COMPARING THE INDEXES

Although the S&P 500 has experienced greater highs, it has also fallen to lower lows over the past 15 years. Real estate investments, on the other hand, have provided steady returns. The NAREIT Price Index, for example, has averaged a 10.08% return over 15 years, a hair less than the S&P 500's 15-year return of 10.86%.

Total Return Analysis of Major Indexes As of Sept. 2002
1 Year 10 Years 15 Years Beginning Date
NAREIT Price Index 16.22% 12.70% 10.08% 1984
Lehman Government Bonds 8.81% 7.12% 7.51% 1984
NCREIF Index 5.60% 8.54% 6.81% 1977
T-Bills (3-month) 2.46% 4.58% 5.32% 1977
S&P 500 Index -17.98% 11.46% 10.86% 1977
Source: NCREIF, S&P 500 Corp., Lehman Bros., BEA, NAREIT, Real Estate Research Corp.


Insight from: demographics

FORTUNE 500 MAGNETS

The number of Fortune 500 companies is a strong indicator of a city's long-term vibrancy. New York tops the list with 40 Fortune 500 headquarters as of 2001. The chart below ranks the top 10 cities with the most Fortune 500 headquarters in 2001 vs. 1991.

2001 No. of headquarters 1991 No. of headquarters
1. New York 40 1. New York 39
2. Houston 20 2. Chicago 19
3. Atlanta 12 3. Houston 16
4. Chicago 11 4. Dallas 12
5. San Francisco 9 5. Cleveland 11
6. Philadelphia 8 Pittsburgh 11
7. Charlotte, N.C. 7 7. Stamford, Conn. 9
Cleveland 7 8. Minneapolis 8
St. Louis 7 St. Louis 8
10. Birmingham, Ala. 6 9. Los Angeles 7
Boston 6 10. Atlanta 6
Cincinnati 6 Richmond, Va. 6
Dallas 6
Milwaukee 6
Minneapolis 6
Pittsburgh 6
*The Fortune 500 is a revenue-based ranking compiled by Fortune magazine.
Source: Fortune April 15, 2002; Fortune April 20, 1992.


NEIGHBORHOOD GIANTS

It's no secret that Simon Property Group is the largest mall REIT in the U.S. with a market cap of $6.6 billion. But in the neighborhood shopping center category, Kimco Realty Corp. is the king of the hill with a market cap of about $3.25 billion. The combined equity market cap of the 26 REITs tracked in the neighborhood shopping center niche is $18.36 billion, of which Kimco comprises 17.7%.

Top Five Shopping Center REITs
(Ranked by equity market cap as of Sept. 30, 2002)
Company Symbol Market Cap (in billions) Market Cap Percentage of Total Subsector
Kimco Realty Corp. KIM $3.25 17.7%
Weingarten Realty Investors WRI $1.90 10.3%
New Plan Excel Realty Trust Inc. NXL $1.79 9.7%
Regency Centers Corp. REG $1.78 9.7%
Developers Diversified Realty Corp. DDR $1.43 7.8%
Source: National Association of Real Estate Investment Trusts (NAREIT)