IREM releases 2008 Income/Expense Analysis: Shopping Centers report

According to a new report from the Institute of Real Estate Management, (IREM) median income for open shopping centers across the country in 2007, based on average actual occupancy (AAO), increased to $15.10 per s/f from $13.96 the prior year. Similarly, open center operating costs rose to $4.55 per s/f from $4.27 in 2006.   These are among the key findings reported in the 2008 edition of the Income/Expense Analysis: Shopping Centers, a new benchmarking study published by IREM. Regionally, median income for open centers in 2007 ranged from $11.86 to $20.30 per s/f versus a range of from $11.90 to $18.99 per s/f in 2006. In both years, the West Coast reported the highest income per s/f. Regional results also revealed that the Southeast had the lowest median operating cost for open centers last year at $2.83 per s/f, whereas the Southwest had the highest cost at $5.80 per s/f. Insurance and taxes accounted nationally for 43.7% of the typical open center's total operating costs in 2007. Contracted services accounted for 13.4%, whereas maintenance/repair and utilities accounted for 10.1% and 7% of operating costs, respectively. Finally, the study reported a national occupancy level for open shopping centers in 2007 of 96%, the same as in 2006. The Income/Expense Analysis: Shopping Centers is available by contacting IREM's Customer Service Dept. or by visiting IREM's website. The IREM® Income/Expense Analysis® study breaks down open shopping center operating data into several categories, including property size, age, type of anchor, type of lease, average actual occupancy (AAO) and gross leasable area (GLA). The study includes national, regional and metropolitan statistics, along with several special reports including leasing fees, expansion, tenant turnover, type of ownership and gross sales analysis.   IREM also has just published new 2008 editions of its four other annual Income/Expense Analysis studies: Conventional Apartments; Office Buildings; Condominiums, Cooperatives & Planned Unit Developments; and Federally Assisted Apartments. IREM members receive a 50% discount on each study; member and non-member purchasers of all five studies receive a 15% discount on their total order.