OklahomaOklahoma CityCity

Retail Market Summary Mid-Year 2007 OklahomaOklahoma CityCity Retail Market Summary Mid-Year 2007

CONTENTS Welcome to the Mid-Year 2007 Retail Market Survey prepared by Price Edwards & Company.

Retail Market Summary -3 This survey evaluates the occupancy of 217 retail centers (in excess of 25,000 s.f.) containing approximately 26.5 million square feet. In addition, we will be looking at the overall market including Retail Submarket Map 3 freestanding properties which are not part of a shopping center. We have surveyed 233 buildings containing in excess of 12 million square feet. With these two types of properties combined, we North 4-5 have about 38 million square feet of space available for retail use (excluding strip centers with less than 25,000 s.f.). During the past six months since our last retail market survey, our overall shopping Northwest 6-7 center occupancy has declined slightly. Our vacancy rate is 10.73% which is about one percent higher than it was at the time of the last survey. We have added ten centers to our survey with over South 8-9 one million s.f. of new space. They are all new centers that have been under construction for the past several years. Vacant space in shopping centers remains at about 2.84 million s.f. In addition, Edmond 10-11 there is another 379,000 s.f. of free standing space that is available for occupancy. There continue to be numerous strip centers that are smaller than 25,000 s.f. being built all over the metropolitan area. West-Central 12-13 These strip centers are increasing significantly as more and more developers are building spaces for small retailers. We would estimate that there are easily 2.5 million square feet of these properties Moore-Norman 14-15 in the market which are not being surveyed. Many of these have some vacancy, and they must be considered when evaluating our retail market. We do still consider our overall retail market to be Eastern OK County 16-17 healthy.

Market Sales Summary 18 New construction continues to be one of the major issues that is affecting the retail market. As we stated at the time of our last survey, we have numerous centers under development or in the planning stages. There are over 2.25 million square feet of space under construction at this time, and there is probably another million square feet of space that has been announced but on which construction has not begun. While it is impossible to predict how much of this announced space will actually be built, there is no doubt that we will be adding a number of new centers over the next several years. We know that 10 to 15 new centers with up to three million square feet will be opening. We also believe that there are at least another million square feet of future phases of operating centers. A significant number of the centers that are under construction are large developments with significant pre-leasing to national or regional tenants. In addition, there are a number of small strip centers being developed. While it is unclear how much of these strip centers are pre-leased, there is a sense that many of them are spec, and their success could be affected by the large amount of new competition. We continue to be concerned about this new construction taking tenants from a number of our older centers and causing increased vacancy.

The new construction has stemmed in part from a number of new tenants and prototypes entering The information contained herein has been obtained from reasonably reliable sources. the market. Not only are several mall anchors moving to open-air stores, we are also attracting Price Edwards & Company makes no guarantee, some tenants that heretofore have not been part of our market. The sizable new centers have a either express or implied, as to the accuracy of power center component, and most will have a lifestyle component as well. In addition, these new such information. All data contained herein developments generally have significant excess land for future phases which offer the opportunity for is subject to errors, omissions and changes. Reproduction in whole or in part, without the successful centers to become major shopping locations in the future. prior written consent is prohibited. We are seeing multiple tiers of lease rates. In the new centers that are dominated by national credit tenants, rental rates between $18 and $35 per s.f. are the norm. In the centers that are primarily  considered neighborhood and older community centers, where most of the local tenants are located, rental rates are significantly lower—generally between and $7 and $15 per s.f. Likewise, the national tenants are receiving higher tenant finish allowances than the local tenants with some of the new centers providing $25 to $50 per s.f. allowances compared to the local tenants’ allowances of $5 to $10 per s.f. above white box finish levels. However, in some of the older centers, many tenant prospects desire different space configurations than have been utilized in the past, and as a result, large retrofit costs are becoming more and more prevalent.

As capital has continued to be allocated to the real estate market, a number of retail property properties are on the market or have been sold during the past 18 months. After having documented 24 sales totaling over $150 million in 2006, we have had five sales during the first six months of 2007. The 2007 sales total almost $40 million and averaged over $79 per s.f. The North City market, the West Central market, the Edmond market, and the Moore/Norman market all have occupancy rates in excess of 90% and continue to be doing quite well overall. The East Oklahoma County submarket and the South submarket each have a vacancy in excess of 15%.

Downtown continues to be a major focus of our city’s leaders. The goal is to develop more housing and hotels in order to create demand for significant retail development to go with the entertainment venues that are in place at this time. Seven hotels with over 1,200 new rooms have been completed or will be completed within the next year. Several significant housing projects are underway. They include rental units and homes for purchase with price ranges between $150,000 and $750,000. More than 1,000 residential units should be completed within the next couple of years. At the present time, we are showing one free-standing retail building, Bass Pro, and one multi-use center in our survey. The multi-use center includes the Harkins Theater, two strip centers in front of it, and a mixed use building along the canal just west and north of these facilities. There are numerous restaurants and clubs located throughout Bricktown, but all are located in buildings that cannot be classified as retail facilities. The City has publicly advertised the need for a downtown grocer of some type and significant efforts are being made to attract a specialty grocery store. There is also planning underway for a potential retail development area in the Core to Shore plans which addresses a potential expansion of downtown to the south as I-40 is moved south towards the Oklahoma River. More discussion on these developments in the future, but there is very little effect on the present retail market.

The survey has been divided into seven submarkets and five classes within each submarket. Even though these submarkets are generally healthy, there are pockets of vacancy caused by loss of an anchor than can skew the actual results in a small area of a submarket. Detailed study of all the markets is suggested before a firm decision about investing in a specific submarket is made.

Price Edwards & Company is pleased to provide you with this survey. Hopefully, it will help you better understand the Oklahoma City and the metropolitan area’s retail markets. Please do not hesitate to contact us if we can be of service.

Total Market Inventory Total Market Vacancy Total Market Absorption 1998 - 2007 1998 - 2007 1999 - 2007 40 15% 1999 35 2000 12% 30 2001 25 2002 9% 20 2003 15 6% 2004 10 2005 Millions of Square Feet 3% 2006 5 2007 0 0% 98 99 00 01 02 03 04 05 06 07 98 99 00 01 02 03 04 05 06 07 -1.0 -0.8 -0.6 -0.4 -0.2 0.0 0.2 0.4 0.6 0.8 1.0 Includes additional freestanding retail space Millions of Square Feet

There are five classes of shopping centers being evaluated. “A” centers are super regional centers containing in excess of 900,000 square feet. “B” centers are regional centers containing from 300,000 to 900,000 square feet. Class “C” centers are those community shopping centers with 100,000 to 300,000 square feet. Class “D” centers contain 30,000 to 100,000 square feet and are classified as neighborhood strip centers. “E” centers are strip centers with 25,000 square feet to 30,000 square feet. You will be able to see how each of the classes of centers in each sector are performing.

 Oklahoma City North Submarket Summary Oklahoma City There are two major centers of retail in this sector—the Penn Square area at the confluence of North Pennsylvania and Northwest Highway and the Quail Springs area located along the Kilpatrick Turnpike between Pennsylvania and May. These two areas are anchored by strong regional malls. Penn Square with 1,100,000 square feet and Quail Springs with 1,124,000 square feet already draw significant retail sales dollars. These two centers of retail development draw shoppers from all the western, southern, and central parts of the state as well as from the entire metropolitan area. Significant development in each of these areas further solidify their strong hold on retail sales in the area.

The Quail Springs area now boasts over 2.25 million square feet of retail space and virtually every major retailer and restaurant is represented in the area. Memorial Square located across Pennsylvania from Quail Springs has about completed it redevelopment. While most of the land on the east, south, and west has been developed into retail stores, a recent announcement of a mixed use development to the north of Quail Springs signals continued development in the area. If this development is successful, it could take retail to 150th Street, one mile north of the Kilpatrick. However, there have been no announcements during 2007 and one has to wonder if this development is going to occur at any time in the near future.

North Submarket Historical Inventory 1998 - 2007 The Belle Isle area has well over 1.6 million square feet of retail space including Penn Square, Belle Isle 8 Station, and 50 Penn Place. 50 Penn Place is being marketed at the present time so changes are likely to occur there. Penn Square continues to prosper, but there have been no announcements of an open 6 air addition that has been rumored for several years. Belle Isle Station is leading a development rush to 4 the area east of Penn Square. Chesapeake Land Company, the major land owner in the area, has been planning a relatively small mixed use development (office and retail) along curve between 2 Millions of Square Feet Grand and NW 56th Street. Pearl’s, a well respected local seafood restaurant recently opened in this 0 98 99 00 01 02 03 04 05 06 07 area in a small office park, and it is reported to be doing very well. This area is definitely changing Includes additional freestanding retail space with new development.

There are other excellent shopping centers in this submarket. May Avenue from Northwest Highway North Historical Vacancy to the Kilpatrick Turnpike has long been a great retail corridor. While a number of centers on May 1998 - 2007 are still doing quite well, there are some vacancies emerging due to increased competition and some 10% old-line tenants moving out. An announcement of a redevelopment of the Albertson’s at Britton 8% and May coupled with a neighborhood center on the land to the north has been made, but no dirt has been turned except for a community bank. The City of the Village continues to work very hard with acant 6% developers and retailers to increase retail sales in their community. Some upgrading of centers in the 4% Percent V May Avenue corridor is underway which will no doubt spur competition in this mature retail area. 2%

0% 98 99 00 01 02 03 04 05 06 07 Chesapeake Land Company, a subsidiary of Chesapeake Energy, the dynamic corporation headquartered in the area, has begun to be involved in public hearings about the redevelopment of Nichols Hills Plaza which has long been one of the centers for local shopping in this submarket. There is also significant planning underway for the development of the land southeast of the intersection North Submarket Absorption of 63rd and Western for other land on Western in both directions from Chesapeake’s headquarters. 1998 - 2006 There will likely be some retail development in each of these areas. 1998 1999 2000 Price Edwards & Company surveyed 37 shopping centers totaling 6,150,057 square feet. Occupancy 2001 2002 is over 95% which is slightly better than it was at the time of the last survey. This area remains the 2003 highest occupancy submarket covered by our survey. We estimate that there are 14 freestanding 2004 2005 retailers in this submarket with over 764,981 square feet of space in operation. There are no vacancies 2006 reported at this time. -100 -50 0 50 100 150 200 250 300 Thousands of Square Feet

 Name & Address Class Year Built Leasing Agent GLA Vacant Vac. % Rate 1 Rate 2 Anchor Tenant(s)

2201 Memorial C 2004 Blanton Properties 101,128 0 0% N/A N/A Gordmans/Best Buy 2201 W Memorial Rd, OKC Tom Blanton 50 Penn Place C 1973/85/00 William Morris & Assocs. 198,004 9,200 5% N/A $15.00 Harold’s/Balliet’s NW 50th St & N Pennsylvania Ave, OKC William Morris 6900 Place D 1981/91/92 Price Edwards & Co. 49,263 2,850 6% $7.50 N/A.5 Ted’s Café/At the Beach/Blockbuster 6900 N May Ave, OKC Susan Brinkley/Pat Barnes/Ev Ernst Belle Isle Station B 2000 Price Edwards & Co. 433,333 13,929 3% $18.00 $23.00 Wal-Mart Super Center/Old Navy NW Expressway & N Classen Blvd, OKC Pat Barnes/Susan Brinkley/Ev Ernst Britton Plaza Shopping Center E N/A Gerald Gamble Co. 27,340 5,050 18% N/A N/A Johnnie’s Charcoal Broiler 2652 N Britton Rd, OKC Gerald Gamble Britton Square D 1983 Coury properties, Inc. 27,326 11,000 40% N/A.5 N/A 9415 N May Ave, OKC Michael Murray Camelot Square C 1984 Blanton Property Co. 107,799 3,895 4% N/A N/A Cox Communications NW 122nd St, OKC Jeff Bolding Casady Square C 1953/83/95 Price Edwards & Co. 158,764 13,852 9% $7.00 $12.00 CVS Drug/New Leaf Floral/ W Britton Rd & N Pennsylvania Ave, OKC Pat Barnes/Susan Brinkley/Ev Ernst Walmart Neighbor Market Centennial Plaza B 1993 Kimco Realty Corp 233,794 2,180 1% $14.00 N/A Best Buy/Gordman’s/Supercuts/ NW 58th St & N May Ave, OKC Douglas Schooley Home Depot/ Guitar Center Charter At May D 1963/88/96 Grace Commercial 99,757 31,000 31% $11.00 $6.50 Luby’s Cafeteria/Mill Creek 9494 N May Ave, OKC Mary R. Grace/Larry Emmer Colonial Square C 1970/03 Colonial Companies 174,000 15,000 9% N/A N/A Albertson’s 9225 N May Ave, OKC Karleen Krywucki/Ev Ernst/Pat Barnes/Susan Brinkley Colonnade D 1984 Grubb & Ellis/Levy Beffort 45,000 6,367 14% $9.00 N/A Party Bazaar/Boca Boca/Café Pranzo 9600 N May Ave, OKC Ali Ghaniabadi Country Club Corner D 1959/96 JAH Realty, L.P. 53,477 0 0% $14.00 N/A CompUSA/Hollywood Video 6410 N May Ave, OKC Jeff Norman/Ethan Slavin Country Club Village D 1970/92/03 Levy/Beffort 56,000 3,300 6% $12.00 N/A Computer Nerdz/Fitness Together/ 2800 W Country Club Dr, OKC Mike Webb Beau’s Wine & Spirits/Edward Jones French Market Mall C 1985 CB Richard Ellis/Okla. 245,244 16,787 7% $12.00 $22.00 Bed Bath & Beyond/Burlington Coat 2850 NW 63rd St, OKC Mark Inman Lake Shore Learning Center/Staples Lakehurst Center D 2002 Price Edwards & Co. 31,432 6,417 20% $13.00 N/A N Style Salon/American Genera Finance/ 8025 N May Ave, OKC Susan Brinkley Gulfport Seafood Market/Oasis Staffing Lakeside Shops Shopping Center D 1950/99 Pippin Properties 67,000 0 0% $9.50 $11.50 Firestone/Name Brand Clothing 7300 N May Ave, OKC Phil Pippin Lakewood Shopping Center D 1996 Price Edwards & Co. 55,247 2,500 5% $9.25 N/A Gentle Dental/Stork Land/ 6901 N May Ave, OKC Dave Knust Cokesbury Bookstore/ Xpedx Mayfair Place D 1978 Price Edwards & Co. 95,000 7,091 7% N/A N/A Akin’s Health Foods/PetsMart/Big Lots 2900 NW 63rd St, OKC Karleen Krywucki Memorial Square C 37377 Blanton Property Co. 225,000 0 0% N/A N/A Super Target/PF Changs W Memorial Rd & N Pennsylvania Ave, OKC Tom Blanton Midland Center C 1961 CB Richard Ellis/Okla. 57,272 31,385 55% $11.50 N/A Panera Bread/Starbucks NW Expressway & N Independence Ave, OKC Alaina McGlothlihn/Brian Donahue Nichols Hills Plaza C 1963 Price Edwards & Co. 130,000 5,780 4% $12.00 $16.00 Crescent Market/Starbucks 6501 Avondale Dr, Nichols Hills Susan Brinkley/Pat Barnes/Ev Ernst North Penn Plaza D 1970/71 Steve Hetherington 32,000 0 0% N/A N/A Koslow’s/Commercial Federal Bank 5601 N Pennsylvania Ave, OKC N/A Northpark Mall C 1971/81 Morris Enterprises 200,000 20,665 10% N/A N/A Shoe Gallery/Shogun Steak House/ 12100 N May Ave, OKC Kevyn Colburn B.C. Clark/Tres Chic/Jerome’s A 1960/88 Simon Property 1,100,000 5,000 0% N/A N/A Dillard’s/JCPenney/Macy’s 1901 NW Expressway, OKC Robert Alexander Penn-Hefner Plaza D 1973/77 Haydel Associates 69,392 3,600 5% $12.00 $14.00 Buy For Less/Rent-A-Center 2121 W Hefner Rd, OKC Aimee Dial Parrish Quail Plaza C 1965/89/91 Morris Enterprises 144,335 35,000 24% N/A $15.00 Tuesday Morning/Goodyear Tire 10950 N May Ave, OKC Kevyn Colburn A 1980/98/99 General Growth Mgmt.,Inc. 1,124,482 16,550 1% N/A N/A Dillard’s/Macy’s/Sears/ W Memorial Rd & N Pennsylvania Ave, OKC Kelly Waswo AMC Quail 24 Theaters/JC Penney Quail Springs MarketPlace B 1997/01 Blanton Property Co. 450,000 2,004 0% N/A N/A Ultimate Electronics/Old Navy W Memorial Rd & N Pennsylvania Ave, OKC Tom Blanton Quail Springs Village E 1983 JAH Realty, L.P. 26,500 4,480 17% $18.00 N/A RadioShack/Pier 1 Imports 13801 N Pennsylvania Ave, OKC Jeff Norman/Ethan Slavin Shoppes at North Pointe D 2002 Jackson Development 37,400 0 0% $17.00 $18.00 Jimmy’s Egg/City Bites W Memorial Rd & N May Ave, OKC Josh Smith/Tom Parker Spring Creek North D 1981 Price Edwards & Co. 89,006 5,005 6% $12.00 N/A Blockbuster Video/Homeland (ST) 12200 N May Ave, OKC Pat Barnes/Susan Brinkley/Ev Ernst The Plaza at Quail Springs E 2005 JAH Realty, L.P. 104,001 6,600 6% $18.00 N/A Fabrics Unlimited/Hobby Lobby/Dollar Tree 2221 NW 138th St, OKC Ethan Slavin/Jeff Norman Town & Country Village D 1982/92 Bradys Properties 43,500 0 0% $12.00 N/A Cocina De Mino/JJ Kelly/Subway 12335 N May Ave, OKC Ali Ghaniabadi Village Park E 1972 Johnson Investment Co. 23,000 0 0% $9.00 N/A Hi Performance Scuba/Audio Dimension 10405 N May Ave, OKC Raymond Johnson Village Park North E 1972 Coldwell Banker 16,400 0 0% N/A N/A W Britton Rd & N May Ave, OKC Lee Bollinger Village Plaza D 1964/73/89 Herndon & Kelley 49,133 0 0% $6.00 $6.00 Westlake Hardware/Dollar General 1505 W Britton Rd, OKC Jay Crabb Wilshire Village E 1986 Dr. Scott Samara,M.D. 27,000 0 0% $11.00 $12.00 Dodson Art Gallery/Wild Garden/ W Wilshire Blvd & N Western Ave, OKC Dana Makeup Bar

North Submarket Totals Total GLA Vacant SF Vacant % 6,207,329 286,487 5%  Oklahoma City Northwest Submarket Summary Oklahoma City This submarket is bounded on the east by Pennsylvania (south of Northwest Highway) and Hefner Northwest Parkway (north of Northwest Highway) and 39th Expressway on the south. Northwest Highway continues to be a major artery funneling over 125,000 people into the City on a daily basis. The population base is largely upper middle class income and professional.

Northwest Highway continues to have several of the strongest shopping areas in the metropolitan area and continues to collect some of the highest rents. However, there continues to be fairly significant vacancy in some of the smaller centers on this major thoroughfare and in centers where there are empty anchor spaces. Competition among centers for tenants is strong. There is probably more lateral movement of tenants in this submarket than any other. This is the only submarket with no new construction underway.

Development of housing in the northwest portion of this submarket, spurred to some degree by the extension of the Kilpatrick Turnpike to County Line Road on the west and to I-40 on south, leads us to believe that new retail development could occur in these areas over the next few years. The rapid growth of Gaillardia and its surrounding areas with its strong demographic profile has created an opportunity for some new development in the Kilpatrick Turnpike area between Portland and Rockwell. Rumors of new developments in the Rockwell area have surfaced. Northwest Submarket Historical Inventory 1998 - 2007 5 Price Edwards & Company surveyed 31 shopping centers containing 3,526,906 s.f. with an occupancy

4 of 86.27%, which is approximately the same occupancy as in the last survey.

3 We estimate that there are 18 freestanding retailers operating in this submarket with over 639,465 2 square feet of space with no vacancy.

Millions of Square Feet 1

0 98 99 00 01 02 03 04 05 06 07 Includes additional freestanding retail space

Northwest Historical Vacancy 1998- 2007

20%

15% acant 10% Percent V 5%

0% 98 99 00 01 02 03 04 05 06 07

Northwest Submarket Absorption 1999 - 2007

1999 2000 2001 2002 2003 2004 2005 2006 2007 -100 -50 0 50 100 150 200 250 300 350 Thousands of Square Feet

 Name & Address Class Year Built Leasing Agent GLA Vacant Vac. % Rate 1 Rate 2 Anchor Tenant(s)

Shops at the Veranda B 2006 N/A 30,650 30,650 100% $25.00 N/A NE/C NW 150th & N Western Ave, OKC Chris Calhoun Construction Northwest Totals 30,650 30,650 100%

122nd & MacArthur D 1985 Levy/Beffort 42,200 8,400 20% $7.00 N/A Best Cleaners/Walls/Pizza Hut Delivery NW 122nd St & N MacArthur Blvd, OKC John Cohlmia Brixton Square C 1985 GBR Properties, Inc. 122,253 40,148 33% $8.00 N/A Hollywood Theatre/Party Galaxy 7101 NW Expressway, OKC Bob Parker Circuit City Center D N/A Price Edwards & Co. 49,339 0 0% $13.00 N/A Circuit City/Casual Male/Century 21 NW Expressway & I-44, OKC Karleen Krywucki Cornerstone Plaza D 1958/78/03 NAI Sullivan Group 65,748 9,460 14% $7.00 $8.00 Redwing Shoes/Jackson Hewitt/ NW 39th St & N MacArthur Blvd, OKC David Hartnack Ocean Dental Council Crossing C 1986/92/03 JR Fulton Associates 142,197 44,547 31% $7.00 N/A Buy For Less/Dollar General 8101 NW Expressway, OKC Mike Proctor Courtyard Plaza D 1984 Price Edwards & Co. 38,846 3,789 10% N/A $11.00 Blockbuster Video/At the Beach 6401 NW Expressway, OKC Pat Barnes/Susan Brinkley/Ev Ernst Lakeshore Shopping Center C 2002 Price Edwards & Co. 139,447 28,735 21% $8.50 $8.00 Academy Sporting Goods//Jason’s Deli 4200 NW Expressway, OKC Karleen Krywucki Outback Steakhouse/Buffalo Wild Wings Lakeshore Shops D 1998 Charles Shadid 33,140 0 0% $6.00 $8.00 Home Consignment/Al’s Bicycles 7930 N MacArthur Blvd, OKC Charles Shadid MacArthur Shops E 1983 Centennial Property Mgmt. 25,630 2,025 8% $9.00 $9.00 SRO Dance Studio W Britton Rd & N MacArthur Blvd, OKC Jim Sanders Market Place OKC C 1992 Price Edwards & Co. 178,854 38,825 22% $11.00 $6.50 Hemispheres 5501 NW Expressway Susan Brinkley/Pat Barnes/Ev Ernst Market Plaza C 1981/82 Price Edwards & Co. 150,513 26,646 18% $12.00 $7.00 Tuesday Morning/Petco/ 7001 NW Expressway Pat Barnes/Susan Brinkley/Ev Ernst Westlake Hardware/Aldi MayFair Village C 1948/90 CB Richard Ellis/Okla. 174,911 9,058 5% $14.00 N/A Michael’s Arts & Crafts/Steinmart/CVS/ NW 50th St & N May Ave, OKC Brian Donahue Union Bank Newport E 1972 Charles Shadid 25,740 5,000 19% $5.00 $6.00 Seven-Eleven/Sunshine Laundry 9120 N MacArthur Blvd, OKC Charles Shadid Oklahoma City Market Square C 1983/00 Price Edwards & Co. 143,579 10,948 8% $7.00 $9.00 Watson’s Pools/Famous Footwear 8400 NW Expressway, OKC Susan Brinkley/Pat Barnes/Ev Ernst Peppertree Square D 1984 Levy/Beffort 77,531 8,000 10% $7.00 N/A Tan & Tone America/Harbor Village/ 6444 NW Expressway, OKC Jim Rose Cuinese/Auto Zone Portland Plaza C N/A JAH Realty, L.P. 103,312 759 1% $12.00 N/A Outdoor Outfitters/Locke Supply NW 39th St & N Portland Ave, OKC Jeff Norman/Ethan Slavin Quail Brook D 1987 Levy/Beffort 90,389 0 0% $12.50 N/A Panera Bread/Mercy Health System 4401 W Memorial Rd, OKC John Cohlmia Rock Center E 1982 Levy/Beffort 29,000 5,500 19% N/A.5 N/A Avis 6700 NW Expressway, OKC John Cohlmia Rockwell Northwest C 1984/99 JAH Realty, L.P. 163,000 1,000 1% N/A $14.00 Hobby Lobby/Starbucks Kinkos/ 7000 NW Expressway, OKC Jeff Norman/Ethan Slavin Hancock Fabrics/ Chick-Fil-A Rockwell Plaza B 1978/83/98/01 CB Richard Ellis/Okla. 406,000 70,466 17% $11.00 $16.00 Target/Famous Footwear/Ross/Petsmart/ 8375 N Rockwell Ave, OKC Mark Inman K&G Menswear Silver Springs B 2000 CBRE 700,000 1,500 0% $15.00 N/A Wal-Mart (220,000)(ST)/Office Depot/ 7600 NW Expressway, OKC Stuart Graham Home Depot/ Sam’s/Kohl’s Springbrook D 1968 First Commercial Management, Inc. 50,000 0 0% $9.00 N/A All American Fitness/Hollywood Video 6207 NW Expressway, OKC John W. Meek, RPA Springdale C 1961/86/93/99 Grace Commercial 126,000 26,000 21% $7.00 $4.50 Rent Way/Dollar General NW 50th St & N Meridian Ave, OKC Mary R. Grace/Larry Emmer Walnut Village D 1986-2000 Howard Properties 53,850 2,800 5% N/A $11.00 Lady Of America NW 122nd St & N Rockwell Ave, OKC Bill Howard Warr Acres D 1950/94 Ken Park 34,400 0 0% $6.00 N/A Big Red Shop/Taj Grocers NW 50th St & N MacArthur Blvd, OKC Ken Park Warwick D 1985 Ta Enterprises 69,500 0 0% $8.00 N/A Crest (36,000 st)/Dollar General/Steve Wine 11122 N Rockwell Ave, OKC Thung Ta ask for Moon Ta Warwick Crossing D 1995 City Properties 31,500 8,850 28% N/A N/A Remax/Gatherings/ Westside Batting Cages/ W Hefner Rd & N Rockwell Ave, OKC N/A Athletic Village/FX Salon Warwick North Village D 1978/84 Griffin Law Offices 30,000 7,000 23% $12.00 N/A SuperCuts/Edward Jones/First Class NW 122nd St & N Rockwell Ave, OKC Brian Griffin Warwick Plaza D 1978-84 Levy/Brooks 45,600 4,500 10% $8.00 N/A State Farm Insurance/Wall’s NW 122nd St & N MacArthur Blvd, OKC John Cohlmia West Park Mall C 1972 Saul Centers,Inc. 130,155 88,881 68% $5.00 $12.00 US Post Office/Homeland/Family Dollar/ NW 63rd St & N MacArthur Blvd, OKC Allen Gersh Drapers Market

Northwest Submarket Totals Total GLA Vacant SF Vacant % 3,472,634 452,837 13%  Oklahoma City South Submarket Summary Oklahoma City This submarket includes an area generally bounded by I-40 on the north, Moore on the south, I- South 35 on the east, and Will Rogers International Airport on the west. It is anchored by Crossroads Mall, a 1,111,000 square foot regional shopping center located at the intersection of Interstate 35 and Interstate 240. Crossroads Mall’s dominance in this sector of Oklahoma City continues to decline as J.C. Penney’s has become another anchor to move out. This anchor has moved south on I-35 to Moore into the newly developed Shops @ Moore which is under construction at this time. The Interstate 240 corridor which runs west from Crossroads Mall has been one of the strongest retail areas in all of Oklahoma City. Although some business has been lost to the Moore area and to new centers located south of this corridor, it is still quite important to retail in the metropolitan area. One significant new center, I-240 Penn Park (242,000 s.f.) has been completed and is leased up. Its key tenants are Marshalls, Ross, Michaels, and Mardels. Another phase has been announced. There are two other centers under redevelopment in this corridor.

Price Edwards and Company surveyed 35 shopping centers with 4,541,233 s.f. Occupancy is 85.99%. Significant vacancies continue in centers located north of the I-240 corridor. In addition, some new vacancy has occurred at Walnut Square and Southern Hills where tenants moved to I-240 Penn Park, the new center in the area. Reports indicate a new anchor has surfaced for Walnut Square and announcements will be made in the near future. On the other South Submarket Historical Inventory 1998 - 2007 hand, the new 240 Penn Park center adds good quality space to this sector, and it could breathe 8 some fresh life into the important I-240 and Pennsylvania intersection. Crossroads Mall has lost J.C. Penney’s which has added significantly to the vacant space in this submarket. 6

4 We estimate that there are 43 freestanding retailers in operation in the south submarket with a total square footage of 2,193,417 square feet. We estimate that there are two buildings with 53,000 2 Millions of Square Feet square feet vacant. 0 98 99 00 01 02 03 04 05 06 07 Includes additional freestanding retail space A Wal-Mart Supercenter has opened at the intersection of I-44 and Hwy 37 on the west side of this submarket. We continue to think that the far west area of this sector will grow from a retail standpoint over the next few years. We also have received reports that other retail anchors have been looking for South Historical Vacancy sites in the area between I-240 and SW 134th (19th Street in Moore) west of Western and east of I-44. 1998- 2007 However, local residents are fighting these infill developments due to traffic concerns. 20% Reports indicate a strong interest by the City of Oklahoma City to improve and upgrade the 44th 15% Street corridor which has long been neglected as the I-240 area and south has received the bulk of acant 10% the retail growth. We’ll follow this potential development. Percent V 5%

0% 98 99 00 01 02 03 04 05 06 07

South Submarket Absorption 1999 - 2007

1999 2000 2001 2002 2003 2004 2005 2006 2007 -150 -100 -50 0 50 100 150 200 250 300 Thousands of Square Feet

 A sample of our satisfied clients:

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Name & Address Class Year Built Leasing Agent GLA Vacant Vac. % Rate 1 Rate 2 Anchor Tenant(s)

Towne South Center C 1977/88/05 Jackson Development 130,000 40,000 31% $12.00 $16.00 Primos/City Bites/Sweet Mercy/City Bites SW 74th St & S Walker Ave, OKC Tom Parker Chuck E. Cheese/On the Border/Jimmy’s Egg Construction South Totals 130,000 40,000 31%

29th & Kentucky Shops D 1970 L & S Real Estate 32,500 0 0% $4.00 N/A Family Dollar/New Century Food SW 29th St & S Kentucky Ave, OKC Young Shin 74 South D 1973/77/06 Paul B. Odom Construction 50,000 2,500 5% N/A $12.00 Pancho’s Mexican Restaurant/At the Beach SW 74th St & S Pennsylvania Ave, OKC Linda Brown 89’er Plaza E 1984 Robert Jenks 30,000 7,500 25% $4.00 N/A Body Beautiful/Sharp Cleaners SW 89th St S Walker Ave, OKC Robert Jenks Airline C 1999 Charles Shadid 121,368 6,000 5% $3.00 $5.00 Tom’s Tires/El Rodeo Carnecaria 3400 SW 29th St, OKC Charles Shadid Almonte Square C 1963 Blanton Property Co. 107,676 74,745 69% N/A N/A Almonte Bingo 6100 S May Ave, OKC Jeff Bolding Brookwood North I & II D 1998 Charles Shadid 58,249 3,000 5% $5.00 $7.00 China Wok Restaurant/Chelino’s Restaurant SW 89th St & S Western Ave, OKC Charles Shadid Brookwood Shopping Center C 1979/97 Trammell Crow Co. 130,250 22,532 17% $9.00 $13.00 Hobby Lobby SW 89th St & S Western Ave, OKC Stuart Graham Centre 8400 E 1983/05 Precor Realty 29,355 1,560 5% $9.00 $8.00 Dan’s Old Time Hamburger/Johnnie’s Bakery 8400 S Western Ave, OKC Rick Pritchett Chatenay Square C 2000/06 PB Odom, III 114,115 8,800 8% $15.50 N/A Albertson’s/Panera Bread SW 104th St & S Pennsylvania Ave, OKC PB Odom, III Country Park Mall D 1978 Concept Companies 30,000 4,500 15% $4.00 N/A Value Thrift/Diaper Outlet SW 59th St & S Agnew Ave, OKC Sam Gotez Crossroads Mall A 1974/92 Crossroads 1,266,462 243,000 19% N/A 5N/A Macy’s/JC Penney/Dillard’s/Steve & Barry’s 7000 Crossroads Blvd, OKC Jeff Probasbo Crossroads Shopping Center D 1987 AMCON Resources 31,269 1,400 4% $14.00 N/A Men’s Wearhouse/Heritage College/Subway 7100 S I-35 Service Rd, OKC Allen Gann Economy Square C 1963/98 Economy Square Inc. 203,451 30,000 15% N/A N/A Blockbuster Video/Dollar General/ SW 29th St & S May Ave, OKC Charles Oppenheim Walgreens/Grider’s Cost Less/Dollar Tree Grant Square C 1958/91/92 Bradys Properties 101,000 3,640 4% $3.00 $5.00 Family Dollar/Aaron Rents/ SW 44th St & S Pennsylvania Ave, OKC Ali Ghaniabadi Blockbuster Video/Save-A-Lot Greenway Plaza D 1985 Levy/Beffort 73,240 1,400 2% $11.00 N/A Westlake Hardware(30,000)(ST)/CiCi’s Pizza/ SW 119th St & S Western Ave, OKC Jim Rose Tuesday Morning Hillcrest Shopping Center D N/A Blanton Property Co. 50,000 25,000 50% N/A N/A Dollar General/Rent-A-Center 2100 SW 59th St, OKC Jeff Bolding I-240 Penn Park C 2005 CB Richard Ellis/Okla. 242,076 0 0% N/A N/A Marshalls/Ross/Old Navy/Pets Mart/ NE/C I-240 & S Pennsylvania Ave, OKC Mark Inman Michael’s/Pier One Lightning Creek D 1985 Lightning Creek Complex 48,005 0 0% $6.00 $6.50 8100 S Westerns Ave, OKC Tammie Knight Mayridge D 1956 Shadid Properties 38,000 0 0% $3.00 $4.00 Dollar General SW 44th St & S May Ave, OKC Buddy Shadid Palagio Shops on So. Western C 2005 PB Odom, III 44,852 8,000 18% $15.50 N/A Marble Slab/Pizza Hut/JumpZone SW 104th St & S Western Ave, OKC PB Odom, III Reding Shopping Center D 1972 JAH Realty, L.P. 69,344 0 0% $9.00 N/A El Chico/Dollar General/Little Caesars W Grand Blvd & S Western Ave, OKC Jeff Norman/Ethan Slavin South Meridian Plaza D 1983 John Gholami 36,000 2,000 6% $11.00 $13.00 Waffle House/Altel Mobile/Quizno’s 1100 S Meridian Ave, OKC John Gholami/Judy Neal South Park D 1975 South Park 86,848 0 0% N/A N/A Dept. of Corrections/ 4500 S May Ave, OKC Mary Dolan Thomas Messiah Church Ministries South Penn Plaza D 1984 Bradys Properties 70,368 0 0% $6.00 N/A Family Dollar/State Fram Ins./Los Tacos 1620 SW 89th St, OKC Ali Ghaniabadi South Shields Plaza C 1972/85/92/05 CB Richard Ellis/Okla. 224,889 62,000 28% $6.00 $18.00 Langston’s/Western Wear/Burlington SW 74th St & S Shields Blvd, OKC Mark Inman/Brian Donahue Southeast Plaza C 1972/91 Levy/Beffort 185,651 24,000 13% $4.00 $8.50 Starbucks/Joe’s CrabShack/Dollar Tree/ SE 44th St & S High Ave, OKC Jim Rose Golf USA Southern Hills C 1964/89/90 Levy/Beffort 210,419 75,689 36% N/A $12.00 Dollar Tree SW 74th St & S Pennsylvania Ave, OKC Heidi Vanlandingham Southwestern Plaza C 1962/87 Southern Properties 117,846 10,000 8% $6.00 N/A CiCi’s Pizza/Cocina de Mino Restaurant/ SW 59th St & S Western Ave, OKC Steve Cupit Family Dollar, Subway Stonebriar Shopping Center E 2005 Brady Properties 30,000 5,200 17% $12.00 N/A Rusty’s Custard 13400 S Western Ave, OKC Ali Ghianiabadi Tri City D 1979 Chicksaw Nation 68,500 0 0% $7.50 $3.00 Hwy 62 & Hwy 37, Newcastle N/A Valley Brook Shops E 1998 N/A 25,500 0 0% $8.00 $12.00 Corner Quick Stop/Cover Girls 1500 SE 59th St, Valley Brook Charles Shadid Walker Square C 1983 Precor Realty Advisors 136,000 0 0% $6.00 $8.00 Dollar Connections/MetroTech/ SW 59th St & S Walker Ave, OKC Rick Pritchett Beauty School Walnut Square C 1985 Price Edwards & Co. 294,500 54,095 18% $9.00 $12.00 Big Lots/Health Food Center 2209 SW 74th St, OKC Pat Barnes/Susan Brinkley/Ev Ernst Westernview Center C 1958/78 Platt Realty 104,000 10,050 10% $9.00 $15.00 Taste of China/East West/ I-240 & S Western Ave, OKC Michael Platt Howard Brothers Florist Westminster Village D 1986 Brady’s Properties 79,500 12,600 16% N/A N/A Bowling Green II/APAC Marketing 10625 S Western Ave, OKC Ali Ghaniabadi

South Submarket Totals Total GLA Vacant SF Vacant % 4,541,233 699,211 15%  Oklahoma City Edmond Submarket Summary Oklahoma City Edmond is a fast growing community located 15 miles north of downtown Oklahoma City. It has a Edmond population of over 75,000 plus a student population of 22,540 at the University of Central Oklahoma and Oklahoma Christian University of Science and Arts. It has a very desirable school system, which serves areas of north Oklahoma City as well as Edmond. Demographics for this community are considered to be quite strong with average household income in excess of $70,000 and growing.

Price Edwards & Company surveyed 26 shopping centers with 2,250,640 square feet of space. Vacancy has increased from the last survey’s 8.23% to 9.9%. A significant portion of the increase in vacant space is in Kelly Plaza whose anchor tenant, Big Lots, closed during the past year. However, there is slightly more vacancy showing up in some other centers as well. In addition, there are 21 free standing retailers with 1,169,425 s.f. There is one partial vacancy of 23,000 s.f. (Academy Sporting Goods building on Broadway). Overall, this submarket continues to be quite healthy.

New construction continues to be the primary news item for this submarket. Two major developments which will each include well over 500,000 s.f. of retail along I-35 have been announced. It is doubtful that more than one of these potential regional draws will be built, but when and if one of these developments is completed, it could draw customers from the north all the way to the Kansas line. Additionally, announcements have been made about large retail Edmond Submarket Historical Inventory 1998 - 2007 developments at Covell and Kelly and also a second phase of Spring Creek Plaza at 15th and Bryant 4 (called the Bridges at Spring Creek). Walgreen’s is under construction at the corner of the Covell and Kelly development. The Falls located between Bryant and Coltrane on the south side of 2nd Street 3 has broken ground, but reports are that the first work is for residential, not retail. The Shoppes on 2 Broadway, a 150,000 s.f. redevelopment of the old Wal-Mart at 33rd and Broadway, is underway. No reports of any leasing have been received. Ashling Square located across Bryant from Bryant Square 1 Millions of Square Feet at 2nd and Bryant has been acquired and reports are that a full redevelopment of this older center 0 98 99 00 01 02 03 04 05 06 07 will be commenced in the near future. Foxfire Plaza, which is scheduled to be built next to the Wal- Includes additional freestanding retail space Mart SuperCenter at 15th and I-35, has been announced as well, but there are no reports of any leasing at this location. Another proposed center to be located south of the 15th and I-35 Wal-Mart SuperCenter has apparently received City of Edmond approval. All told, well over 1 million new feet Edmond Historical Vacancy of retail space could be developed over the next several years. 1998 - 2007

15%

12%

acant 9%

6% Percent V

3%

0% 98 99 00 01 02 03 04 05 06 07

Edmond Submarket Absorption 1999 - 2007

1999 2000 2001 2002 2003 2004 2005 2006 2007 -120 -100 -80 -60 -40 -20 0 20 40 60 80 Thousands of Square Feet

10 Name & Address Class Year Built Leasing Agent GLA Vacant Vac. % Rate 1 Rate 2 Anchor Tenant(s)

The Falls C 2006 Oxford Development 0 0 N/A N/A Vista Lande at Coltrane Rd, Edmond N/A The Shoppes On Broadway C 2006 Jackson Development 150,000 0 0% $14.00 $22.00 Starbucks/Hallmark/Hobby Lobby/ 33rd & Boulevard & Broadway, Edmond Tom Parker Provence/Bella Strada/Zida University Village B 2000/04 Sooner Investment 76,804 1,400 2% N/A $23.00 Wal-Mart Neighborhood Market/ 2nd & Bryant, Edmond Brandy Tice Blockbuster/Party America Construction Edmond Totals 226,804 1,400 1%

33rd & Boulevard D 1982 Lee Segal 49,400 0 0% $7.00 N/A Mardel’s/CVS E 33rd St & S Boulevard St, Edmond Lee Segal Ashling Square D 1979/07 JAH Realty, L.P. 5,460 5,442 100% N/A N/A IBC Bank/Edmond Medical Rehab 301 S Bryant Ave, Edmond Ethan Slavin/Jeff Norman Berkshire Plaza D 2002 Mazaheri Investments, LLC 39,000 0 0% $12.00 N/A Office Depot/Mr. Goodcents E 15st St & Broadway, Edmond Pat Barnes/Susan Brinkley/Ev Ernst Boulevard Village D 1985 Maloy Properties,LLC 36,604 9,804 27% $6.50 $9.50 Radio Shack/Pizza Hut 3404-3456 S Boulevard, Edmond Mark Inman Broadway South D 1977 Levy/Beffort 61,524 0 0% $15.00 N/A Edmond Music 3320 Broadway, Edmnd John Cohlmia Bryant Square C 1973/92 Price Edwards & Co. 282,000 18,173 6% $7.00 $12.00 CVS/ Dollar Tree/Ross/Old Navy/Petco/ E 2nd St & S Bryant Ave, Edmond Susan Brinkley/Pat Barnes/Ev Ernst Steinmart/Bed Bath & Beyond/Maurice’s Danforth Square C 1999 Grisson Investments 108,000 2,040 2% $12.00 $14.00 Hobby Lobby/Athletic Village W Danforth Rd & N Kelly Ave, Edmond Jim Grissom Eagle Crest D 1983 CBRE 51,000 7,790 15% $11.00 N/A Eagle Crest Market/Blockbuster Video 3000 E Memorial Rd, OKC Stuart Graham Edmond Crossing C 1995 Price Edwards & Co. 159,600 10,000 6% $12.00 $12.00 Homeland/TJ Maxx/Edmond Furniture 24 E 33rd St, Edmond Susan Brinkley/Pat Barnes/Ev Ernst Edmond Exchange B 2003 JAH Realty, L.P. 71,243 4,995 7% $13.00 $18.00 On the Border/Coach’s 3233 Broadway, Edmond Ethan Slavin Edmond Market Place D 1981/82/90 CB Richard Ellis/Okla. 96,112 1,200 1% $15.00 $15.00 Hobby Lobby/At the Beach/Delta Café 3301 S Boulevard, Edmond Alaina McGlothlihn/Brian Donahue Edmond Plaza C 1964/89/05 Keller/ Williams NW Office 158,373 12,000 8% $9.00 $16.00 Westlake Hardware/Dollar General/ E 15th St & Braodway, Edmond Herb Forrester Albertson’s (32,000) (ST)/Party Galaxy Edmond Trails E 25993 CBRE 25,215 2,000 8% $12.00 $15.00 YMCA of Edmond/Game X Change 289 S Santa Fe Ave, Edmond Stuart Graham Homestead Plaza D 2003 Paradign Realty 39,000 15,000 38% $15.00 N/A US Cellular/Great Clips/CVS/ W Danforth Rd & N Santa Fe Ave, Edmond Charlene Wilson Buffalo Wild Wings/Tower Dental/ Kelly Plaza D 1984 Price Edwards & Company 85,639 33,719 39% $5.00 $8.00 Oasis Pool /Colortyme/Sherwin Williams E 2nd St & S Kelly Ave, Edmnd Mark Inman Kickingbird Square C 1983/88 Levy/Brooks 110,000 2,050 2% $13.00 N/A Kickingbird Regal Cinema/Interurban 1323 W Danforth Rd, Edmond Jim Rose North Oaks D 1983/89 CB Richard Ellis/Okla. 72,560 8,000 11% $12.00 $15.00 Ace Hardware/Dollar General 821 W Danforth Rd, Edmond Mark Inman/Brian Donahue Oak Brook D 1982/91/92 Wiggin Properties 43,006 11,275 26% $11.50 N/A Hunan 218 S Santa Fe Ave, Edmond Don Faulkner/Stephanie Oxford PointeShops E 1986 Price Edwards & Co. 26,600 2,800 11% $9.00 N/A The Vision Center E 2nd St & S Bryant Ave, Edmond Susan Brinkley Pebblecreek D 2001 Levy/Brooks 62,500 0 0% $18.00 N/A Kohl’s/Dollar Tree W Danforth Rd & N Santa Fe Ave, Edmond John Cohlmia Signal Ridge D 1986 Fotis Bargeliotes 35,000 0 0% $6.00 $7.00 Conoco/Daylight Donuts 1700 S Kelly Ave, Edmond Fotis Bargeliotes Spring Creek Plaza D 2000 Zerby Interests 63,000 10,689 17% $19.00 $16.50 Talbot’s/Panera Bread E 15th St & S Bryant Ave, Edmond Caleb Hill Spring Creek Village of Edmond D 2005 CB Richard Ellis/Okla. 62,000 41,709 67% $24.00 N/A Legacy Bank/Starbucks/Ballengers/Louies/ NW/C E 15th St & S Bryant Ave, Edmond Mark Inman Isabella/Bath Junkie University Plaza B 2000 Sooner Investment 400,000 20,000 5% $18.00 $22.00 Target Super Center/ E 2nd St & S Bryant Ave, Edmond Brandy Tice Lowe’s Home Improvement Willow Creek E 1985 CB Richard Ellis/Okla. 31,000 4,800 15% N/A N/A Randy’s M & M/Daylight Donuts W 2nd St & S Santa Fe Ave, Edmond Alaina MCGlothlin

Edmond Submarket Totals Total GLA Vacant SF Vacant % 2,173,836 223,486 10% 11 Oklahoma City West-Central Submarket Summary Oklahoma City This submarket includes all the shopping center properties south of 39th Expressway, north of West-Central Interstate 40, west of Lincoln, plus Yukon and Mustang. Of particular interest is the continued growth of Yukon and Mustang. The major development growth in this submarket is in the Yukon and Mustang areas where strong residential expansion has been underway for several years.

Westgate Shopping Center at MacArthur and I-40 remains the most significant retail development in this sector. It includes over 1,000,000 square feet of major retail stores which includes Wal-Mart Supercenter, Hobby Lobby, Office Depot, Home Depot, Ross Dress for Less, and Best Buy.

It appears that the Super Target which has been rumored to be locating in various locations between Mustang Road and Garth Brooks in sight of I-40 has settled on the land west of Garth Brooks and south of I-40. The proposed center which has been announced to have a planned 300,000 s.f. will be named Yukon Village Shopping Center. The Czech Hall Village project (590,000 s.f.) which was thought to be the location of the Super Target has dirt work underway, but no reported anchors. There is also an addition to West End Pointe underway as well. Reports indicate a theater anchoring this addition.

Yukon has significant existing retail space, particularly in the area of Garth Brooks and I-40. West End West-Central Submarket Historical Inventory 1998 - 2007 Pointe anchored by Loews and Kohls, Chisholm West, a Wal-Mart Super-Center and several smaller 7 neighborhood and strip centers provide over 1 million s.f. of retail within a one half mile radius of this 6 intersection. 5 4 Mustang continues to improve its retail presence as well. In addition to a Wal-Mart Supercenter, 3 2 Walgreen’s, CVS, and Westlake Hardware that have entered this community along State Highway Millions of Square Feet 1 152, there is significant small strip development in the area of these large tenants and on Mustang 0 98 99 00 01 02 03 04 05 06 07 Road just south of I-40. With housing growing rapidly, we believe that this bedroom community will Includes additional freestanding retail space continue to grow from a retail standpoint.

The I-40 and Portland area continues to expand as the major retail furniture and design center for the West-Central Historical Vacancy community and the state. By our count, there are 33 stores, containing over 1.6 million square feet, 1998 - 2007 operating in this area that specializes in furniture and accessories. A number of the stores have moved 25 from operating shopping centers in other parts of the city which have negatively affected the tenant 20 mix and, in some cases, the occupancy of those centers.

acant 15 In the 23rd and Classen area of this submarket, our Asian business center continues to grow and 10 Percent V prosper. Anchored by its major grocery store, Cao Nguyen Supermarket, specializing in ethnic foods, 5 more buildings are being renovated to provide shopping for this fast growing part of the community. 0 98 99 00 01 02 03 04 05 06 07 Older strip centers are being renovated and converted to ethnic use along Classen Boulevard. These efforts are definitely improving this section of the market.

Price Edwards and Company surveyed 28 shopping centers totaling 3,641,458 s.f. Occupancy is West-Central Submarket Absorption 1999 - 2007 91.94%, which is slightly better occupancy that we had at the last survey.

1999 2000 Including the above mentioned furniture area in the vicinity of Reno and Portland, we estimate that 2001 there are 66 free standing retailers in operation in this submarket with over 3,619,990 square feet of 2002 2003 space. We have identified approximately 132,201 square feet of vacant space in 5 properties. 2004 2005 2006 2007 0 50 100 150 200 250 300 Thousands of Square Feet

12 Name & Address Class Year Built Leasing Agent GLA Vacant Vac. % Rate 1 Rate 2 Anchor Tenant(s)

Czech Hall Village B N?A CB Richard Ellis/Okla. 590,000 590,000 100% $11.00 $18.00 To Be Announced SW/C I-40 & Czech Hall Rd, OKC Mark Inman Construction West-Central Totals 590,000 590,000 100%

16th & Indiana D 2002 Charles Shadid 41,079 7,000 17% $3.00 $5.00 Discount Dollar Store/Super Ahorro Latino NW 16th St & N Indiana Ave, OKC Charles Shadid 36th & May Center C 1986 B.D. Eddie Enterprises 97,500 1,250 1% $7.00 N/A Pole Position Raceway NW 36th St & N May Ave, OKC Terry McGuire Ann Arbor Terrace E 1971 Levy/Brooks 30,000 3,000 10% $8.00 N/A Family Dollar 4913 NW 23rd St, OKC Jim Rose Arvest Plaza(previously Turtle Creek) D 1986/00 J. S. Ferguson 32,600 2,400 7% $9.00 N/A Arvest Bank 915-917 S Corwell Dr, Yukon JS Ferguson Chisholm West C 1979/82 Price Edwards & Co. 232,510 34,771 15% $5.00 $13.00 Hastings/Big Lots 1100 S 11th St, Yukon Pat Barnes/Susan Brinkley/Ev Ernst DeVille C 1964/92/94 Price Edwards & Co. 125,377 27,176 22% $6.00 $6.00 Buy For Less/Heart & Hand Thrift NW 23rd St & N Council Rd, OKC Susan Brinkley/Pat Barnes/Ev Ernst Glen Oaks D 1968/98 JAH Realty, L.P. 49,161 0 0% $15.00 N/A Westlake Hardware/Blockbuster Video NW 23rd St & N Rockwell Ave, OKC Jeff Norman/Ethan Slavin MacArthur Court D 1985 CPG Properties 35,228 17,000 48% $8.00 $8.50 S.W. Dental Lab/Cocina de Mino 3820 N MacArthur Blvd, OKC John Gholami MacArthur Park D 1997 Charles Shadid 55,506 0 0% $5.00 $6.50 Community Thrift Store/ 2300 N MacArthur Blvd, OKC Charles Shadid Queen of Sheba Restaurant Meridian Plaza D 1959 Baker First 90,590 14,582 16% $5.00 $4.00 James Lighting/Dollar General NW 16th St & N Meridian Ave, OKC Judy Crews Mustang Creek Plaza D 2001 Mustang Development, LLC 33,000 0 0% $9.50 N/A Marilyn Pryor Realty/Isalnd Tan 821 S Mustang Rd, Mustang Gretchen Bybee Mustang Shopping Center D 2004 CBRE 30,700 1,600 5% $16.00 $14.00 Cato/Dollar Tree 216 N Mustange Mall Terr, Mustang Stuart Graham Mustang Trade Center C 1983 LandRun Commercial 106,850 1,200 1% $8.50 N/A Wal-Mart (35,000)(ST)/Dollar General Hwy 152 & S Mustang Rd, Mustang Jon Russell Homeland (35,000)(ST) Old Mill (previously Town Plaza) D 1964/78 National Properties 82,730 8,400 10% $4.00 $6.00 Locke Supply 301 Elm, Yukon Ray Wright Penn Crossing D 1994 CBRE 144,128 48,000 33% $6.00 $18.50 Walmart Neighborhood Market/Kinko’s/ NW 23rd St & N Pennsylvania Ave, OKC Stuart Graham Mazzio’s/Westlake Hardware Portland Square D 1958/87 Bob Thorpe 38,000 10,000 26% $4.00 N/A Sam’s/Wholesale Liquor NW 23rd St & N Portland Ave, OKC Chuck Johnson Rock Glen Center E 1994 Republic Commercial Properties 25,280 800 3% $6.00 N/A Coleman’s Pawn/Labor Ready 1500 N Rockwell Ave, OKC Doug Hodge Shartel Plaza D 1965 Pro Realty 61,398 10,432 17% $12.00 N/A CVS/Adobe Grill 5225 N Shartel Ave, OKC Greg Downs Silver City Center D 1974/94 Sperry Van Ness 88,000 23,200 26% $7.00 N/A Tractor Supply/Curves for Wome/ 101 N Mustang Rd, Mustang Sami Musallam Rita’s Hallmark Ten-M D 1958/88/91 Joe LaBar 33,000 0 0% $7.00 N/A Summit Business System/ NW 10th St & N Meridian Ave, OKC Joe LaBar Apple Tree Antique Mall Walnut Creek D 1974 Charles Shadid 62,822 3,900 6% $3.00 $4.00 Thermo Roll Shutters/Affordable Furniture 1110 N MacArthur Blvd, OKC Charles Shadid West End Pointe B 2001 Grace Commercial 507,500 1,710 0% $16.00 N/A Lowe’s (150,000)(ST)/Kohl’s I-40 & Garth Brooks Blvd, Yukon Mary Grace/Larry Emmer West Point Shoppes E 2006 Price Edwards & Co. 25,000 25,000 100% $14.00 $16.00 W Reno Ave & N Mustang Rd, Yukon Susan Brinkley/Ev Ernst Westgate Marketplace A 2000 Zerby Interests 1,000,000 8,000 1% $23.00 N/A Wal-Mart (120,000)(ST)/Home Depot I-40 & N MacArthur Blvd, OKC Caleb Hill Westoaks Village D 1964/74/82 Baker - First 91,347 2,000 2% $4.00 N/A Family Dollar/Cabinet Outlet NW 10th St & N Rockwell Ave, OKC Anna Conrady Will Rogers C 1982 Charles Shadid 160,000 4,500 3% $4.00 $6.00 Oriental Imports/McSalty’s Pizza 3000 N Portland Ave, OKC Charles Shadid Windsor Hills C 1960/98 Phillips Edison Co. 235,561 37,000 16% $3.50 N/A Crest Foods/Dollar Tree/Vatterott College/ 4601 NW 23rd St, OKC N/A Big Lots/Aaron’s/Hollywood Video Windsor Park E 1982 Freeman Companies 26,700 0 0% $12.00 N/A CiCi’s Pizza 2500 N Merdian Ave, OKC Tom Freeman Yukon Hills C 1978 JAH Realty, L.P. 127,200 5,200 4% $6.00 $9.00 Cross Trainers Fitness/Buy For Less/ E Vandement Ave & S Cornwell Dr, Yukon Ethan Slavin/Jeff Norman Dollar General Yukon Shopping Center D 2005 CBRE 31,500 0 0% $16.00 $18.00 Cato/Dollar Tree NW/C I-40 & Garth Brooks Blvd, Yukon Stuart Graham

West-Central Submarket Totals Total GLA Vacant SF Vacant % 3,700,267 298,121 8% 13 Oklahoma City Moore-Norman Submarket Summary Oklahoma City Moore is a bedroom community located in the south part of the Oklahoma City metropolitan area. Moore-Norman It is bisected by Interstate 35, a major interstate highway that runs from the Mexican border through Dallas north to Minnesota. Moore’s year 2000 population is close to 45,000. Moore, through the use of incentives for retailers was able to attract a number of great anchor tenants to its community and as a result, is enjoying a significant increase in retail traffic and is drawing numerous shoppers from outside of its city limits. The fast growing area west of this community has significantly strong demographics, and these Oklahoma City residents are doing lots of shopping in Moore.

New development activity in the south quadrant of Moore in the vicinity of the Wal-Mart Supercenter at south 19th and I-35 continues. The Warren Theatre development located just north of the Wal-Mart is underway, and the Lowe’s store is completed and open for business. The Shoppes at Moore which is anchored by a recently opened J. C. Penney’s is off to a great start. This projected 450,000 s.f. center is expected to be fully operational and leased in the not too distant future. Well over 1.5 million s.f. of retail footage will be operating within a one-half mile radius of the 19th and I-35 intersection when this development is completed. It has truly become a retail shopping destination that competes with Norman and Oklahoma City for the retail dollar and the all important sales tax dollars

Moore-Norman Submarket Historical Inventory that all of our communities desperately need. 1998 - 2007

6 Norman is a growth market located 17 miles south of Oklahoma City along Interstate 35. Its year 5 2000 population was estimated to be 97,000 and is the home of the University of Oklahoma with 4 over 30,000 students. 3 2 West Norman continues to be the strongest area of retail sales for the community. Led by Parkway Millions of Square Feet 1 Plaza, Sooner Fashion Mall and Brookhaven Village (comprising over one million square feet), this 0 98 99 00 01 02 03 04 05 06 07 area of the community draws from the surrounding area and continues to proper even though some Includes additional freestanding retail space shoppers are being lost to the retail centers in Moore located only six miles to the north.

East Norman continues to grow. In addition to the national and local tenants that have opened on Moore-Norman Submarket Historical Vacancy the east side of Norman, a new mixed use development with retail and residential is being developed 1998 - 2007 at S.E.12th & Lindsay is under construction. There is a CVS plus a four story building made up of one 10% floor of retail and three floors of residential. There are numerous small shops throughout this sector

8% of Norman.

acant 6% Downtown Norman has long enjoyed a strong retail following and should continue to be a force in 4% Percent V the market even though Hobby Lobby and Mardel’s moved to the vacated Target at 24th and West 2% Main. The vacated Hobby Lobby store is being divided into a multi-tenant building. Campus Corner 0% 98 99 00 01 02 03 04 05 06 07 redevelopment continues to enjoy success as several new tenants have located there.

Phase I of Town Center at University North Park, the multi-phase retail, entertainment, and hotel development on 275 acres located north and east of the I-35 and Robinson interchange, is under Moore-Norman Submarket Absorption construction. Super Target opened in October of 2006 with sales significantly above projections. 1999 - 2007 Reports indicate that the first 750,000 s.f. of this development will be open by the fall of 2008. There 1999 are possibly two million square feet of eventual development. A John Q. Hammons-developed Embassy 2000 2001 Suite hotel coupled with a convention center servicing the City of Norman is under construction. 2002 2003 2004 Price Edwards & Company surveyed 31 shopping centers totaling 3,313,073 s.f. in the Moore/Norman 2005 2006 submarket. Occupancy is a healthy 91.63%. By our estimate, there are presently 36 freestanding 2007 retail stores in this submarket with 1,793,626 s.f. of space. The only vacancy is a vacant CVS drug 0 50 100 150 200 Thousands of Square Feet store in Moore.

14 Name & Address Class Year Built Leasing Agent GLA Vacant Vac. % Rate 1 Rate 2 Anchor Tenant(s)

East Village Shopping Center E 2006 Equity Realty 30,000 25,350 85% $15.35 N/A E Lindsey & 12th Ave SE, Norman Judy Hatfield/Equity Realty Penlen Plaza D 2005 CB Richard Ellis/Okla. 30,000 30,000 100% $16.00 N/A NE/C SW 134th & S Western Ave, OKC Mark Inman/Brian Donahue/Alania McGlothlihn The Shops @ Moore B 2005/07 CB Richard Ellis/Okla. 450,000 386,711 86% N/A N/A JC Penney/Ross/Office Depot/Petsmart/ SE I-35 & SE 19th St, Moore Mark Inman Famous Footwear/Men’s Warehouse University North Park B 2006 Sooner Investment 750,000 0 0% N/A N/A Super Target (ST) Brandy Tice Construction Moore-Norman Totals 1,260,000 442,061 35%

Alameda Square D 1984 Equity Realty 85,420 12,866 15% $14.00 N/A Ace Hardware/Dollar Tree E Alameda St & 12th Ave NE, Norman Eric Fleske Anatole D 1985 Domain Commercial, LLC 64,555 14,028 22% N/A N/A Harbor Freight Tools E Alameda St & 12th Ave NE, Norman Micah Alcorn Brookhaven Village C 1985 Price Edwards & Co. 154,272 14,905 10% N/A N/A Chico’s/The Health Club/J Jill/Louie’s/ W Robinson St & 36th Ave NW, Norman Lee Chancellor Talbots/Jos. A Bank/Theos Camden Plaza E 2006 Equity Realty 30,000 5,600 19% $15.00 N/A 1003-1035 SW 19th St, Moore Eric Fleske Campus Corner Shops C 1911/93 Equity Realty 210,000 2,600 1% $12.50 $18.00 OU Authentic/Antiqued Goodem/ 301 W Boyd St, Norman Rainey Powell Harrold’s/Louie’s Restaurant Carriage Plaza E 1983 Gus Gianos Family Partnership 25,500 0 0% N/A N/A The Webb Cayman’s 2001 W Main St, Norman Peter Gianos Colonial Estates C 1988 CommercialOKC 104,051 22,248 21% N/A $12.00 Valu Foods/Langston’s E Lindsey St & 12th Ave NE, Norman Eric Fleske Downtown Center C 1965 Cecil Woods Company 107,000 0 0% $7.50 N/A Mardel 700 E Main St, Norman Heather Warrington East Moore Shopping Center D 1981 Grace Commercial 52,000 3,080 6% N/A $12.00 Dollar General 406 S Eastern Ave, Moore Mary R. Grace/Larry Emmer Former Hobby Lobby Building D N/A CB Richard Ellis/Okla. 47,000 30,000 64% N/A N/A Wine Store 555 W Main St, Norman Mark Inman Heisman Square D 1999 CB Richard Ellis/Okla. 93,000 2,250 2% $15.00 $15.00 Albertson’s/Hollywood Video/Cato E Alameda St & 12th Ave NE, Norman Eric Fleske/Equity Realty Hollywood Center C 1964 Foreman Properties 127,600 1,200 1% N/A N/A Homeland/Hancock Fabric 1600 W Lindsey St, Norman Lynn Foreman Malibu Shopping Center E 2006 Gerald Gamble Co. 27,000 15,591 58% $12.00 N/A Advance America Cash 824 NW 12th St, Moore Gerald Gamble Merkle Creek E 1985 Equity Realty 32,000 2,265 7% $13.00 $14.00 Re Horse Grill/Play It Again Sports/ 2203 W Main St, Norman Gayla Artman Tan & Tone America/Sake Moore Towne Center E 2005 Domain Commercial, LLC 35,000 6,142 18% $18.00 $18.00 McAlester’s/Mazzios Pizza SW/C I-35 & SE 19th St, Moore Micah Alcorn New City Center C 1963/98 Precor Realty 181,894 39,313 22% $9.00 N/A Family Dollar/Stage/Ace Hardware 605 N Moore Ave, Moore Rick Pritchett Normandy Creek C 1974 Dillard Group 107,366 14,700 14% $9.00 N/A Hastings Books (36,000)(ST)/ 2200 Block W Main St, Norman Steve Williams/Sandy Taylor Furr’s Cafeteria/BrookMays Music Park On Main D 1982 Huettner Properties 68,045 0 0% $9.00 $15.00 POM Executive Suites/Moto Photo W Main St & 36th Ave NW Debby Busking Parkway Plaza B 1996 Gemni Realty Advisors 375,000 16,848 4% $12.00 N/A Barnes & Noble/ Bed Bath & Beyond Ed Noble Parkway, Noble Zina Teresa Home Depot(120,000)(ST)/Toy’s ‘R Us/ Riverwalk Crossing D 2000 Mass Development 34,200 2,600 8% $14.00 $18.00 Alfredo’s Mexican Restaurant/ 1900 S I-35 Service Rd, Moore Lisa Shipman Advance America/Together Fitness Riverwalk Plaza E 2005 Price Edwards & Co. 26,939 1,326 5% $14.00 N/A Berkleys/Integris Physical Therapy 2109-2139 Riverwalk Dr, Moore Susan Brinkley Riverwalk Centre E 2000 Price Edwards & Co. 159,127 2,080 1% $18.00 N/A Khol’s/Gordman’s 2800 S Telephone Rd, Moore Susan Brinkley/Pat Barnes/Ev Everest Robinson Crossing C 1986/89 Brady’s Properties 108,000 1,750 2% $12.00 N/A Domino’s/PC Computer/Pizza Hut/ 1300 N Interstate Dr, Norman Ali Ghaniabadi Audio Demision/Univ of Phoenix Ross Dress For Less C 1984 Gumberg Asset Mgt. 176,000 0 0% N/A N/A Ross Dress for Less/Southern Antique SE 19th St & I-35, Moore Dave Siegel Silver Leaf D 1985 Sun Lee 88,097 10,000 11% N/A N/A SilverLeaf Furniture/Cruise One NE 12th St & N Eastern Ave, Moore Sun Lee B 1976/88/99 General Growth Properties 503,851 3,135 1% N/A N/A Dillard’s/JC Penney/Steinmart/Sears/ W Main St & I-35, Norman Steve Hughes/Lynn Palmerton Old Navy Sooner Shopping Center D 1966 Ultra-Thin 50,000 4,000 8% $6.00 N/A Moore Rexal Drugs/Moore Tag Agency NW 5th St & N Broadway Ave, Moore Joe Bryant Sooner West Plaza D 1981 Samples Management 64,500 0 0% $9.00 $13.00 Wright’s IGA/Tuesday Morning 36th St NW & W Main St, Norman N/A Stubbeman Village E 1972 Kathi White & Associates 28,451 2,600 9% N/A $12.00 Mr. Bill’s Ratcliff Bookstore Elm Ave & W Lindsey St, Norman Kathi White The Main Center D 2005 CB Richard Ellis/Okla. 106,307 49,464 47% $9.00 $9.00 Mardel/Hobby Lobby/Rent-A-Center W Main St & S Flood Ave, Norman Mark Inman West Port Shopping Center D N/A City Properties 40,898 0 0% $8.50 N/A Church’s Chicken/Little Ceasears 1200 N Santa Fe Ave, Moore Jennifer/Amy

Moore-Norman Submarket Totals Total GLA Vacant SF Vacant % 3,313,073 280,591 8% 15 Oklahoma City Eastern OK County Submarket Summary Oklahoma City Eastern Oklahoma County, which includes Midwest City and Del City as well as Choctaw, Harrah, Eastern OK County Spencer, and other small communities, combine a trade area of approximately 65,000. Average household income is over $42,000. The largest employer is Tinker Air Force Base, but there are numerous other employers in this area. Tinker remains Oklahoma City’s largest employer. Additionally, the new maintenance mall (MROTC) located across Douglass to the east of Tinker has opened its first maintenance facility. Boeing is the tenant and construction is being planned for two more Boeing-leased facilities. Reports indicate that numerous high paying jobs are going to be provided by this facility.

Midwest City and Sooner Investment’s Town Center development is virtually completed and has been added to our survey as an operating center. Super Target, Lowe’s, Kohl’s and numerous other stores are open. Shopping patterns for this submarket are changing as a result of this new center. Several centers and freestanding buildings in other areas of this submarket have lost tenants and are having to remarket themselves to attract users for the vacant spaces. On the other hand, Town Center is attracting shoppers from areas outside of Midwest City, and it will no doubt spur additional development to meet these shoppers’ needs.

Price Edwards & Company surveyed 26 shopping centers with 2,947,642 square feet of inventory. Eastern Oklahoma County Historical Inventory 1998 - 2007 Occupancy is 80.14% which is almost exactly what it was at the time of our last survey. The major 4.0 portion of this vacancy is tied to Heritage Park Mall which is undergoing a transition and the Uptown 3.5 Center. There are 34 freestanding retailers in operation with over 1,733,644 s.f. of which 160,500 s.f. 3.0 2.5 in five buildings is vacant. This vacancy is primarily centered in the Wal-Mart building in the area of 2.0 7500 East Reno. We have removed from the survey the Target building at this location due it being 1.5 purchased by a medical center with a conversion of some sort likely. 1.0 Millions of Square Feet 0.5 0.0 98 99 00 01 02 03 04 05 06 07 Includes additional freestanding retail space

Eastern Oklahoma County Historical Vacancy 1998 - 2007

30%

25%

20% acant 15%

Percent V 10%

5%

0% 98 99 00 01 02 03 04 05 06 07

Eastern Oklahoma County Submarket Absorption 1999 - 2007

1999 2000 2001 2002 2003 2004 2005 2006 2007 -200 -150 -100 -50 0 50 100 Thousands of Square Feet

16 Name & Address Class Year Built Leasing Agent GLA Vacant Vac. % Rate 1 Rate 2 Anchor Tenant(s)

Town Center B 2005 Sooner Investment 750,000 10,000 1% N/A $25.00 Target/Kohls/Marshall’s/JC Penny/Chili’s/ SE 29th St, Midwest City Brandy Tice Lowe’s Home Improvement/Steak n Shake Construction Eastern OK County Total 750,000 10,000 1%

23 Post Plaza D 1986 Nancy Brewer 35,000 2,040 6% $7.00 N/A Spencer’s Smokehouse NW 23rd St & N Post Rd, Midwest City Nancy Brewer Boulevard Market Place D 1983 Weingarten Realty 35,500 4,940 14% $7.70 $9.00 Factory Direct/Subway/Colortyme 101 N Douglas Blvd, Midwest City Brooke Harvey Choctaw Plaza C 1974/84 Sperry Van Ness 130,765 15,930 12% $3.95 $6.95 Super H Discount Foods/Shape Fitness/ 14407 NE 23rd St, Choctaw Sami Musallam Chase Ban/Blockbuster/Dollar General Decker Center D 1982 Bradys Properties 33,500 11,400 34% $6.00 $8.00 Supercut’s/Customer Choice/Kinko’s 1200 S Air Depot Blvd, Midwest City Ali Ghaniabadi Del Crest Shops D 1957/90 Del City Shops 78,150 1,200 2% $5.00 $6.00 Ace Hardware/Dollar General SE 15th St & S Sunnylane Rd, Del City Linda Crosby Dixon Plaza D 1978/80 Joe Leon 34,900 0 0% $8.00 N/A Buy for Less(26,000)(ST)/Farmer’s Insurance SE 15th St & S Post Rd, Midwest City Joe Leon Eastgate Shopping Center D 1965 Interwest Realty Co. 51,052 20,379 40% $6.00 N/A Family Dollar 1100 Midwest Blvd, Midwest City George Huffman Gateway Plaza C 1985 Clinton Greenhaw 100,000 0 0% N/A $12.00 Chase Bank/Dollar Tree/Hobby Lobby SE 15th St & S Air Depot Blvd, Midwest City Charles Greenhaw Greenhaw D 1960 Law Offices 33,000 0 0% $6.00 N/A Dollar General NE 10th St & N Lee Ave, OKC Edward Lee Hartsdel D 1995 Charles Shadid 50,000 1,468 3% $4.00 $5.00 Highlander Laundry/Beauty Supply SE 44th S & S Bryant Ave, Del City Charles Shadid Heritage Park Mall B 1978/93 Grubb Ellis/Levy Beffort 590,661 322,616 55% $12.00 $8.00 Bath & Body Works/Sears E Reno & N Air Depot Blvd, Midwest City Louis Almarez/Michael Almarez Heritage Plaza D 1987 GBR Properties,Inc. 75,071 39,918 53% $7.50 N/A Weight Watchers/Ron’s Hamburger/ 351 N Air Depot Blvd, Midwest Cty Bob Parker Tom Stidham Insurance Holiday Square D 1974 Pelfriz Investments 85,000 4,200 5% $6.00 N/A Furr’s Cafeteria/Karen’s Kids 1100 S Air Depot Blvd, Midwest City Sheila Hoppis North East Shopping Center D N/A N/A 100,000 20,000 20% $3.00 $5.00 Options Unlimited/Scoame Street Day Care 1124 NE 36th St, OKC Charles Shadid Park Estates D 1952 Shapard Properties,Inc. 38,000 3,500 9% $4.50 N/A Scott Cleaners/Dollar General NE 36th St & N Kelly Ave, OKC Bill Shapard Park Plaza D 1993 Charles Shadid 38,268 0 0% $3.00 $4.00 Diva Beauty Supply/Whirlwind Cleaners 3700 Springlake Dr, OKC Charles Shadid Sooner Market Place D 1995 Charles Shadid 63,013 6,000 10% $5.00 $7.00 Chelino’s/Speed Mart N Sooner Rd & E Reno Ave, Del City Charles Shadid Spencer’s Center D 2000 Charles Shadid 40,000 2,500 6% $3.00 $5.00 Conoco/Discount Beauty Supply NE 23rd St & N Spencer Rd, Spencer Charles Shadid Sunnylane Plaza D 1979 Hayes Brokerage 86,078 0 0% $6.00 N/A Radio Shack/Advance America SE 44th St & S Sunnylane Rd, Del City Don Hayes Tan & Tone America Center E 2005 Price Edwards & Co. 25,300 2,400 9% $12.00 $15.00 Tan & Tone America 1900 S Air Depot Blvd, Midwest City Susan Brinkley The Village D 1968 Micheal Biddinger Real Estate 32,000 2,800 9% $7.25 N/A Rent-A-Center SE 29th St & S Vicki Dr, Del City Casey Wyatt Town & Country C 1966/89 Weingarten Realty 137,384 9,636 7% N/A $12.00 Office Depot/Aaron’s/Big Lots/ E Reno & N Air Depot Blvd, Midwest City Brooke Harvey WestLake Hardware Uptown C 1958/72/06 Atkinson Prop. & Invest. 242,000 100,000 41% N/A $15.00 Dollar General/Michael’s Crafts/Langston’s 7430 SE 15th St, Midwest City Joe Atkinson Village Oak E 1981 Bradys Properties 27,500 1,300 5% $8.00 N/A Oklahoma Blood Institute/Shape Fitness/ 1000 S Douglas Blvd, Midwest City Ali Ghaniabadi Lupe’s Restaurant/Papa John Pizza Westminster D 1963 V. C. Davidson 58,000 3,200 6% $4.00 N/A Angle’s Furniture/K & B Surplus NE 23rd St & N Westminster Rd, Nicoma Park Davidson

Eastern OK County Submarket Totals Total GLA Vacant SF Vacant % 2,220,142 575,427 26%

OKC Retail Market Totals Total GLA Vacant SF Vacant % 25,628,514 2,816,160 11% 17 Mid-YearMid-Year 2007 2007 Sales Sales SummarySummary

After last year’s retail property sales bonanza when over $158 million of sales on 24 separate transactions, the sales volume for the first half of 2007 has been much slower. This does not mean that there is not a great deal of activity, but closings have been less prevalent during the past six months. There have been five sales in excess of 15,000 s.f. documented by Price Edwards & Company. These five sales over $31 million on 394,764 s.f. for an average per s.f. sales price of $79.23 per s.f. The highest per s.f. price was $159.58 for Berkshire Plaza located at 15th and Broadway Extension in Edmond and the lowest was $42.48 for Market Place located at 5701 Northwest Expressway. Reported cap rates have ranged between 7.5% and 9% except in one case which had an over 50% vacancy factor and is an obvious turnaround situation.. The properties that sold have ranged between 35,000 s.f. and almost 160,000.

Most of our buyers have come from outside the Oklahoma City area. We know that a variety of entities have bought properties in our market so far this year; however, we do not think that any of them were large institutions.

We know that there are a number of properties in our market that are in play at this time. Reports indicate that there is significant liquidity available, and even though the national lending market has tightened up according to media reports, we still see plenty of eager lenders willing to finance well capitalized buyers of properties at historically attractive rates. However, we are told that conduit loans are not nearly as attractive as they were in 2006 when rates were lower than other conventional financing sources which might offer more flexibility than conduits. Price Edwards & Company’s sales representatives are very optimistic about the balance of 2007 and 2008.

Price Edwards & Company 210 Park Avenue, Suite 1000 • Oklahoma City, OK 73102 • Phone: (405) 843-7474 • Fax: (405) 236-1849 www.priceedwards.com