REAL ESTATE PROPERTIES

12 Months Ended

Sep. 30, 2011

REAL ESTATE PROPERTIES

REAL ESTATE PROPERTIES

NOTE 5—REAL ESTATE PROPERTIES

        A summary of the change in real estate properties for the year ended September 30, 2011 is as follows (dollars in thousands):

	September 30, 2010 Balance			Costs Capitalized		Depreciation, Amortization and Paydowns			September 30, 2011 Balance
Shopping centers/retail	$	2,957	(a)		—	$	(104	)	$	2,853
Multi-family		2,969			—		(2,654	)		315
Commercial		41,945	(b)	$	6,793		(601	)		48,137
Land		7,972	(c)		—		—			7,972
Total real estate properties	$	55,843		$	6,793	$	(3,359	)	$	59,277

(a)

The Trust holds, with a minority partner, a leasehold interest in a portion of a retail shopping center located in Yonkers, New York. The leasehold interest is for approximately 28,500 square feet and, including all option periods, expires in 2045. The non-controlling interest was 15%, or $(120,000) at September 30, 2011 and 30% or $152,000 at September 30, 2010.            These amounts are included as a component of non-controlling interests on the consolidated balance sheets.

(b)

Represents the real estate assets of RBH-TRB Newark Holdings LLC, a consolidated VIE which owns 26 operating and development properties in Newark, New Jersey. These properties contain a mix of office, retail space and surface parking, totaling approximately 637,000 square feet. These assets are subject to blanket mortgages in the aggregate principal balance of $27,000,000 held by the Trust, which are eliminated in consolidation. Several of the assets are also encumbered by other mortgages which are discussed in Note 9—Debt Obligations—Mortgages Payable. The risks associated with our involvement in this VIE have not changed in the year ended September 30, 2011.

For the years ended September 30, 2011 and 2010, this VIE had revenues of $2,034,000 and $2,026,000, respectively, and operating expenses of $2,486,000 and $2,635,000, respectively, excluding interest and depreciation expense. The Trust made capital contributions of $3,194,000 and $1,858,000 to this venture in the years ended September 30, 2011 and 2010, respectively, representing its proportionate share of capital required to fund the operations of the venture for its next fiscal year. The contributions made in 2011 also include $928,000 to purchase additional land parcels. The minority partner also made its proportionate share of the capital contribution which totaled $3,181,000 and $1,851,000 in the years ended September 30, 2011 and 2010, respectively.

(c)

Land is composed of an 8.9 acre development parcel located in Daytona Beach, Florida, previously acquired in foreclosure.

        Future minimum rentals to be received by the Trust pursuant to non-cancellable operating leases with terms in excess of one year, from properties on which the Trust holds title at September 30, 2011, are as follows (dollars in thousands):

Year Ending September 30,	Amount
2012	$	2,481
2013		2,221
2014		2,172
2015		2,185
2016		2,066
Thereafter		10,944
Total	$	22,069