   | (588 | ) |   |   | 2004 |   |   | 07/23/99 |   |   |
| Daniel Village                 | GA       |   |          | 3,533  |   |                    |   | 3,439  |                       |   |   | 8,352                                             |   |   |   | 102    |   |                       | $      | 3,439  |   |   |   | 8,454 |   |   |   | 11,893 |   |   |   | (1,466 | ) |   |   | 1956 |   |   | 02/12/03 |   |   |
| Dolphin Village                | FL       |   |          | -      |   |                    |   | 17,607 |                       |   |   | 10,098                                            |   |   |   | 242    |   |                       | $      | 17,607 |   |   |   | 10,340 |   |   |   | 27,947 |   |   |   | (1,305 | ) |   |   | 1967 |   |   | 01/04/06 |   |   |
| Douglas Commons                | GA       |   |          | 4,209  |   |                    |   | 3,681  |                       |   |   | 7,588                                             |   |   |   | 147    |   |                       | $      | 3,681  |   |   |   | 7,735 |   |   |   | 11,416 |   |   |   | (1,348 | ) |   |   | 1988 |   |   | 02/12/03 |   |   |
| Dublin Village                 | GA       |   |          | 6,787  |   |                    |   | 2,573  |                       |   |   | 6,774                                             |   |   |   | -      |   |                       | $      | 2,573  |   |   |   | 6,774 |   |   |   | 9,347 |   |   |   | (187 | ) |   |   | 2005 |   |   | 01/14/09 |   |   |
| El Novillo                     | FL       |   |          | -      |   |                    |   | 250    |                       |   |   | 1,000                                             |   |   |   | 151    |   |                       | $      | 250    |   |   |   | 1,151 |   |   |   | 1,401 |   |   |   | (443 | ) |   |   | 1970 |   |   | 04/30/98 |   |   |
| Elmwood Oaks                   | LA       |   |          | -      |   |                    |   | 4,088  |                       |   |   | 8,221                                             |   |   |   | 627    |   |                       | $      | 4,088  |   |   |   | 8,848 |   |   |   | 12,936 |   |   |   | (1,652 | ) |   |   | 1989 |   |   | 02/12/03 |   |   |
| Eustis Village                 | FL       |   |          | 13,313 |   |                    |   | 6,842  |                       |   |   | 13,072                                            |   |   |   | -      |   |                       | $      | 6,842  |   |   |   | 13,073 |   |   |   | 19,914 |   |   |   | (382 | ) |   |   | 2002 |   |   | 01/14/09 |   |   |
| Fairview Oaks                  | GA       |   |          | 3,984  |   |                    |   | 1,929  |                       |   |   | 6,187                                             |   |   |   | 1,604  |   |                       | $      | 1,929  |   |   |   | 7,791 |   |   |   | 9,720 |   |   |   | (1,328 | ) |   |   | 1997 |   |   | 02/12/03 |   |   |
| Forest Village                 | FL       |   |          | 4,140  |   |                    |   | 3,397  |                       |   |   | 3,206                                             |   |   |   | 2,343  |   |                       | $      | 3,397  |   |   |   | 5,549 |   |   |   | 8,946 |   |   |   | (1,316 | ) |   |   | 2000 |   |   | 01/28/99 |   |   |
| Freehome Village               | GA       |   |          | 9,889  |   |                    |   | 5,224  |                       |   |   | 7,032                                             |   |   |   | -      |   |                       | $      | 5,224  |   |   |   | 7,032 |   |   |   | 12,256 |   |   |   | (198 | ) |   |   | 2003 |   |   | 01/14/09 |   |   |
| Ft. Caroline                   | FL       |   |          | -      |   |                    |   | 701    |                       |   |   | 2,800                                             |   |   |   | 755    |   |                       | $      | 700    |   |   |   | 3,555 |   |   |   | 4,256 |   |   |   | (1,349 | ) |   |   | 1985 |   |   | 01/24/94 |   |   |
| Galleria                       | NC       |   |          | -      |   |                    |   | 1,493  |                       |   |   | 3,875                                             |   |   |   | 898    |   |                       | $      | 1,493  |   |   |   | 4,773 |   |   |   | 6,265 |   |   |   | (794 | ) |   |   | 1986 |   |   | 02/12/03 |   |   |
| Glengary Shoppes               | FL       |   |          | 16,801 |   |                    |   | 7,488  |                       |   |   | 13,969                                            |   |   |   | 300    |   |                       | $      | 7,488  |   |   |   | 14,269 |   |   |   | 21,758 |   |   |   | (437 | ) |   |   | 1995 |   |   | 01/14/09 |   |   |
| Golden Park Village            | GA       |   |          | 7,341  |   |                    |   | 3,423  |                       |   |   | 6,968                                             |   |   |   | -      |   |                       | $      | 3,423  |   |   |   | 6,969 |   |   |   | 10,391 |   |   |   | (194 | ) |   |   | 2000 |   |   | 01/14/09 |   |   |
| Governors Town Square          | GA       |   |          | 10,407 |   |                    |   | 4,554  |                       |   |   | 9,595                                             |   |   |   | -      |   |                       | $      | 4,554  |   |   |   | 9,594 |   |   |   | 14,148 |   |   |   | (273 | ) |   |   | 2005 |   |   | 01/14/09 |   |   |
| Grand Marche                   | LA       |   |          | -      |   |                    |   | 304    |                       |   |   | 0                                                 |   |   |   | -      |   |                       | $      | 304    |   |   |   | - |   |   |   | 304 |   |   |   | - |   |   |   | 1969 |   |   | 02/12/03 |   |   |
| Grassland Crossing             | GA       |   |          | 4,825  |   |                    |   | 3,656  |                       |   |   | 7,885                                             |   |   |   | 534    |   |                       | $      | 3,656  |   |   |   | 8,419 |   |   |   | 12,075 |   |   |   | (1,436 | ) |   |   | 1996 |   |   | 02/12/03 |   |   |
| Grayson Village Shopping Ctr   | GA       |   |          | 9,820  |   |                    |   | 3,658  |                       |   |   | 7,640                                             |   |   |   | -      |   |                       | $      | 3,658  |   |   |   | 7,640 |   |   |   | 11,298 |   |   |   | (212 | ) |   |   | 2002 |   |   | 01/14/09 |   |   |
| Greensboro Village Shopping Ct | TN       |   |          | 9,803  |   |                    |   | 2,682  |                       |   |   | 9,397                                             |   |   |   | 15     |   |                       | $      | 2,682  |   |   |   | 9,412 |   |   |   | 12,094 |   |   |   | (274 | ) |   |   | 2005 |   |   | 01/14/09 |   |   |
| Greenwood                      | FL       |   |          | -      |   |                    |   | 4,117  |                       |   |   | 10,295                                            |   |   |   | 2,790  |   |                       | $      | 4,117  |   |   |   | 13,085 |   |   |   | 17,202 |   |   |   | (2,255 | ) |   |   | 1982 |   |   | 02/12/03 |   |   |
| Hairston Center                | GA       |   |          | -      |   |                    |   | 1,644  |                       |   |   | 642                                               |   |   |   | 1      |   |                       | $      | 1,644  |   |   |   | 643 |   |   |   | 2,287 |   |   |   | (71 | ) |   |   | 2000 |   |   | 08/25/05 |   |   |
| Hamilton Ridge                 | GA       |   |          | -      |   |                    |   | 5,612  |                       |   |   | 7,167                                             |   |   |   | 1,470  |   |                       | $      | 5,612  |   |   |   | 8,637 |   |   |   | 14,249 |   |   |   | (1,617 | ) |   |   | 2002 |   |   | 12/18/03 |   |   |
| Hammocks Town Center           | FL       |   |          | 11,833 |   |                    |   | 16,856 |                       |   |   | 11,392                                            |   |   |   | 479    |   |                       | $      | 16,856 |   |   |   | 11,871 |   |   |   | 28,727 |   |   |   | (352 | ) |   |   | 1987 |   |   | 01/14/09 |   |   |
| Hampton Oaks                   | GA       |   |          | -      |   |                    |   | 835    |                       |   |   | 0                                                 |   |   |   | 6,143  |   |                       | $      | 1,929  |   |   |   | 5,050 |   |   |   | 6,979 |   |   |   | (11 | ) |   |   | n/a |   |   | 11/30/06 |   |   |
| Homestead Gas Station          | FL       |   |          | -      |   |                    |   | 1,170  |                       |   |   | -                                                 |   |   |   | 98     |   |                       | $      | 1,170  |   |   |   | 98 |   |   |   | 1,268 |   |   |   | (2 | ) |   |   | 1959 |   |   | 11/08/04 |   |   |
| Hunters Creek                  | FL       |   |          | -      |   |                    |   | 1,562  |                       |   |   | 5,445                                             |   |   |   | 2,283  |   |                       | $      | 1,562  |   |   |   | 7,728 |   |   |   | 9,290 |   |   |   | (1,367 | ) |   |   | 1998 |   |   | 09/23/03 |   |   |
| Keith Bridge Commons           | GA       |   |          | 8,753  |   |                    |   | 6,278  |                       |   |   | 10,165                                            |   |   |   | 37     |   |                       | $      | 6,278  |   |   |   | 10,202 |   |   |   | 16,480 |   |   |   | (293 | ) |   |   | 2002 |   |   | 01/14/09 |   |   |

----

Table of Contents

|                          |     |   |          |   |   | INITIAL COST TO COMPANY |   |   |  Capitalized          |   |   | GROSS AMOUNTS AT WHICH CARRIED AT CLOSE OF PERIOD |   |   |   |   |   |                       |   |   |   |   |
|-------------------------------|----------|--------|---------------|--------|--------|-------------------------|--------|--------|----------------------------|--------|--------|---------------------------------------------------|--------|--------|--------|--------|--------|----------------------------|--------|--------|--------|--------|
| Property                      | Location |   | Encum-brances |   |   | Land                    |   |   | Building &Improvements |   |   | Subsequent toAcquisition orImprovements           |   |   | Land   |   |   | Building &Improvements |   |   | Total  |   |   | AccumulatedDepreciation |   |   | Date ofConstruction |   | DateAcquired |   |   |
|                          |     |   |          |   |   |                    |   |   |                       |   |   |                                              |   |   |   |   |   |                       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Kirkman Shoppes               | FL       |   |          | 8,934  |   |                    |   | 3,222  |                       |   |   | 9,714                                             |   |   |   | 372    |   |                       | $      | 3,222  |   |   |   | 10,086 |   |   |   | 13,309 |   |   |   | (2,861 | ) |   |   | 1973 |   | 08/15/00 |   |   |
| Lago Mar                      | FL       |   |          | -      |   |                    |   | 4,216  |                       |   |   | 6,609                                             |   |   |   | 1,118  |   |                       | $      | 4,216  |   |   |   | 7,727 |   |   |   | 11,943 |   |   |   | (1,322 | ) |   |   | 1995 |   | 02/12/03 |   |   |
| Lake Mary                     | FL       |   |          | 22,712 |   |                    |   | 7,092  |                       |   |   | 13,878                                            |   |   |   | 7,790  |   |                       | $      | 7,092  |   |   |   | 21,668 |   |   |   | 28,759 |   |   |   | (6,573 | ) |   |   | 1988 |   | 11/09/95 |   |   |
| Lake St. Charles              | FL       |   |          | 3,580  |   |                    |   | 1,497  |                       |   |   | 3,768                                             |   |   |   | 15     |   |                       | $      | 1,497  |   |   |   | 3,783 |   |   |   | 5,279 |   |   |   | (795 | ) |   |   | 1999 |   | 09/21/01 |   |   |
| Lancaster Plaza               | SC       |   |          | -      |   |                    |   | 317    |                       |   |   | 153                                               |   |   |   | 1,495  |   |                       | $      | 317    |   |   |   | 1,648 |   |   |   | 1,966 |   |   |   | (57 | ) |   |   | 1971 |   | 02/12/03 |   |   |
| Lancaster Shopping Center     | SC       |   |          | -      |   |                    |   | 280    |                       |   |   | 120                                               |   |   |   | 8      |   |                       | $      | 280    |   |   |   | 128 |   |   |   | 408 |   |   |   | (25 | ) |   |   | 1963 |   | 02/12/03 |   |   |
| Lantana Village               | FL       |   |          | -      |   |                    |   | 1,350  |                       |   |   | 7,978                                             |   |   |   | 915    |   |                       | $      | 1,350  |   |   |   | 8,893 |   |   |   | 10,243 |   |   |   | (2,525 | ) |   |   | 1976 |   | 01/06/98 |   |   |
| Laurel Walk Apartments        | NC       |   |          | -      |   |                    |   | 2,065  |                       |   |   | 4,491                                             |   |   |   | 5      |   |                       | $      | 2,065  |   |   |   | 4,496 |   |   |   | 6,560 |   |   |   | (459 | ) |   |   | 1985 |   | 10/31/05 |   |   |
| Loganville Town Center        | GA       |   |          | 10,090 |   |                    |   | 3,442  |                       |   |   | 8,800                                             |   |   |   | -      |   |                       | $      | 3,442  |   |   |   | 8,800 |   |   |   | 12,242 |   |   |   | (243 | ) |   |   | 1997 |   | 01/14/09 |   |   |
| Lutz Lake                     | FL       |   |          | 7,328  |   |                    |   | 3,619  |                       |   |   | 5,199                                             |   |   |   | 1,155  |   |                       | $      | 3,619  |   |   |   | 6,354 |   |   |   | 9,974 |   |   |   | (1,103 | ) |   |   | 2002 |   | 02/12/03 |   |   |
| Mableton Crossing             | GA       |   |          | 3,478  |   |                    |   | 3,331  |                       |   |   | 6,403                                             |   |   |   | 266    |   |                       | $      | 3,331  |   |   |   | 6,669 |   |   |   | 10,001 |   |   |   | (1,167 | ) |   |   | 1997 |   | 02/12/03 |   |   |
| Macland Pointe                | GA       |   |          | 5,408  |   |                    |   | 3,462  |                       |   |   | 4,814                                             |   |   |   | 70     |   |                       | $      | 3,462  |   |   |   | 4,884 |   |   |   | 8,346 |   |   |   | (866 | ) |   |   | 1992 |   | 02/12/03 |   |   |
| Madison Centre                | AL       |   |          | 3,232  |   |                    |   | 1,424  |                       |   |   | 5,187                                             |   |   |   | 59     |   |                       | $      | 1,424  |   |   |   | 5,246 |   |   |   | 6,669 |   |   |   | (1,348 | ) |   |   | 1997 |   | 02/12/03 |   |   |
| Magnolia Shoppes              | FL       |   |          | 14,467 |   |                    |   | 7,176  |                       |   |   | 10,886                                            |   |   |   | 182    |   |                       | $      | 7,176  |   |   |   | 11,068 |   |   |   | 18,244 |   |   |   | (322 | ) |   |   | 1998 |   | 01/14/09 |   |   |
| Mandarin Landing              | FL       |   |          | -      |   |                    |   | 4,443  |                       |   |   | 4,747                                             |   |   |   | 9,548  |   |                       | $      | 4,443  |   |   |   | 14,295 |   |   |   | 18,739 |   |   |   | (2,236 | ) |   |   | 1976 |   | 12/10/99 |   |   |
| Mandarin Mini                 | FL       |   |          | -      |   |                    |   | 362    |                       |   |   | 1,148                                             |   |   |   | 318    |   |                       | $      | 362    |   |   |   | 1,466 |   |   |   | 1,828 |   |   |   | (575 | ) |   |   | 1982 |   | 05/10/94 |   |   |
| Marco Town Center             | FL       |   |          | 7,629  |   |                    |   | 3,872  |                       |   |   | 11,966                                            |   |   |   | 739    |   |                       | $      | 3,872  |   |   |   | 12,705 |   |   |   | 16,578 |   |   |   | (3,187 | ) |   |   | 2001 |   | 08/15/00 |   |   |
| Mariners Crossing             | FL       |   |          | -      |   |                    |   | 1,262  |                       |   |   | 4,447                                             |   |   |   | 2,735  |   |                       | $      | 1,511  |   |   |   | 6,933 |   |   |   | 8,444 |   |   |   | (1,250 | ) |   |   | 1989 |   | 09/12/00 |   |   |
| Market Place                  | GA       |   |          | -      |   |                    |   | 1,667  |                       |   |   | 4,078                                             |   |   |   | 141    |   |                       | $      | 1,667  |   |   |   | 4,219 |   |   |   | 5,886 |   |   |   | (729 | ) |   |   | 1976 |   | 02/12/03 |   |   |
| McAlphin Square               | GA       |   |          | -      |   |                    |   | 3,536  |                       |   |   | 6,963                                             |   |   |   | 394    |   |                       | $      | 3,536  |   |   |   | 7,357 |   |   |   | 10,893 |   |   |   | (1,485 | ) |   |   | 1979 |   | 02/12/03 |   |   |
| Meadows                       | FL       |   |          | 5,664  |   |                    |   | 2,304  |                       |   |   | 6,670                                             |   |   |   | 125    |   |                       | $      | 2,304  |   |   |   | 6,795 |   |   |   | 9,099 |   |   |   | (1,373 | ) |   |   | 1997 |   | 05/23/02 |   |   |
| Medical & Merchants       | FL       |   |          | -      |   |                    |   | 10,323 |                       |   |   | 12,174                                            |   |   |   | 44     |   |                       | $      | 10,323 |   |   |   | 12,217 |   |   |   | 22,540 |   |   |   | (1,892 | ) |   |   | 1993 |   | 05/27/04 |   |   |
| Middle Beach Shopping Center  | FL       |   |          | -      |   |                    |   | 2,195  |                       |   |   | 5,542                                             |   |   |   | 8      |   |                       | $      | 2,195  |   |   |   | 5,550 |   |   |   | 7,745 |   |   |   | (845 | ) |   |   | 1994 |   | 12/23/03 |   |   |
| Midpoint Center               | FL       |   |          | 6,200  |   |                    |   | 5,417  |                       |   |   | 6,705                                             |   |   |   | 2      |   |                       | $      | 5,417  |   |   |   | 6,707 |   |   |   | 12,124 |   |   |   | (553 | ) |   |   | 2002 |   | 12/08/06 |   |   |
| Milestone Plaza               | SC       |   |          | -      |   |                    |   | 9,868  |                       |   |   | 8,711                                             |   |   |   | 36     |   |                       | $      | 9,868  |   |   |   | 8,747 |   |   |   | 18,615 |   |   |   | (737 | ) |   |   | 1995 |   | 08/25/06 |   |   |
| North Village Center          | SC       |   |          | -      |   |                    |   | 2,860  |                       |   |   | 2,774                                             |   |   |   | 25     |   |                       | $      | 2,860  |   |   |   | 2,799 |   |   |   | 5,659 |   |   |   | (836 | ) |   |   | 1984 |   | 02/12/03 |   |   |
| NSB Regional                  | FL       |   |          | -      |   |                    |   | 3,217  |                       |   |   | 8,896                                             |   |   |   | 107    |   |                       | $      | 3,217  |   |   |   | 9,003 |   |   |   | 12,220 |   |   |   | (1,597 | ) |   |   | 1987 |   | 02/12/03 |   |   |
| Oak Hill                      | FL       |   |          | -      |   |                    |   | 690    |                       |   |   | 2,760                                             |   |   |   | 769    |   |                       | $      | 690    |   |   |   | 3,529 |   |   |   | 4,219 |   |   |   | (1,083 | ) |   |   | 1985 |   | 12/07/95 |   |   |
| Oakbrook                      | FL       |   |          | -      |   |                    |   | 7,706  |                       |   |   | 16,079                                            |   |   |   | 3,724  |   |                       | $      | 7,706  |   |   |   | 19,801 |   |   |   | 27,507 |   |   |   | (4,072 | ) |   |   | 1974 |   | 08/15/00 |   |   |
| Oaktree Plaza                 | FL       |   |          | -      |   |                    |   | 1,589  |                       |   |   | 2,275                                             |   |   |   | 206    |   |                       | $      | 1,589  |   |   |   | 2,481 |   |   |   | 4,071 |   |   |   | (242 | ) |   |   | 1985 |   | 10/16/06 |   |   |
| Old Kings Commons             | FL       |   |          | -      |   |                    |   | 1,420  |                       |   |   | 5,005                                             |   |   |   | 391    |   |                       | $      | 1,420  |   |   |   | 5,396 |   |   |   | 6,816 |   |   |   | (945 | ) |   |   | 1988 |   | 02/12/03 |   |   |
| Park Promenade                | FL       |   |          | -      |   |                    |   | 2,670  |                       |   |   | 6,444                                             |   |   |   | 507    |   |                       | $      | 2,670  |   |   |   | 6,951 |   |   |   | 9,621 |   |   |   | (2,378 | ) |   |   | 1987 |   | 01/31/99 |   |   |
| Parkwest Crossing             | NC       |   |          | 4,400  |   |                    |   | 1,788  |                       |   |   | 6,727                                             |   |   |   | 164    |   |                       | $      | 1,788  |   |   |   | 6,891 |   |   |   | 8,679 |   |   |   | (1,247 | ) |   |   | 1990 |   | 02/12/03 |   |   |
| Paulding Commons              | GA       |   |          | 5,487  |   |                    |   | 3,848  |                       |   |   | 11,985                                            |   |   |   | 107    |   |                       | $      | 3,848  |   |   |   | 12,092 |   |   |   | 15,940 |   |   |   | (2,119 | ) |   |   | 1991 |   | 02/12/03 |   |   |
| Pavilion                      | FL       |   |          | -      |   |                    |   | 10,827 |                       |   |   | 11,299                                            |   |   |   | 2,749  |   |                       | $      | 10,827 |   |   |   | 14,048 |   |   |   | 24,875 |   |   |   | (2,330 | ) |   |   | 1982 |   | 02/04/04 |   |   |
| Piedmont Peachtree Crossing   | GA       |   |          | -      |   |                    |   | 34,338 |                       |   |   | 17,992                                            |   |   |   | 639    |   |                       | $      | 34,338 |   |   |   | 18,631 |   |   |   | 52,969 |   |   |   | (2,102 | ) |   |   | 1978 |   | 03/06/06 |   |   |
| Pine Island                   | FL       |   |          | -      |   |                    |   | 8,557  |                       |   |   | 12,860                                            |   |   |   | 246    |   |                       | $      | 8,557  |   |   |   | 13,106 |   |   |   | 21,663 |   |   |   | (3,473 | ) |   |   | 1983 |   | 08/26/99 |   |   |
| Pine Ridge Square             | FL       |   |          | 6,762  |   |                    |   | 6,528  |                       |   |   | 9,850                                             |   |   |   | 2,521  |   |                       | $      | 6,528  |   |   |   | 12,371 |   |   |   | 18,898 |   |   |   | (2,195 | ) |   |   | 1986 |   | 02/12/03 |   |   |
| Plaza Acadienne               | LA       |   |          | -      |   |                    |   | 2,108  |                       |   |   | 168                                               |   |   |   | 43     |   |                       | $      | 2,108  |   |   |   | 211 |   |   |   | 2,320 |   |   |   | (38 | ) |   |   | 1980 |   | 02/12/03 |   |   |
| Plaza Alegre                  | FL       |   |          | -      |   |                    |   | 2,011  |                       |   |   | 9,191                                             |   |   |   | 396    |   |                       | $      | 2,011  |   |   |   | 9,587 |   |   |   | 11,598 |   |   |   | (2,514 | ) |   |   | 2003 |   | 02/26/02 |   |   |
| Point Royale                  | FL       |   |          | 2,698  |   |                    |   | 3,720  |                       |   |   | 5,005                                             |   |   |   | 1,825  |   |                       | $      | 3,720  |   |   |   | 6,830 |   |   |   | 10,550 |   |   |   | (2,384 | ) |   |   | 1970 |   | 07/27/95 |   |   |
| Powers Ferry Plaza            | GA       |   |          | -      |   |                    |   | 3,236  |                       |   |   | 5,227                                             |   |   |   | 520    |   |                       | $      | 3,236  |   |   |   | 5,747 |   |   |   | 8,983 |   |   |   | (1,216 | ) |   |   | 1979 |   | 02/12/03 |   |   |
| Prosperity Centre             | FL       |   |          | -      |   |                    |   | 4,597  |                       |   |   | 13,838                                            |   |   |   | 769    |   |                       | $      | 4,597  |   |   |   | 14,607 |   |   |   | 19,204 |   |   |   | (3,643 | ) |   |   | 1993 |   | 08/15/00 |   |   |
| Providence Square             | NC       |   |          | -      |   |                    |   | 1,112  |                       |   |   | 2,575                                             |   |   |   | 705    |   |                       | $      | 1,112  |   |   |   | 3,280 |   |   |   | 4,392 |   |   |   | (610 | ) |   |   | 1973 |   | 02/12/03 |   |   |
| Quincy Star Market            | MA       |   |          | -      |   |                    |   | 6,121  |                       |   |   | 18,444                                            |   |   |   | -      |   |                       | $      | 6,121  |   |   |   | 18,444 |   |   |   | 24,566 |   |   |   | (2,604 | ) |   |   | 1965 |   | 10/07/04 |   |   |
| Regency Crossing              | FL       |   |          | -      |   |                    |   | 1,982  |                       |   |   | 6,524                                             |   |   |   | 100    |   |                       | $      | 1,982  |   |   |   | 6,624 |   |   |   | 8,606 |   |   |   | (1,168 | ) |   |   | 1986 |   | 02/12/03 |   |   |
| Ridge Plaza                   | FL       |   |          | -      |   |                    |   | 3,905  |                       |   |   | 7,450                                             |   |   |   | 1,541  |   |                       | $      | 3,905  |   |   |   | 8,991 |   |   |   | 12,897 |   |   |   | (2,427 | ) |   |   | 1984 |   | 08/15/00 |   |   |
| River Green (land)            | GA       |   |          | -      |   |                    |   | 2,587  |                       |   |   | -                                                 |   |   |   | 805    |   |                       | $      | 2,587  |   |   |   | 805 |   |   |   | 3,392 |   |   |   | - |   |   |   | n/a |   | 09/27/05 |   |   |
| Riverside Square              | FL       |   |          | 6,892  |   |                    |   | 6,423  |                       |   |   | 8,260                                             |   |   |   | 1,013  |   |                       | $      | 6,423  |   |   |   | 9,273 |   |   |   | 15,696 |   |   |   | (1,730 | ) |   |   | 1987 |   | 02/12/03 |   |   |
| Riverview Shopping Center     | NC       |   |          | -      |   |                    |   | 2,202  |                       |   |   | 4,745                                             |   |   |   | 1,909  |   |                       | $      | 2,202  |   |   |   | 6,654 |   |   |   | 8,857 |   |   |   | (1,020 | ) |   |   | 1973 |   | 02/12/03 |   |   |
| Ross Plaza                    | FL       |   |          | 6,231  |   |                    |   | 2,115  |                       |   |   | 6,346                                             |   |   |   | 597    |   |                       | $      | 2,115  |   |   |   | 6,943 |   |   |   | 9,059 |   |   |   | (1,941 | ) |   |   | 1984 |   | 08/15/00 |   |   |
| Ryanwood Square               | FL       |   |          | -      |   |                    |   | 2,281  |                       |   |   | 6,880                                             |   |   |   | 734    |   |                       | $      | 2,281  |   |   |   | 7,614 |   |   |   | 9,896 |   |   |   | (1,547 | ) |   |   | 1987 |   | 08/15/00 |   |   |
| Salem Road Station            | GA       |   |          | 5,846  |   |                    |   | 3,180  |                       |   |   | 5,982                                             |   |   |   | 23     |   |                       | $      | 3,180  |   |   |   | 6,004 |   |   |   | 9,184 |   |   |   | (170 | ) |   |   | 2000 |   | 01/14/09 |   |   |
| Salerno Village Square        | FL       |   |          | -      |   |                    |   | 2,291  |                       |   |   | 1,511                                             |   |   |   | 5,244  |   |                       | $      | 2,291  |   |   |   | 6,755 |   |   |   | 9,047 |   |   |   | (1,028 | ) |   |   | 1987 |   | 05/06/02 |   |   |
| Salisbury Marketplace         | NC       |   |          | -      |   |                    |   | 3,118  |                       |   |   | 5,099                                             |   |   |   | 356    |   |                       | $      | 3,118  |   |   |   | 5,455 |   |   |   | 8,573 |   |   |   | (973 | ) |   |   | 1987 |   | 02/12/03 |   |   |
| Sawgrass Promenade            | FL       |   |          | 7,653  |   |                    |   | 3,280  |                       |   |   | 9,351                                             |   |   |   | 975    |   |                       | $      | 3,280  |   |   |   | 10,326 |   |   |   | 13,606 |   |   |   | (3,045 | ) |   |   | 1982 |   | 08/15/00 |   |   |
| Seven Hills                   | FL       |   |          | -      |   |                    |   | 2,167  |                       |   |   | 5,167                                             |   |   |   | 617    |   |                       | $      | 2,167  |   |   |   | 5,784 |   |   |   | 7,951 |   |   |   | (894 | ) |   |   | 1991 |   | 02/12/03 |   |   |
| Shaw's @ Medford              | MA       |   |          | -      |   |                    |   | 7,750  |                       |   |   | 11,390                                            |   |   |   | -      |   |                       | $      | 7,750  |   |   |   | 11,390 |   |   |   | 19,140 |   |   |   | (1,601 | ) |   |   | 1995 |   | 10/07/04 |   |   |
| Shaw's @ Plymouth             | MA       |   |          | -      |   |                    |   | 4,917  |                       |   |   | 12,199                                            |   |   |   | -      |   |                       | $      | 4,917  |   |   |   | 12,199 |   |   |   | 17,115 |   |   |   | (1,713 | ) |   |   | 1993 |   | 10/07/04 |   |   |
| Sheridan                      | FL       |   |          | 64,107 |   |                    |   | 38,888 |                       |   |   | 36,241                                            |   |   |   | 5,282  |   |                       | $      | 38,888 |   |   |   | 41,523 |   |   |   | 80,410 |   |   |   | (6,755 | ) |   |   | 1973 |   | 07/14/03 |   |   |
| Sherwood South                | LA       |   |          | -      |   |                    |   | 746    |                       |   |   | 2,412                                             |   |   |   | 1,017  |   |                       | $      | 746    |   |   |   | 3,429 |   |   |   | 4,175 |   |   |   | (832 | ) |   |   | 1972 |   | 02/12/03 |   |   |
| Shipyard Plaza                | MS       |   |          | -      |   |                    |   | 1,337  |                       |   |   | 1,653                                             |   |   |   | 440    |   |                       | $      | 1,337  |   |   |   | 2,093 |   |   |   | 3,430 |   |   |   | (462 | ) |   |   | 1987 |   | 02/12/03 |   |   |
| Shoppes at Andros Isle        | FL       |   |          | -      |   |                    |   | 6,009  |                       |   |   | 7,832                                             |   |   |   | 69     |   |                       | $      | 6,009  |   |   |   | 7,901 |   |   |   | 13,910 |   |   |   | (668 | ) |   |   | 2000 |   | 12/08/06 |   |   |
| Shoppes at Silverlakes        | FL       |   |          | 1,648  |   |                    |   | 10,306 |                       |   |   | 10,131                                            |   |   |   | 1,877  |   |                       | $      | 10,306 |   |   |   | 12,008 |   |   |   | 22,314 |   |   |   | (2,098 | ) |   |   | 1995 |   | 02/12/03 |   |   |
| Shoppes of Eastwood           | FL       |   |          | 5,390  |   |                    |   | 1,688  |                       |   |   | 6,976                                             |   |   |   | 76     |   |                       | $      | 1,688  |   |   |   | 7,052 |   |   |   | 8,740 |   |   |   | (1,377 | ) |   |   | 1999 |   | 06/28/02 |   |   |
| Shoppes of Jonathan's Landing | FL       |   |          | -      |   |                    |   | 1,146  |                       |   |   | 3,442                                             |   |   |   | 51     |   |                       | $      | 1,146  |   |   |   | 3,493 |   |   |   | 4,639 |   |   |   | (869 | ) |   |   | 1997 |   | 08/15/00 |   |   |
| Shoppes of North Port         | FL       |   |          | -      |   |                    |   | 1,452  |                       |   |   | 5,807                                             |   |   |   | 193    |   |                       | $      | 1,452  |   |   |   | 6,000 |   |   |   | 7,452 |   |   |   | (1,404 | ) |   |   | 1991 |   | 12/05/00 |   |   |
| Shops at Skylake              | FL       |   |          | 11,974 |   |                    |   | 15,226 |                       |   |   | 7,206                                             |   |   |   | 23,743 |   |                       | $      | 15,226 |   |   |   | 30,949 |   |   |   | 46,175 |   |   |   | (5,905 | ) |   |   | 1999 |   | 08/19/97 |   |   |
| Shops of Huntcrest            | GA       |   |          | -      |   |                    |   | 5,706  |                       |   |   | 7,641                                             |   |   |   | 126    |   |                       | $      | 5,706  |   |   |   | 7,767 |   |   |   | 13,473 |   |   |   | (1,395 | ) |   |   | 2003 |   | 02/12/03 |   |   |

----

Table of Contents

|                           |     |   |          |    |   | INITIAL COST TO COMPANY |   |    |  Capitalized          |   |   | GROSS AMOUNTS AT WHICH CARRIED AT CLOSE OF PERIOD |   |   |   |    |   |                       |   |    |   |   |
|--------------------------------|----------|--------|---------------|---------|--------|-------------------------|--------|---------|----------------------------|--------|--------|---------------------------------------------------|--------|--------|--------|---------|--------|----------------------------|--------|---------|--------|--------|
| Property                       | Location |   | Encum-brances |    |   | Land                    |   |    | Building &Improvements |   |   | Subsequent toAcquisition orImprovements           |   |   | Land   |    |   | Building &Improvements |   |    | Total  |   |   | AccumulatedDepreciation |   |   | Date ofConstruction |   | DateAcquired |   |   |
|                           |     |   |          |    |   |                    |   |    |                       |   |   |                                              |   |   |   |    |   |                       |   |    |   |   |   |   |   |   |   |   |   |   |   |
| Siegen Village                 | LA       |   |          | 3,570   |   |                    |   | 4,329   |                       |   |   | 9,691                                             |   |   |   | 41      |   |                       | $      | 4,329   |   |   |   | 9,732 |   |   |   | 14,061 |   |   |   | (2,127 | ) |   |   | 1988 |   | 02/12/03 |   |   |
| Smyth Valley Crossing          | VA       |   |          | -       |   |                    |   | 2,537   |                       |   |   | 3,890                                             |   |   |   | 11      |   |                       | $      | 2,537   |   |   |   | 3,901 |   |   |   | 6,438 |   |   |   | (674 | ) |   |   | 1989 |   | 02/12/03 |   |   |
| South Beach                    | FL       |   |          | -       |   |                    |   | 9,545   |                       |   |   | 19,228                                            |   |   |   | 2,891   |   |                       | $      | 9,545   |   |   |   | 22,119 |   |   |   | 31,664 |   |   |   | (3,993 | ) |   |   | 1990 |   | 02/12/03 |   |   |
| South Plaza Shopping Center    | MD       |   |          | 16,803  |   |                    |   | 4,868   |                       |   |   | 14,527                                            |   |   |   | -       |   |                       | $      | 4,868   |   |   |   | 14,527 |   |   |   | 19,394 |   |   |   | (412 | ) |   |   | 2005 |   | 01/14/09 |   |   |
| South Point                    | FL       |   |          | 7,616   |   |                    |   | 7,142   |                       |   |   | 7,098                                             |   |   |   | 62      |   |                       | $      | 7,142   |   |   |   | 7,160 |   |   |   | 14,302 |   |   |   | (595 | ) |   |   | 2003 |   | 12/08/06 |   |   |
| Spalding Village               | GA       |   |          | 8,261   |   |                    |   | 4,709   |                       |   |   | 4,972                                             |   |   |   | -       |   |                       | $      | 4,709   |   |   |   | 4,972 |   |   |   | 9,681 |   |   |   | (1,222 | ) |   |   | 1989 |   | 02/12/03 |   |   |
| St. Lucie Land                 | FL       |   |          | -       |   |                    |   | 7,728   |                       |   |   | -                                                 |   |   |   | 1,898   |   |                       | $      | 7,728   |   |   |   | 1,898 |   |   |   | 9,625 |   |   |   | - |   |   |   | n/a |   | 11/27/06 |   |   |
| Stanley Market Place           | NC       |   |          | -       |   |                    |   | 396     |                       |   |   | 669                                               |   |   |   | 4,938   |   |                       | $      | 396     |   |   |   | 5,607 |   |   |   | 6,004 |   |   |   | (493 | ) |   |   | 1980 |   | 02/12/03 |   |   |
| Star's @ Cambridge             | MA       |   |          | -       |   |                    |   | 11,358  |                       |   |   | 13,854                                            |   |   |   | -       |   |                       | $      | 11,358  |   |   |   | 13,854 |   |   |   | 25,212 |   |   |   | (1,949 | ) |   |   | 1953 |   | 10/07/04 |   |   |
| Summerlin Square               | FL       |   |          | 1,924   |   |                    |   | 2,187   |                       |   |   | 7,989                                             |   |   |   | 332     |   |                       | $      | 2,187   |   |   |   | 8,321 |   |   |   | 10,508 |   |   |   | (2,473 | ) |   |   | 1986 |   | 06/10/98 |   |   |
| Sun Point                      | FL       |   |          | -       |   |                    |   | 4,025   |                       |   |   | 4,228                                             |   |   |   | 1,750   |   |                       | $      | 4,025   |   |   |   | 5,978 |   |   |   | 10,004 |   |   |   | (774 | ) |   |   | 1984 |   | 05/05/06 |   |   |
| Sunlake-Equity One LLC         | FL       |   |          | -       |   |                    |   | 9,861   |                       |   |   | -                                                 |   |   |   | 30,150  |   |                       | $      | 15,858  |   |   |   | 20,630 |   |   |   | 36,488 |   |   |   | (268 | ) |   |   | n/a |   | 02/01/05 |   |   |
| Sunrise Town Center            | FL       |   |          | 10,298  |   |                    |   | 7,543   |                       |   |   | 7,856                                             |   |   |   | 33      |   |                       | $      | 7,543   |   |   |   | 7,889 |   |   |   | 15,431 |   |   |   | (277 | ) |   |   | 1990 |   | 01/14/09 |   |   |
| Tamarac Town Square            | FL       |   |          | -       |   |                    |   | 4,742   |                       |   |   | 5,610                                             |   |   |   | 581     |   |                       | $      | 4,742   |   |   |   | 6,191 |   |   |   | 10,934 |   |   |   | (1,216 | ) |   |   | 1987 |   | 02/12/03 |   |   |
| Tarpon Heights                 | LA       |   |          | -       |   |                    |   | 1,133   |                       |   |   | 631                                               |   |   |   | 189     |   |                       | $      | 1,133   |   |   |   | 820 |   |   |   | 1,953 |   |   |   | (132 | ) |   |   | 1982 |   | 02/12/03 |   |   |
| TD Bank at Skylake             | FL       |   |          | -       |   |                    |   | 2,041   |                       |   |   | -                                                 |   |   |   | 5       |   |                       | $      | 2,041   |   |   |   | 5 |   |   |   | 2,047 |   |   |   | - |   |   |   | n/a |   | 12/17/09 |   |   |
| The Boulevard                  | LA       |   |          | -       |   |                    |   | 1,360   |                       |   |   | 1,675                                             |   |   |   | 530     |   |                       | $      | 1,360   |   |   |   | 2,205 |   |   |   | 3,566 |   |   |   | (625 | ) |   |   | 1976 |   | 02/12/03 |   |   |
| The Crossing                   | LA       |   |          | -       |   |                    |   | 1,591   |                       |   |   | 3,650                                             |   |   |   | 737     |   |                       | $      | 1,591   |   |   |   | 4,387 |   |   |   | 5,978 |   |   |   | (756 | ) |   |   | 1988 |   | 02/12/03 |   |   |
| The Plaza at St. Lucie West    | FL       |   |          | -       |   |                    |   | 790     |                       |   |   | 3,082                                             |   |   |   | 1,000   |   |                       | $      | 790     |   |   |   | 4,082 |   |   |   | 4,873 |   |   |   | (421 | ) |   |   | n/a |   | 08/15/00 |   |   |
| The Shops at Lake Tuscaloosa   | AL       |   |          | 7,139   |   |                    |   | 2,438   |                       |   |   | 8,888                                             |   |   |   | 7       |   |                       | $      | 2,438   |   |   |   | 8,895 |   |   |   | 11,333 |   |   |   | (237 | ) |   |   | 2003 |   | 01/14/09 |   |   |
| The Vineyards at Chateau Elan  | GA       |   |          | 9,833   |   |                    |   | 3,493   |                       |   |   | 10,553                                            |   |   |   | 10      |   |                       | $      | 3,493   |   |   |   | 10,563 |   |   |   | 14,056 |   |   |   | (303 | ) |   |   | 2002 |   | 01/14/09 |   |   |
| Thomasville Commons            | NC       |   |          | -       |   |                    |   | 1,212   |                       |   |   | 4,567                                             |   |   |   | 1,777   |   |                       | $      | 1,212   |   |   |   | 6,344 |   |   |   | 7,556 |   |   |   | (1,057 | ) |   |   | 1991 |   | 02/12/03 |   |   |
| Town & Country             | FL       |   |          | -       |   |                    |   | 2,503   |                       |   |   | 4,397                                             |   |   |   | 436     |   |                       | $      | 2,503   |   |   |   | 4,833 |   |   |   | 7,336 |   |   |   | (865 | ) |   |   | 1993 |   | 02/12/03 |   |   |
| Treasure Coast Plaza           | FL       |   |          | 2,797   |   |                    |   | 1,359   |                       |   |   | 9,728                                             |   |   |   | 2,128   |   |                       | $      | 1,359   |   |   |   | 11,856 |   |   |   | 13,215 |   |   |   | (1,972 | ) |   |   | 1983 |   | 02/12/03 |   |   |
| Unigold                        | FL       |   |          | -       |   |                    |   | 4,304   |                       |   |   | 6,413                                             |   |   |   | 1,457   |   |                       | $      | 4,304   |   |   |   | 7,870 |   |   |   | 12,174 |   |   |   | (1,572 | ) |   |   | 1987 |   | 02/12/03 |   |   |
| Union City Commons (land)      | GA       |   |          | -       |   |                    |   | 8,084   |                       |   |   | -                                                 |   |   |   | 821     |   |                       | $      | 8,084   |   |   |   | 821 |   |   |   | 8,905 |   |   |   | - |   |   |   | n/a |   | 06/22/06 |   |   |
| Venice Plaza                   | FL       |   |          | -       |   |                    |   | 2,755   |                       |   |   | 450                                               |   |   |   | 3,315   |   |                       | $      | 2,755   |   |   |   | 3,765 |   |   |   | 6,520 |   |   |   | (1,059 | ) |   |   | 1971 |   | 02/12/03 |   |   |
| Venice Shopping Center         | FL       |   |          | -       |   |                    |   | 3,857   |                       |   |   | 2,562                                             |   |   |   | 127     |   |                       | $      | 3,857   |   |   |   | 2,689 |   |   |   | 6,546 |   |   |   | (442 | ) |   |   | 1968 |   | 03/31/04 |   |   |
| Village at Northshore          | LA       |   |          | -       |   |                    |   | 1,034   |                       |   |   | 10,128                                            |   |   |   | 16      |   |                       | $      | 1,034   |   |   |   | 10,144 |   |   |   | 11,178 |   |   |   | (1,773 | ) |   |   | 1988 |   | 02/12/03 |   |   |
| Walden Woods                   | FL       |   |          | -       |   |                    |   | 950     |                       |   |   | 3,780                                             |   |   |   | 1,390   |   |                       | $      | 950     |   |   |   | 5,170 |   |   |   | 6,120 |   |   |   | (2,231 | ) |   |   | 1985 |   | 01/01/99 |   |   |
| Walton Plaza                   | GA       |   |          | -       |   |                    |   | 869     |                       |   |   | 2,827                                             |   |   |   | 65      |   |                       | $      | 869     |   |   |   | 2,892 |   |   |   | 3,761 |   |   |   | (501 | ) |   |   | 1990 |   | 02/12/03 |   |   |
| Waterstone                     | FL       |   |          | -       |   |                    |   | 1,422   |                       |   |   | 7,508                                             |   |   |   | 406     |   |                       | $      | 1,422   |   |   |   | 7,914 |   |   |   | 9,336 |   |   |   | (905 | ) |   |   | 2005 |   | 04/10/92 |   |   |
| Webster Plaza                  | MA       |   |          | 7,659   |   |                    |   | 5,033   |                       |   |   | 14,465                                            |   |   |   | 1,067   |   |                       | $      | 5,033   |   |   |   | 15,529 |   |   |   | 20,562 |   |   |   | (1,391 | ) |   |   | 1963 |   | 10/12/06 |   |   |
| Wesley Chapel Crossing         | GA       |   |          | 2,818   |   |                    |   | 6,389   |                       |   |   | 4,311                                             |   |   |   | 2,574   |   |                       | $      | 6,389   |   |   |   | 6,885 |   |   |   | 13,273 |   |   |   | (997 | ) |   |   | 1989 |   | 02/12/03 |   |   |
| West Lakes Plaza               | FL       |   |          | -       |   |                    |   | 2,141   |                       |   |   | 5,789                                             |   |   |   | 413     |   |                       | $      | 2,141   |   |   |   | 6,202 |   |   |   | 8,343 |   |   |   | (2,137 | ) |   |   | 1984 |   | 11/06/96 |   |   |
| West Roxbury Shaw's Plaza      | MA       |   |          | -       |   |                    |   | 9,207   |                       |   |   | 13,588                                            |   |   |   | 1,538   |   |                       | $      | 9,207   |   |   |   | 15,126 |   |   |   | 24,332 |   |   |   | (2,069 | ) |   |   | 1973 |   | 10/07/04 |   |   |
| Westbury Land                  | NY       |   |          | -       |   |                    |   | 27,481  |                       |   |   | 3,537                                             |   |   |   | 364     |   |                       | $      | 27,481  |   |   |   | 3,901 |   |   |   | 31,383 |   |   |   | (8 | ) |   |   | 1963 |   | 11/16/09 |   |   |
| Westbury Plaza                 | NY       |   |          | -       |   |                    |   | 37,853  |                       |   |   | 58,273                                            |   |   |   | -       |   |                       | $      | 37,853  |   |   |   | 58,273 |   |   |   | 96,126 |   |   |   | (268 | ) |   |   | 1993/2004 |   | 10/29/09 |   |   |
| Westport Outparcels            | FL       |   |          | -       |   |                    |   | 1,347   |                       |   |   | 1,010                                             |   |   |   | -       |   |                       | $      | 1,347   |   |   |   | 1,010 |   |   |   | 2,357 |   |   |   | (88 | ) |   |   | 1990 |   | 09/14/06 |   |   |
| Westport Plaza                 | FL       |   |          | 4,330   |   |                    |   | 4,180   |                       |   |   | 3,446                                             |   |   |   | 194     |   |                       | $      | 4,180   |   |   |   | 3,640 |   |   |   | 7,820 |   |   |   | (506 | ) |   |   | 2002 |   | 12/17/04 |   |   |
| Westridge                      | GA       |   |          | -       |   |                    |   | 1,696   |                       |   |   | 4,390                                             |   |   |   | 1,594   |   |                       | $      | 1,696   |   |   |   | 5,984 |   |   |   | 7,680 |   |   |   | (546 | ) |   |   | 2003 |   | 02/12/03 |   |   |
| Whitaker Square                | NC       |   |          | 9,750   |   |                    |   | 2,017   |                       |   |   | 9,431                                             |   |   |   | -       |   |                       | $      | 2,017   |   |   |   | 9,431 |   |   |   | 11,448 |   |   |   | (261 | ) |   |   | 1996 |   | 01/14/09 |   |   |
| Whole Foods @ Swampscott       | MA       |   |          | -       |   |                    |   | 5,139   |                       |   |   | 6,539                                             |   |   |   | -       |   |                       | $      | 5,139   |   |   |   | 6,539 |   |   |   | 11,677 |   |   |   | (916 | ) |   |   | 1967 |   | 10/07/04 |   |   |
| Williamsburg @ Dunwoody        | GA       |   |          | -       |   |                    |   | 4,347   |                       |   |   | 3,615                                             |   |   |   | 863     |   |                       | $      | 4,347   |   |   |   | 4,478 |   |   |   | 8,825 |   |   |   | (759 | ) |   |   | 1983 |   | 02/12/03 |   |   |
| Willowdale Shopping Center     | NC       |   |          | -       |   |                    |   | 1,322   |                       |   |   | 6,078                                             |   |   |   | 1,023   |   |                       | $      | 1,322   |   |   |   | 7,101 |   |   |   | 8,423 |   |   |   | (1,523 | ) |   |   | 1986 |   | 02/12/03 |   |   |
| Wilmington Island Shopping Ctr | GA       |   |          | 9,560   |   |                    |   | 3,102   |                       |   |   | 10,134                                            |   |   |   | -       |   |                       | $      | 3,102   |   |   |   | 10,134 |   |   |   | 13,236 |   |   |   | (263 | ) |   | 1983/1998 & 2003 |   | 01/14/09 |   |   |
| Winchester Plaza               | AL       |   |          | -       |   |                    |   | 2,109   |                       |   |   | 8,667                                             |   |   |   | 42      |   |                       | $      | 2,109   |   |   |   | 8,709 |   |   |   | 10,817 |   |   |   | (699 | ) |   |   | 2006 |   | 02/28/05 |   |   |
| Windy Hill                     | SC       |   |          | -       |   |                    |   | 987     |                       |   |   | 1,906                                             |   |   |   | 601     |   |                       | $      | 987     |   |   |   | 2,507 |   |   |   | 3,494 |   |   |   | (329 | ) |   |   | 1968 |   | 04/08/04 |   |   |
| Woodruff                       | SC       |   |          | -       |   |                    |   | 2,420   |                       |   |   | 5,482                                             |   |   |   | 368     |   |                       | $      | 2,420   |   |   |   | 5,850 |   |   |   | 8,269 |   |   |   | (1,117 | ) |   |   | 1995 |   | 12/23/03 |   |   |
| Young Circle                   | FL       |   |          | -       |   |                    |   | 13,409  |                       |   |   | 8,895                                             |   |   |   | 218     |   |                       | $      | 13,409  |   |   |   | 9,113 |   |   |   | 22,522 |   |   |   | (1,087 | ) |   |   | 1962 |   | 05/19/05 |   |   |
|                           |     |   |          |    |   |                    |   |    |                       |   |   |                                              |   |   |   |    |   |                       |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                           |     |   |          | 551,647 |   |                    |   | 885,327 |                       |   |   | 1,392,442                                         |   |   |   | 228,055 |   |                       | $      | 892,666 |   |   |   | 1,609,630 |   |   |   | 2,502,296 |   |   |   | (240,172 | ) |   |   |   |   |   |   |   |

| Buildings                                              |   | 30 to 40 years               |
|--------------------------------------------------------|--------|------------------------------|
| Building and Land Improvements                         |   | 5 to 40 years                |
| Fixtures, equipment, leasehold and tenant improvements |   | Lesser of minimum lease term |

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Table of Contents

|                                                |   |               |      |   |               |   |      |               |   |
|-----------------------------------------------------|--------|--------------------|-----------|--------|--------------------|--------|-----------|--------------------|--------|
|                                                |   | Year ended12/31/09 |      |   | Year ended12/31/08 |   |      | Year ended12/31/07 |   |
|                                                |   | (In thousands)     |      |
| Reconciliation of total real estate carrying value: |   |               |      |   |               |   |      |               |   |
| Balance at beginning of year                        |   | $                  | 1,974,884 |   |               | $      | 2,129,890 |               |   | $ | 2,030,947 |   |
| Additions during period:                            |   |               |      |   |               |   |      |               |   |   |   |   |
| Improvements                                        |   |               | 21,224    |   |               |   | 38,850    |               |   |   | 31,258 |   |
| Acquisitions                                        |   |               | 516,934   |   |               |   | -         |               |   |   | 139,446 |   |
|                                                |   |               |      |   |               |   |      |               |   |   |   |   |
| Deductions during period:                           |   |               |      |   |               |   |      |               |   |   |   |   |
| Cost of real estate sold/written off                |   |               | (10,746   | )      |               |   | (193,856  | )                  |   |   | (71,761 | ) |
| Balance at end of year                              |   | $                  | 2,502,296 |   |               | $      | 1,974,884 |               |   | $ | 2,129,890 |   |
|                                                |   |               |      |   |               |   |      |               |   |   |   |   |
| Reconciliation of accumulated depreciation:         |   |               |      |   |               |   |      |               |   |   |   |   |
| Balance at beginning of year                        |   | $                  | (196,151  | )      |               | $      | (172,651  | )                  |   | $ | (144,829 | ) |
| Depreciation expense                                |   |               | (46,616   | )      |               |   | (39,071   | )                  |   |   | (39,921 | ) |
| Cost of real estate sold/written off                |   |               | 2,595     |   |               |   | 15,571    |               |   |   | 12,099 |   |
| Balance at end of year                              |   | $                  | (240,172  | )      |               | $      | (196,151  | )                  |   | $ | (172,651 | ) |
|                                                |   |               |      |   |               |   |      |               |   |   |   |   |
|                                                |   |               |      |   |               |   |      |               |   |   |   |   |
| Aggregate cost for federal income tax purposes      |   | $                  | 1,821,810 |   |               | $      | 1,436,618 |               |   | $ | 1,887,755 |   |
|                                                |   |               |      |   |               |   |      |               |   |   |   |   |

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Table of Contents

|                           |   |                    |   |
|--------------------------------|--------|-------------------------|--------|
|                           |   |                    |   |
|                           |   | Year Ended December 31, |   |
|                           |   | 2009                    |   |   | 2008 |   |   | 2007 |   |
|                           |   | (In thousands)          |   |
| Balance at beginning of period |   | $                       | -      |   |   | $ | - |   |   | $ | 4,700 |   |
| Additions during period:       |   |                    |   |   |   |   |   |   |   |   |   |   |
| New loans                      |   |                    | -      |   |   |   | - |   |   |   | - |   |
| Reductions during period:      |   |                    |   |   |   |   |   |   |   |   |   |   |
| Collection of principal        |   |                    | -      |   |   |   | - |   |   |   | (4,700 | ) |
| Balance at end of period       |   | $                       | -      |   |   | $ | - |   |   | $ | - |   |
|                           |   |                    |   |   |   |   |   |   |   |   |   |   |

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Table of Contents

| EXHIBIT NO. | DESCRIPTION                                                                                                                                                  |
|-------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------|
|        |                                                                                                                                                         |
| 12.1        | Ratio of Earnings to Fixed Charges                                                                                                                           |
| 21.1        | List of Subsidiaries of the Registrant                                                                                                                       |
| 23.1        | Consent of Ernst & Young LLP                                                                                                                             |
| 31.1        | Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002                                                           |
| 31.2        | Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002                                                           |
| 32.1        | Certification of Chief Executive Officer and Chief Financial Officer pursuant to 18 U.S.C. 1350, as created by Section 906 of the Sarbanes-Oxley Act of 2002 |

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