EFTA01389062

18 October 2016 REITs US REIT 3O16 Earnings Preview Shopping Centers: Store closures to hit 30 internal growth, but progress for re-tenanting more important IFigure 53: 1-Month Shopping Center performance Wool Retail a. 911, nm I :14S w ••• • t sestets' eine,se As of 10/14/16 Sarea 0 lint SAL Figure 54:: YTD Shopping Center performance Lod Rs 9 3\ <Pelt &tettrieiotnecit As of 10/14/16 Source 4/.M,. eat sK [Figure 120% I 55: Vacancy up and rents down modestly in 3O , 4% 3% 'Figure 56: 2016 SS NOI growth similar to 1H level 4% "4 1 g 3% •0%1 •1% 2% 4 ow .2% I 1% 20% 1 0% en 00R coy FRT 10MWS) REO RAU RPT AVele. 0 0% . . . . . temenesciswg..?wei,ett Teeth n Erecum Re% —VaCPecert • National vacancy rate was up 10bps q/q to 1O% • Effective rent growth was down relative to last O to 1.9% y/y. Sias Dana Ea. Sae •*MS • 1016 42016 • 2016 SS NOI guidance on average at the midpoint is —3%, implying steady results in 21-I, although additional potential store closures present downside risk. San Paunch* &IS, orrwew ciao Key Shopping Center topics/questions for the quarto: • Development and redevelopment outlook • Anchor and small shop retailer health • Sports Authority releasing, downtime arid capex update • Logans Roadhouse and Golfsmith exposure and store closures • Outlook and thoughts on Staples/Office Depot (SPLS: DB Hold rated, USD7.561ODP: DB Hold rated, USD3.34, both by Mike Baker) New watchlist tenants Deutsche Bank Securities Inc. Page 27 CONFIDENTIAL - PURSUANT TO FED. R. CRIM. P. 6(e) DB-SDNY-0093278 CONFIDENTIAL SDNY_GM_00239462 EFTA01389062