TRAFFIC PATTERNS

YIELDS AHEAD

European retail properties deliver yields as low as 2.75 percent — in Dublin — and as high as 17 percent — in Moscow. Annual rents also vary greatly.

RETAIL RENTS AND YIELDS
City/Country	Annual Rent (per square foot)	Prime Yield
Athens, Greece	$270.78	6.70%
Bergamo, Italy	51.07	7.00
Berlin, Germany	285.03	5.00
Birmingham, U.K.	601.19	4.00
Bristol, U.K.	351.47	4.75
Budapest, Hungary	156.77	6.00
Cardiff, U.K.	554.95	4.75
Copenhagen, Denmark	238.95	5.50
Dublin, Ireland	1068.88	2.75
Edinburgh, U.K.	388.46	4.25
Frankfurt, Germany	299.29	5.00
Genoa, Italy	40.38	7.00
Glasgow, U.K.	462.46	4.25
Helsinki, Finland	213.78
5.00
Leeds, U.K.	573.45	4.50
Lisbon, Portugal	64.13	8.50
London, U.K.	961.91	4.50
Manchester, U.K.	591.94	4.00
Milan, Italy	237.53	6.20
Moscow, Russia	190.02	17.00
Munich, Germany	334.91	4.80
Rome, Italy	154.39	6.30
Turin, Italy	27.32	6.00
Vienna, Austria	178.15	7.00
Warsaw, Poland	121.14	6.50
Source: GVA Worldwide

CONSTRUCTION SLOWING

Developers are taking a breather in building new projects. Retail construction starts were down 17.7 percent in November from the same period last year. But numbers vary greatly from market to market. Philadelphia, for example, is experiencing much more construction activity than a year ago.

IN THE PIPELINE
Region	3-month moving average change	3-month moving average year over year
U.S.	-6.30%	-15.40%
Atlanta	28.1	-25.1
Boston	24.8	-1.9
Chicago	5.1	32.5
Dallas	2.5	-6.7
Denver	-6.3	-11.6
Detroit	4.6	33.6
Houston	-11.2	19.1
Las Vegas	43.4	-72.4
Los Angeles	-11.9	-33.5
Miami	-16.1	-49.9
Minneapolis	-47.6	1.7
Nassau-Suffolk, NY	30	258.6
New York	-12.1	-74.5
No. California	52.6	7.8
No. New Jersey	-12.1	-62.5
Orange Co., Calif.	38.9	-33.8
Orlando	19.6	3.2
Philadelphia	97.9	331.1
Phoenix	-10.1	56.4
Riverside, Calif.	-8.3	-23.2
San Diego	-37.8	-61.8
Seattle	-13.9	141.7
Washington, D.C.	16.3	21.4
Source: Citigroup Investment Research McGraw-Hill Construction and Economy.com

COME ON IN

India ranks atop A.T. Kearney's Global Retail Development Index for 2006. Five of the top 10 markets for retail development are in Eastern Europe.

2006 GLOBAL RETAIL DEVELOPMENT INDEX
2006 rank	Country	Region	Country risk 25%	Market attractiveness 25%	Market saturation 30%
1	India	Asia	55	34	89
2	Russia	Eastern Europe	43	59	53
3	Vietnam	Asia	43	24	87
4	Ukraine	Eastern Europe	42	37	76
5	China	Asia	58	40	57
6	Chile	Americas	67	57	47
7	Latvia	Eastern Europe	58	50	31
8	Slovenia	Eastern Europe	78	52	25
9	Croatia	Eastern Europe	57	51	28
10	Turkey	Mediterranean	46	59	64
11	Tunisia	Mediterranean	58	40	79
12	Thailand	Asia	57	39	49
13	Korea, South	Asia	68	73	35
14	Malaysia	Asia	66	49	54
15	Macedonia	Eastern Europe	32	32	75
16	United Arab Emirates	Asia	78	67	33
17	Saudi Arabia	Asia	53	46	67
18	Slovakia	Eastern Europe	61	51	23
19	Mexico	Americas	54	67	47
20	Egypt	Mediterranean	45	35	81
21	Bulgaria	Eastern Europe	48	37	52
22	Romania	Eastern Europe	45	40	53
23	Hungary	Eastern Europe	65	50	17
24	Taiwan	Asia	83	69	32
25	Bosnia and Herzegovina	Eastern Europe	31	18	71
26	Lithuania	Eastern Europe	59	52	32
27	Brazil	Americas	46	56	64
28	Morocco	Mediterranean	45	31	76
29	Colombia	Americas	39	42	65
30	Kazakhstan	Asia	48	15	99
Source: A.T. Kearney

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