SECOND QUARTER 2016 SUPPLEMENTAL INFORMATION

2 Table of Contents Construction Business Summary Same Store NOI by Segment Top 10 Tenants by Annualized Base Rent Office Lease Summary Office Lease Expirations Retail Lease Summary Retail Lease Expirations Net Asset Value Component Data Appendix – Definitions & Reconciliations Definitions Same Store vs Non-Same Store Properties Reconciliation to Property Portfolio NOI Reconciliation to GAAP Net Income Forward Looking Statements Corporate Profile Highlights 2016 Outlook Summary Information Summary Balance Sheet Summary Income Statement FFO, Normalized FFO & Adjusted FFO Outstanding Debt Core Debt to Core EBITDA Debt Information Capitalization & Financial Ratios Property Portfolio Development Pipeline Acquisitions & Dispositions 19 20 21 22 23 24 25 26 27 28 31 32 34 9 10 11 12 13 14 15 17 18 3 4 5 6 7 8

3 Forward Looking Statements This Supplemental Information should be read in conjunction with the unaudited condensed consolidated financial statements appearing in our press release dated August 2, 2016, which has been furnished as Exhibit 99.1 to our Form 8-K filed on August 2, 2016. The Company makes statements in this Supplemental Information that are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (set forth in Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”)). In particular, statements pertaining to our capital resources, portfolio performance and results of operations contain forward- looking statements. Likewise, all of our statements regarding our 2016 outlook and anticipated growth in our funds from operations, normalized funds from operations, funds available for distribution and net operating income are forward-looking statements. You can identify forward-looking statements by the use of forward-looking terminology such as “believes,” “expects,” “may,” “will,” “should,” “seeks,” “intends,” “plans,” “estimates” or “anticipates” or the negative of these words and phrases or similar words or phrases which are predictions of or indicate future events or trends and which do not relate solely to historical matters. You can also identify forward-looking statements by discussions of strategy, plans or intentions. Forward-looking statements involve numerous risks and uncertainties and you should not rely on them as predictions of future events. Forward-looking statements depend on assumptions, estimates, data or methods, which may be incorrect or imprecise, and actual results may vary materially from those anticipated, estimated or projected. The Company does not guarantee that the transactions and events described will happen as described (or that they will happen at all). For further discussion of risk factors and other events that could impact our future results, please refer to the section entitled “Risk Factors” in our most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission (the “SEC”), and the documents subsequently filed by us from time to time with the SEC. The Company does not provide a reconciliation for its guidance range of Normalized FFO per diluted share to net income per diluted share, the most directly comparable forward-looking GAAP financial measure, because it is unable to provide a meaningful or accurate estimate of reconciling items and the information is not available without unreasonable effort as a result of the inherent difficulty of forecasting the timing and/or amounts of various items that would impact net income per diluted share. For the same reasons, the Company is unable to address the probable significance of the unavailable information and believes that providing a reconciliation for its guidance range of Normalized FFO per diluted share would imply a degree of precision for its forward-looking net income per diluted share that could be misleading to investors.

Analyst Coverage 4 Corporate Profile Armada Hoffler Properties, Inc. (NYSE:AHH) is a full service real estate company that develops, constructs and owns institutional grade office, retail and multifamily properties in the Mid-Atlantic United States. The Company also provides general contracting and development services to third-party clients throughout the Mid-Atlantic and Southeastern regions. Armada Hoffler Properties, Inc. was founded in 1979 and is headquartered in Virginia Beach, VA. The Company has elected to be taxed as a real estate investment trust (“REIT”) for U.S. federal income tax purposes. Board of Directors Corporate Officers Investor Relations Daniel A. Hoffler A. Russell Kirk Louis S. Haddad John W. Snow George F. Allen James A. Carroll James C. Cherry Eva S. Hardy Executive Chairman of Board Vice Chairman of the Board Director Lead Independent Director Independent Director Independent Director Independent Director Independent Director Louis S. Haddad Michael P. O’Hara Eric L. Smith Anthony P. Nero Eric E. Apperson Shelly R. Hampton President and Chief Executive Officer Chief Financial Officer and Treasurer Chief Investment Officer and Corporate Secretary President of Development President of Construction President of Asset Management Michael P. O’Hara Chief Financial Officer and Treasurer (757) 366-6684 mohara@armadahoffler.com Janney, Montgomery, & Scott LLC Robert Stevenson (646) 840-3217 robertstevenson@janney.com Raymond James & Associates Bill Crow (727) 567-2594 bill.crow@raymondjames.com Robert W. Baird & Co. David Rogers (216) 737-7341 drogers@rwbaird.com Stifel, Nicolaus & Company, Inc. John Guinee (443) 224-1307 jwguinee@stifel.com Wunderlich Securities Craig Kucera (540) 277-3366 ckucera@wundernet.com Stonegate Capital Partners Laura Engel (214) 987-4121 laura@stonegateinc.com

5 Highlights • Net income of $3.1 million, or $0.06 per diluted share, for the quarter ended June 30, 2016 compared to net income of $10.3 million, or $0.25 per diluted share, for the quarter ended June 30, 2015. Excluding gains from real estate dispositions, net income for both periods was approximately $3.1 million. • Normalized Funds From Operations (“FFO”) of $12.5 million, or $0.26 per diluted share, for the quarter ended June 30, 2016 compared to Normalized FFO of $9.7 million, or $0.24 per diluted share, for the quarter ended June 30, 2015. • FFO of $11.7 million, or $0.24 per diluted share, for the quarter ended June 30, 2016 compared to FFO of $8.8 million, or $0.22 per diluted share, for the quarter ended June 30, 2015. • Same Store Net Operating Income (“NOI”) increased for the eighth consecutive quarter. • Core operating property portfolio occupancy at 95.3% compared to 95.3% as of June 30, 2015. • Agreed to invest $42.0 million in The Residences at Annapolis Junction Town Center, located approximately two miles from Fort Meade, with options to acquire a controlling interest upon the project's completion. • Added 220,000 square feet of retail space in the greater Richmond market through the acquisition of Southgate Square for a combination of $21.1 million in debt and 1.6 million Operating Partnership units, and agreed to purchase another 40,000 square feet of retail space at Southshore Shops for a combination of $6.7 million in cash and 0.2 million Operating Partnership units. • Announced the next phase of development in the Town Center of Virginia Beach, a $35 million mixed-use project expected to include 39,000 square feet of retail space, which is nearly 50% pre-leased, and 120 luxury apartments, as part of the Company's ongoing public-private partnership with the City of Virginia Beach. • Sold Willowbrook Commons (June 20, 2016) and Kroger Junction (July 29, 2016) – two of the non-core retail centers acquired as part of the 11-asset portfolio purchased completed in January – for an aggregate sales price of $12.9 million. • The Company is raising its 2016 full-year Normalized FFO guidance range - now $0.96 to $1.00 per diluted share from its previous guidance range of $0.94 to $0.98 per diluted share.

6 2016 Outlook The Company is raising its 2016 full-year guidance and now expects 2016 Normalized FFO in the range of $0.96 to $1.00 per diluted share. The following table outlines the Company’s assumptions along with Normalized FFO per share estimates for the full-year 2016. [1] Excludes the impact of any future acquisitions other than Southshore Shops, dispositions or other capital markets activity, except for additional shares that may be issued under the ATM program, assuming favorable market conditions. [2] Normalized FFO excludes certain items, including debt extinguishment losses, acquisition, development and other pursuit costs, mark-to-market adjustments for interest rate derivatives and other non-comparable items. See “Non-GAAP Financial Measures.” In addition, the calculation of Normalized FFO per diluted share assumes 49.8 million weighted average shares and units outstanding, including shares issued under the ATM program. Ful -y ar 2016 Guidance [1] Total GAAP NOI $65.8M $66.5M Construction company annual segment gross profit $4.7M $5.2M General and administrative expenses $9.1M $9.4M Interest income $3.0M $3.3M Interest expense $16.0M $16.5M Normalized FFO per diluted share [2] $0.96 $1.00 Expected Ranges

7 Summary Information $ in thousands, except per share data Three months ended 6/30/2016 3/31/2016 12/31/2015 9/30/2015 6/30/2015 OPERATIONAL METRICS Net income $3,131 $26,533 $8,443 $4,337 $10,285 Net income per diluted share $0.06 $0.57 $0.19 $0.10 $0.25 Rental properties Net Operating Income (NOI) 16,798 15,605 14,713 14,382 13,318 General contracting and real estate services gross profit 1,175 1,766 1,106 2,106 1,783 Adjusted EBITDA (1) 16,077 14,406 12,903 14,341 12,235 Funds From Operations (FFO) 11,720 8,438 9,618 10,654 8,841 FFO per diluted share $0.24 $0.18 $0.22 $0.25 $0.22 Normalized FFO 12,530 11,566 10,614 10,996 9,675 Normalized FFO per diluted share $0.26 $0.25 $0.24 $0.26 $0.24 Annualized dividend yield 5.24% 6.40% 6.49% 6.96% 6.81% CAPITALIZATION Total common shares outstanding 32,825 31,095 30,076 26,261 25,855 Operating Partnership ("OP") units outstanding 17,597 16,027 16,027 16,043 14,769 Common shares and OP units outstanding 50,422 47,122 46,103 42,304 40,624 Market price per common share $13.74 $11.25 $10.48 $9.77 $9.99 Equity market capitalization(2) $692,798 $530,123 $483,159 $413,310 $405,834 Total debt(3) 512,702 471,876 382,013 421,442 388,288 Total market capitalization 1,205,500 1,001,999 865,172 834,752 794,122 Less: cash (23,142) (22,505) (29,813) (19,434) (30,446) Total enterprise value $1,182,358 $979,494 $835,359 $815,318 $763,676 BALANCE SHEET METRICS Core Debt/enterprise value 35.4% 40.1% 37.0% 44.6% 36.3% Fixed charge coverage ratio 3.3x 3.1x 3.1x 3.3x 3.1x Core Debt/Annualized Core EBITDA 6.7x 6.9x 6.1x 6.6x 6.0x CORE PORTFOLIO OCCUPANCY Office (4) 94.6% 95.0% 95.8% 95.5% 94.6% Retail (4) 96.0% 95.1% 95.5% 96.2% 95.6% Multifamily(5) 94.3% 93.5% 94.2% 94.9% 96.5% Weighted Average (6) 95.3% 94.7% 95.3% 95.6% 95.3% (1) Excludes gains on dispositions of real estate and mark-to-market adjustments on interest rate derivatives (2) Includes common shares and OP units (3) Excludes unamortized GAAP adjustments (4) Office and retail occupancy based on occupied square feet as a % of respective total (5) Multifamily occupancy based on occupied units as a % of respective total (6) Total occupancy weighted by annualized base rent

8 Summary Balance Sheet $ in thousands 6/30/2016 12/31/2015 Assets (Unaudited) Real estate investments: Income producing property $752,783 $579,000 Held for development 2,032 1,180 Construction in progress 79,258 53,411 Accumulated depreciation (127,337) (125,380) Net real estate investments 706,736 508,211 Real estate investments held for sale 5,829 40,232 Cash and cash equivalents 19,984 26,989 Restricted cash 3,158 2,824 Accounts receivable, net 14,366 21,982 Notes receivable 39,311 7,825 Construction receivables, including retentions 31,277 36,535 Costs and estimated earnings in excess of bil l ings 1,756 88 Other assets 72,055 44,861 Total Assets $894,472 $689,547 Liabilities and Equity Indebtedness, net $501,940 $377,593 Debt secured by real estate held for sale 6,380 - Accounts payable and accrued liabilities 6,379 6,472 Construction payables, including retentions 49,203 52,067 Bil l ings in excess of costs and estimated earnings 2,893 2,224 Other l iabilities 38,935 25,471 Total Liabilities 605,730 463,827 Total Equity 288,742 225,720 Total Liabilities and Equity $894,472 $689,547 As of

9 Summary Income Statement Amounts in thousands, except per share data Three months ended Six Months Ended 6/30/2016 6/30/2015 6/30/2016 6/30/2015 Revenues (Unaudited) Rental revenues $24,251 $19,908 $47,534 $38,098 General contracting and real estate services 33,200 47,066 70,003 76,137 Total Revenues 57,451 66,974 117,537 114,235 Expenses Rental expenses 5,071 4,631 10,400 9,391 Real estate taxes 2,382 1,959 4,731 3,616 General contracting and real estate services 32,025 45,283 67,062 73,425 Depreciation and amortization 8,602 5,766 16,751 10,674 General and administrative 2,224 2,096 4,708 4,424 Acquisition, development & other pursuit costs 437 591 1,141 762 Impairment charges - 23 35 23 Total Expenses 50,741 60,349 104,828 102,315 Operating Income 6,710 6,625 12,709 11,920 Interest income 722 - 904 - Interest expense (3,978) (3,358) (7,769) (6,404) Loss on extinguishment of debt - (180) - (407) Gain on real estate dispositions 13 7,210 26,687 13,407 Change in fair value of interest rate derivatives (373) (40) (2,762) (187) Other income 43 24 119 39 Income before taxes 3,137 10,281 29,888 18,368 I come tax benefit (provision) (6) 4 (224) 35 Net Income $3,131 $10,285 $29,664 $18,403 Per Diluted Share $0.06 $0.25 $0.62 $0.46 Weighted Average Shares-Diluted 48,849 40,356 47,534 40,088

(1) See definitions on pages 28-30 (2) Excludes gain on non-operating real estate of $430K for the three months ended 3/31/2016 (3) Excludes first generation rental space 10 FFO, Normalized FFO & Adjusted FFO(1) $ in thousands, except per share data Three months ended 6/30/2016 3/31/2016 12/31/2015 9/30/2015 6/30/2015 Funds From Operations (Unaudited) Net income $3,131 $26,533 $8,443 $4,337 $10,285 Earnings per diluted share $0.06 $0.57 $0.19 $0.10 $0.25 Depreciation and amortization 8,602 8,149 6,162 6,317 5,766 Gain on disposition of operating real estate(2) (13) (26,244) (4,987) - (7,210) Real estate joint ventures - - - - - FFO $11,720 $8,438 $9,618 $10,654 $8,841 FFO per diluted share $0.24 $0.18 $0.22 $0.25 $0.22 Normalized FFO Acquisition, development & other pursuit costs 437 704 885 288 591 Loss on extinguishment of debt - - 102 3 180 Impairment charges - 35 18 - 23 Change in fair value of interest rate derivatives 373 2,389 (9) 51 40 Normalized FFO $12,530 $11,566 $10,614 $10,996 $9,675 Normalized FFO per diluted share $0.26 $0.25 $0.24 $0.26 $0.24 Adjusted FFO Non-cash stock compensation 215 437 176 173 203 Acquisition, development & other pursuit costs (437) (704) (885) (288) (591) Tenant improvements, leasing commissions (3) (1,365) (287) (509) (992) (756) Property related capital expenditures (603) (390) (563) (640) (366) Non-cash interest expense 277 191 215 233 240 Net effect of straight-line rents (194) (122) (134) (309) (545) Amortization of leasing incentives & above (below) market rents (183) 6 174 170 217 Government development grants - - - 300 - AFFO $10,240 $10,697 $9,088 $9,643 $8,077 AFFO per diluted share $0.21 $0.23 $0.21 $0.23 $0.20 Weighted Average Common Shares Outstanding 31,736 30,191 27,411 25,958 25,587 Weighted Average Operating Partnership ("OP") Units Outstanding 17,113 16,027 16,027 15,919 14,769 Total Weighted Average Common shares and OP units outstanding 48,849 46,218 43,438 41,877 40,356

11 Outstanding Debt $ in thousands Debt Maturities & Principal Payments Debt Stated Rate Effective Rate as of 6/30/2016 Maturity Date 2016 2017 2018 2019 2020 Thereafter Amount Outstanding as of 6/30/2016 Secured Notes Payable - Core Debt 249 Central Park Retail 5.99% 5.99% 9/8/2016 $15,134 $15,134 South Retail 5.99% 5.99% 9/8/2016 6,677 6,677 Fountain Plaza Retail 5.99% 5.99% 9/8/2016 7,567 7,567 Encore Apartments L+1.95% 2.41% 1/30/2017 25,184 25,184 North Point Note 5 L+2.00% 3.57% (1) 2/1/2017 11 643 654 Oyster Point L+1.40% - 2.00% 2.21% 2/28/2017 6,400 6,400 Harrisonburg Regal 6.06% 6.06% 6/8/2017 105 3,256 3,361 Commonwealth of Virginia - Chesapeake L+1.90% 2.36% 8/28/2017 4,933 4,933 Hanbury Village 6.67% 6.67% 10/11/2017 132 20,709 20,841 Sandbridge Commons L+1.85% 2.31% 1/17/2018 119 247 9,128 9,494 Columbus Village Note 1 L+2.00% 3.05% (1) 4/5/2018 88 178 6,080 6,346 Columbus Village Note 2 L+2.00% 2.46% 4/5/2018 22 47 2,218 2,287 North Point Center Note 1 6.45% 6.45% 2/5/2019 98 205 219 9,352 9,874 Southgate Square L+2.00% 2.46% 4/29/2021 391 539 561 584 19,075 21,150 Socastee Commons 4.57% 4.57% 1/6/2023 45 95 100 105 109 4,458 4,912 North Point Center Note 2 7.25% 7.25% 9/15/2025 49 105 113 121 130 2,095 2,614 Smith's Landing 4.05% 4.05% 6/1/2035 383 760 791 824 858 17,257 20,873 Liberty Apartments 5.66% 5.66% 11/1/2043 157 325 344 364 385 18,586 20,161 The Cosmopolitan 3.75% 3.75% 7/1/2051 321 660 686 712 739 43,087 46,205 Total - Secured Core Debt $30,909 $64,138 $20,218 $12,039 $2,805 $104,558 $234,667 Secured Notes Payable - Development Pipeline 4525 Main Street L+1.95% 2.41% 1/30/2017 31,613 31,613 Lightfoot Marketplace L+1.90% 2.36% 11/14/2017 9,449 9,449 Johns Hopkins Village L+1.90% 2.36% 7/30/2018 29,973 29,973 Total - Development Pipeline - 41,062 29,973 - - - 71,035 Total Secured Notes Payable $30,909 $105,200 $50,191 $12,039 $2,805 $104,558 $305,702 Unsecured Core Debt Senior unsecured line of credit L+1.40% - 2.00% 2.21% 2/20/2019 107,000 107,000 Senior unsecured term loan L+1.35% - 1.95% 2.16% 2/20/2020 50,000 50,000 Senior unsecured term loan L+1.35% - 1.95% 3.70% (1) 2/20/2020 50,000 50,000 Total - Unsecured Core Debt - - - 107,000 100,000 - 207,000 Total Notes Payable excluding GAAP Adjustments $30,909 $105,200 $50,191 $119,039 $102,805 $104,558 $512,702 Weighted Average Interest Rate 5.9% 3.4% 2.5% 2.6% 3.0% 4.0% 3.3% Balloon Payments 29,281 101,884 47,123 116,333 100,000 24,492 419,113 Principal amortization 1,628 3,316 3,068 2,706 2,805 80,066 93,589 Total Consolidated Debt $30,909 $105,200 $50,191 $119,039 $102,805 $104,558 $512,702 Fixed-rate Debt(2) 30,768 26,936 8,333 11,478 52,221 85,483 215,219 Variable-rate Debt(3) 141 78,264 41,858 107,561 50,584 19,075 297,483 Total Consolidated Debt $30,909 $105,200 $50,191 $119,039 $102,805 $104,558 $512,702 GAAP Adjustments (4,382) Total Notes Payable $508,320 30 Day LIBOR 0.460% (1) Subject to an interest rate swap lock. (2) Includes debt subject to interest rate swap locks. (3) Excludes debt subject to interest rate swap locks.

12 Core Debt to Core EBITDA(1) $ in thousands Three months ended 6/30/2016 3/31/2016 12/31/2015 9/30/2015 6/30/2015 Net Income $3,131 $26,533 $8,443 $4,337 $10,285 Excluding: Interest expense 3,978 3,791 3,411 3,518 3,358 Income tax 6 218 (117) 118 (4) Depreciation and amortization 8,602 8,149 6,162 6,317 5,766 Gain on real estate dispositions (13) (26,674) (4,987) - (7,210) Change in fair value of interest rate derivatives 373 2,389 (9) 51 40 Adjusted EBITDA $16,077 $14,406 $12,903 $14,341 $12,235 Other adjustments: Loss on extinguishment of debt - - 102 3 180 Non-cash stock compensation 215 437 176 173 203 Development Pipeline (719) (620) (606) (738) (1,086) Total Other Adjustments (504) (183) (328) (562) (703) Core EBITDA $15,573 $14,223 $12,575 $13,779 $11,532 Total Debt(2) $512,702 $471,876 $382,013 $421,442 $388,288 Adjustments to Debt: (Less) Development Pipeline(2) (71,035) (56,592) (43,340) (37,987) (80,877) (Less) Cash & restricted cash (23,142) (22,505) (29,813) (19,434) (30,446) Core Debt $418,525 $392,779 $308,860 $364,021 $276,965 Core Debt/Annualized Core EBITDA 6.7x 6.9x 6.1x 6.6x 6.0x (1) See definitions on page 30 (2) Excludes GAAP Adjustments

13 Debt Information $ in thousands Total Debt Composition Weighted Average Percent of Debt Interest Rate Maturity Secured vs. Unsecured Debt Unsecured Debt 40.7% 2.6% 3.1 Yrs Secured Debt 59.3% 3.8% 9.6 Yrs Variable vs. Fixed-rate Debt Variable-rate Debt(1) 58.0% 2.3% 2.4 Yrs Fixed-rate Debt(2)(3) 42.0% 4.7% 13.4 Yrs Fixed-rate and Hedged Debt(2)(3)(4) 94.6% Total 3.3% 7.0 Yrs Interest Rate Cap Agreements At or Below 1.50% Effective Date Maturity Date Strike Rate Notional Amount March 14, 2014 March 1, 2017 1.25% $50,000 October 26, 2015 October 15, 2017 1.25% 75,000 March 1, 2016 March 1, 2018 1.50% 75,000 June 17, 2016 June 17, 2018 1.00% 70,000 Total Interest Rate Caps at or Below 1.50% $270,000 Fixed-rate Debt (2)(3) 215,219 Fixed-rate and Hedged Debt $485,219 % of Total (3) 94.6% $0 $20,000 $40,000 $60,000 $80,000 $100,000 $120,000 $140,000 2016 2017 2018 2019 2020 2021 and thereafter ($ In Th ou sa nd s) Debt Maturities & Principal Payments (1) Excludes debt subject to interest rate swap locks. (2) Includes debt subject to interest rate swap locks. (3) Excludes GAAP adjustments. (4) Includes interest rate caps less than or equal to 1.50% Fixed-rate& Hedged Debt (4) 95%

14 Capitalization & Financial Ratios $ in thousands Capitalization as of June 30, 2016 Capital Structure as of June 30, 2016 Debt % of Total Carrying Value Unsecured Credit Facility 21% $107,000 Unsecured Term Loans 19% 100,000 Mortgages Payable 60% 305,702 Total Debt $512,702 Equity % of Total Shares/Units Stock Price Market Value Common Stock (NYSE: AHH) 65% 32,825 $13.74 $451,016 Common Units 35% 17,597 $13.74 241,783 Equity Market Capitalization 50,422 $692,798 Total Market Capitalization $1,205,500 Debt/Market Capitalization 42.5% Dividend Data Liquidity as of June 30, 2016 Q2 2016 Q2 2015 Common Dividend Paid $8,252 $6,775 Cash on Hand $23,142 AFFO $10,240 $8,077 Availability under Credit Facility 43,000 AFFO Payout Ratio 80.6% 83.9% $66,142 Debt 43%Common 57%

15 Property Portfolio As of 6/30/16 (1) The net rentable square footage for each of our retail properties is the sum of (a) the square footage of existing leases, plus (b) for available space, the field verified square footage. (2) Occupancy for each of our retail properties is calculated as (a) square footage under executed leases as of June 30, 2016, divided by (b) net rentable square feet, expressed as a percentage. (3) For the properties in our retail portfolio, annualized base rent, or ABR, is calculated by multiplying (a) base rental payments for executed leases as of June 30, 2016 (defined as cash base rents before abatements) excluding tenant reimbursements for expenses paid by the landlord), by (b) 12. ABR per leased square foot is calculated by dividing (a) ABR, by (b) square footage under executed leases as of June 30, 2016 . In the case of triple net or modified gross leases, ABR does not include tenant reimbursements for real estate taxes, insurance, common area or other operating expenses. Excludes the square footage of land subject to ground leases. (4) As of June 30, 2016, the Company occupied 8,995 square feet at this property at an ABR of $304,841, or $33.89 per leased square foot, which amounts are reflected in this table. The rent paid by us is eliminated in accordance with GAAP. (5) Includes $32,760 of ABR pursuant to a rooftop lease. Property Anchor Tenant Location Town Center Unencumbered ABR Year Built Net Rentable Square Feet(1) Core Occupancy (2) ABR (3) ABR per Leased SF(3) Retail Properties - Excluding Properties Subject to Ground Lease 249 Central Park Retail (4) Cheesecake Factory, Brooks Brothers, Gordon Biersch Virginia Beach, VA  - 2004 91,366 89.8% $2,304,781 $28.10 Alexander Pointe Harris Teeter Salisbury, NC 100% 1997 57,710 100.0% 673,796 11.68 Bermuda Crossroads Food Lion, OfficeMax Chester, VA 100% 2001 111,566 93.1% 1,478,465 14.23 Broad Creek Shopping Center Home Depot, Food Lion, PetSmart Norfolk, VA 100% 1997/2001 226,459 99.3% 3,155,610 14.03 Broadmoor Plaza Kroger, Staples, Jo-Ann Fabrics South Bend, IN 100% 1980 115,059 93.2% 1,267,990 11.82 Columbus Village Barnes & Noble Virginia Beach, VA  - 1980/2013 66,594 98.7% 1,346,501 20.48 Commerce Street Retail (5) Yard House Virginia Beach, VA  100% 2008 19,173 100.0% 793,250 41.37 Courthouse 7-Eleven 7-Eleven Virginia Beach, VA 100% 2011 3,177 100.0% 125,015 39.35 Dick's at Town Center Dick's Sporting Goods, USI Virginia Beach, VA  100% 2002 103,335 100.0% 1,231,340 11.92 Dimmock Square Best Buy, Old Navy Colonial Heights, VA 100% 1998 106,166 97.2% 1,729,583 16.77 Fountain Plaza Retail Ruth's Chris, Ann Taylor Virginia Beach, VA  - 2004 35,961 100.0% 1,022,787 28.44 Gainsborough Square Food Lion, Rite Aid Chesapeake, VA 100% 1999 88,862 92.5% 1,252,588 15.24 Greentree Shopping Center Wawa Chesapeake, VA 100% 2014 15,751 85.7% 285,941 21.17 Hanbury Village Walgreens, Starbucks Chesapeake, VA 32% 2006/2009 61,049 92.8% 1,355,478 23.92 Harper Hill Commons Harris Teeter Winston-Salem, NC 100% 2004 55,394 63.0% 503,877 14.43 Harrisonburg Regal Regal Cinemas Harrisonburg, VA - 1999 49,000 100.0% 683,550 13.95 Kroger Junction Kroger, Family Dollar Pasadena, TX 100% 1984 81,158 77.9% 475,854 7.53 North Hampton Market PetSmart, Hobby Lobby, Dollar Tree Taylors, SC 100% 2004 114,935 98.3% 1,425,251 12.62 North Point Center Kroger, PetSmart, BB&B, Costco Durham, NC 52% 1998/2009 215,690 95.9% 2,528,096 12.22 Oakland Marketplace Kroger Oakland, TN 100% 2004 19,600 85.7% 250,656 14.92 Parkway Marketplace Rite Aid Virginia Beach, VA 100% 1998 37,804 95.2% 723,834 20.10 Patterson Place Bed Bath & Beyond, PetSmart Durham, NC 100% 2004 160,942 100.0% 2,548,388 15.83 Perry Hall Marketplace Safeway Perry Hall, MD 100% 2001 74,256 100.0% 1,240,540 16.71 Providence Plaza Edward Jones, Chipotle, Choate Const. Charlotte, NC 100% 2007/2008 103,118 97.4% 2,534,172 25.22 Sandbridge Commons Heartland Dental Virginia Beach, VA - 2015 16,129 100.0% 327,230 20.29 Socastee Commons Bi-Lo Myrtle Beach, SC - 2000/2014 57,573 97.4% 638,616 11.39 South Retail lululemon, free people Virginia Beach, VA  - 2002 38,515 100.0% 945,176 24.54 South Square Ross, Petco, Office Depot Durham, NC 100% 1977/2005 107,812 100.0% 1,825,803 16.94 Southgate Square Burlington, PetSmart, Michaels Colonial Heights, VA 100% 1991/2016 223,131 100.0% 2,965,206 13.29 Stone House Square Weis Markets Hagerstown, MD 100% 2008 108,624 90.4% 1,531,536 15.59 Studio 56 Retail McCormick & Schmick's Virginia Beach, VA  100% 2007 11,594 100.0% 375,628 32.40 Waynesboro Commons Kroger Waynesboro, VA 100% 1993 52,415 100.0% 438,464 8.37 Wendover Village Bed Bath & Beyond, T.J. Maxx, Petco Greensboro, NC 100% 2004 135,758 100.0% 1,952,614 14.38 Total / Weighted Avg Retail Portfolio 78% 2,765,676 96.0% $41,937,616 $15.80

Net Rentable Square Feet (RSF)(1) Property Anchor Tenant Location Town Center Unencumbered ABR Year Built Core Properties Development Properties Total Core Occupancy (2) Development Leased(2) ABR (3) ABR per Leased SF(3) Office Properties 4525 Main Street Clark Nexsen, Anthropologie, West Elm Virginia Beach, VA  - 2014 - 237,893 237,893 - 57.8% $3,771,435 $27.45 Armada Hoffler Tower(4) AHH, Troutman Sanders, Will iams Mullen Virginia Beach, VA  100% 2002 323,970 - 323,970 97.6% - 8,842,799 27.97 Commonwealth of VA - Chesapeake Commonwealth of VA Chesapeake, VA - 2015 36,227 - 36,227 100.0% - 645,927 17.83 Commonwealth of VA - Virginia Beach Commonwealth of VA Virginia Beach, VA 100% 2015 11,139 - 11,139 100.0% - 245,058 22.00 One Columbus BB&T, HBA Virginia Beach, VA  100% 1984 129,272 - 129,272 92.5% - 2,925,548 24.46 Oyster Point GSA, SunTrust Bank Newport News, VA - 1989 100,139 - 100,139 82.0% - 1,709,544 20.82 Two Columbus The Art Institute, Kimley-Horn Virginia Beach, VA  100% 2009 108,467 - 108,467 97.5% - 2,898,960 27.41 Total / Weighted Average Office Portfolio 71% 709,214 237,893 947,107 94.6% 57.8% $21,039,272 $26.02 Retail Properties Subject to Ground Lease Bermuda Crossroads (5) IHOP, O'Charley's Chester, VA - 2001 11,000 - 11,000 100.0% - $163,350 $14.85 Broad Creek Shopping Center (6) 7-Eleven, Ruby Tuesdays, Home Depot Norfolk, VA - 1997/2001 24,818 - 24,818 100.0% - 577,081 23.25 Greentree Shopping Center Wawa Chesapeake, VA - 2014 5,088 - 5,088 100.0% - 230,004 45.21 Hanbury Village(5) Harris Teeter, Walgreens Chesapeake, VA - 2006/2009 55,586 - 55,586 100.0% - 1,067,598 19.21 Harper Hill Commons Harris Teeter Winston-Salem, NC 100% 2004 41,520 - 41,520 100.0% - 373,680 9.00 Oakland Marketplace Kroger Oakland, TN 100% 2004 45,000 - 45,000 100.0% - 186,300 4.14 North Point Center(5) Home Depot, Costco Durham, NC 15% 1998/2009 280,556 - 280,556 100.0% - 1,083,666 3.86 Sandbridge Commons Harris Teeter Virginia Beach, VA - 2015 53,288 - 53,288 100.0% - 583,000 10.94 South Square Chick-fil-A Durham, NC 100% 1977/2005 1,778 - 1,778 100.0% - 60,000 33.75 Stone House Square Capitol One Bank Hagerstown, MD 100% 2008 3,650 - 3,650 100.0% - 165,000 45.21 Tyre Neck Harris Teeter(6) Harris Teeter Portsmouth, VA 100% 2011 48,859 - 48,859 100.0% - 508,134 10.40 Total / Weighted Avg Retail Portfolio Subject to Ground Leases 29% 571,143 - 571,143 100.0% - $4,997,813 $8.75 Units Multifamily Location Town Center Unencumbered ABR Year Built Core Properties Development Properties Total Core Occupancy (2) Development Occupancy(2) ABR (7) ABR per Occupied RSF(8) Encore Apartments Virginia Beach, VA  - 2014 286 - 286 95.8% - $4,112,796 $1.74 Liberty Apartments (9) Newport News, VA - 2014 197 - 197 89.6% - 2,110,524 1.38 Smith's Landing(10) Blacksburg, VA - 2009 284 - 284 96.8% - 3,671,940 1.12 The Cosmopolitan (9) Virginia Beach, VA  - 2006 342 - 342 93.6% - 6,026,556 1.64 Total / Weighted Avg Multifamily Portfolio - 1,109 - 1,109 94.3% - $15,921,816 $1.47 16 Property Portfolio - Continued As of 6/30/16 (1) The net rentable square footage for each of our office properties is the sum of (a) the square footage of existing leases, plus (b) for available space, management’s estimate of net rentable square footage based, in part, on past leases. The net rentable square footage included in office leases is generally consistent with the Building Owners and Managers Association, or BOMA, 1996 measurement guidelines. (2) Occupancy for each of our office properties is calculated as (a) square footage under executed leases as of June 30, 2016, divided by (b) net rentable square feet, expressed as a percentage. Occupancy for our multifamily properties is calculated as (a) total units occupied as of June 30, 2016, divided by (b) total units available, expressed as a percentage. (3) For the properties in our office portfolio, annualized base rent, or ABR, is calculated by multiplying (a) base rental payments for executed leases as of June 30, 2016 (defined as cash base rents (before abatements) excluding tenant reimbursements for expenses paid by the landlord), by (b) 12. ABR per leased square foot is calculated by dividing (a) ABR, by (b) square footage under executed leases as of June 30, 2016. In the case of triple net or modified gross leases, ABR does not include tenant reimbursements for real estate taxes, insurance, common area or other operating expenses. (4) As of June 30, 2016, the Company occupied 18,984 square feet at this property at an ABR of $559,294 or $29.46 per leased square foot, which amounts are reflected in this table. The rent paid by us is eliminated in accordance with GAAP. In addition, effective March 1, 2013, the Company subleases approximately 5,000 square feet of space from a tenant at this property. (5) Pursuant to this ground lease, the Company owns the land and the tenant owns the improvements thereon. The Company will succeed to the ownership of the improvements to the land upon the termination of the ground lease. (6) The Company leases the land underlying this property and re-leases it to our tenant under a ground lease pursuant to which our tenant owns the improvements on the land. (7) For the properties in our multifamily portfolio, annualized base rent, or ABR, is calculated by multiplying (a) base rental payments for the month ended June 30, 2016 by (b) 12. (8) ABR per occupied rentable square foot is calculated by dividing (a) ABR, by (b) net rentable square footage of occupied units as of June 30, 2016. (9) The ABR for Liberty and Cosmopolitan excludes $206,000 and $916,000 from ground floor retail leases, respectively. (10) The Company leases the land underlying this property pursuant to a ground lease.

17 Development Pipeline $ in thousands Johns Hopkins Village Lightfoot Marketplace One City Center Point Street Apts. Schedule(1) Development, Not Delivered Property Type Estimated(1) % Leased Start Initial Occupancy Stabilized Operation (2) Estimated Cost(1) Cost to Date AHH Ownership % Anchor Tenants & Other Notes Town Center Phase VI Virginia Beach Mixed-use 120 Units 39,000 SF 46% 4Q16 2Q18 2Q19 $35,000 $1,500 80% Anchor tenants not announced Johns Hopkins Village Baltimore, MD Multifamily 157 units 72% 1Q15 3Q16 3Q17 68,000 57,000 80%(3) CVS(4) Brooks Crossing Phase 1 Newport News, VA Mixed-use 50,000 sf NA 3Q15 3Q16 3Q17 10,000 2,500 65%(3) LOI outstanding Lightfoot Marketplace Will iamsburg, VA Retail 109,000 sf 71% 3Q14 3Q16 2Q17 24,000 21,000 60%(3) Harris Teeter, CHKD Total Development, Not Delivered 137,000 82,000 Development, Delivered Not Stabilized 4525 Main Street Virginia Beach, VA Office 239,000 sf 64% (5) 1Q13 3Q14 2Q17 51,000 45,000 100% Clark Nexsen, Development Authority of Virginia Beach, Anthropologie(4) Total $188,000 $127,000 Joint Ventures - Minority Partner AHH Estimated Investment Funded to Date One City Center - 37% JV Durham, NC Mixed-use 152,000 sf 36% 1Q16 2Q18 2Q19 $34,000 $10,000 100% Duke University Mezzanine Investments Purchase Option Price Loan Balance Point Street Apartments Inner Harbor Baltimore, MD Multifamily 289 units NA 1Q16 4Q17 4Q18 $92,000 $15,000 Option to purchase 88% upon completion $23M Mezzanine financing by AHH, earning 8% interest income Annapolis Junction Annapolis Junction, MD Multifamily 416 units NA 2Q16 1Q18 2Q19 102,000 24,000 Option to purchase 88% upon completion $42M Mezzanine financing by AHH, earning 10% interest income Total Mezzanine Investment $194,000 $39,000 Q2 2016 Year to Date Capitalized Interest $384 $637 Capitalized Overhead $334 $696 (1) Represents estimates that may change as the development process proceeds (2) First full stabilized quarter (3) AHH earns a preferred return on equity prior to any distributions to JV Partners (4) Ground floor retail tenant (5) ~14K sf leased after 6/30/16

18 Acquisitions & Dispositions $ in thousands (1) Contractual purchase price (2) Anticipated closing date. The disposition is subject to customary conditions and, accordingly, there can be no assurance that this transaction will be completed on the terms set forth herein or at all. (3) As of 6/30/16 ACQUISITIONS Properties Location Square Feet Purchase Price (1) Reinvested 1031 Proceeds $ Value of OP Units Cash Cap Rate Purchase Date % Leased as of 6/30/16 Anchor Tenants Southshore Shops Midlothian, VA 40,333 $9,160 $2,475 7.8% 3Q16 93% Buffalo Wild Wings Southgate Square Colonial Heights, VA 220,131 $38,585 $0 $17,485 7.3% 2Q16 100% PetSmart, Michael's, Burlington Retail Portfolio (11 properties) Mid-Atlantic 1,082,681 $170,500 $87,000 7.2% 1Q16 94% Harris Teeter, Bed Bath & Beyond Providence Plaza Charlotte, NC 103,118 $26,200 $14,000 7.3% 3Q15 97% Chipotle Socastee Commons Myrtle Beach, SC 57,573 $8,600 $3,600 7.3% 3Q15 100% BiLo Columbus Village Virginia Beach, VA 65,746 $21,025 - $14,025 6.4% 3Q15 100% Barnes & Noble Perry Hall Marketplace & Stone House Square Maryland 182,949 $39,555 $15,200 $4,155 7.4% 2Q15 93% Safeway & Weis Markets Dimmock Square Colonial Heights, VA 106,166 $19,662 - $9,662 7.3% 3Q14 100% Old Navy, Best Buy, Pier 1 Total/Weighted Average 1,858,697 $333,287 $119,800 $47,801 7.2% DISPOSITIONS Properties Location Square Feet/Units Sale Price Cash Proceeds Gain on Sale Cash Cap Rate Disposition Date % Leased at closing Anchor Tenants Oyster Point Newport News, VA 100,139 $6,500 TBD TBD TBD 4Q16 (2) 82%(3) GSA Non-Core Retail Portfolio Various 174,758 $12,850 $12,600 $0 7.1% 2Q16 - 3Q16 ~85% Kroger, Family Dollar Richmond Tower Richmond, VA 206,969 $78,000 $77,000 $26,674 7.9% 1Q16 99% Williams Mullen Oceaneering Chesapeake, VA 154,000 $30,000 $10,000 $4,987 6.7% 4Q15 100% Oceaneering International Whetstone Apartments Durham, NC 203 units $35,625 $17,600 $7,210 5.7% 2Q15 26% NA Sentara Williamsburg Williamsburg, VA 49,200 $15,450 $15,200 $6,197 6.3% 1Q15 100% Sentara Virginia Natural Gas Virginia Beach, VA 31,000 $8,900 $7,400 $2,211 6.3% 4Q14 100% Virginia Natural Gas Total/Weighted Average 716,066sf/ 203 units $187,325 $139,800 $47,279 7.0%

19 Construction Business Summary $ in thousands Gross Profit Summary Q2 2016 Trailing 12 Months Revenue $33,200 $165,134 Expense (32,025) (158,981) Gross Profit $1,175 $6,153 (Unaudited) Location Total Contract Value Work in Place as of 6/30/2016 Backlog Estimated Date of Completion Highlighted Projects Exelon Baltimore, MD $181,768 $178,404 $3,364 3Q 2016 Four Seasons Condominium Expansion Baltimore, MD 70,829 37,242 33,587 2Q 2017 Point Street Apartments Baltimore, MD 69,958 9,857 60,101 1Q 2018 Annapolis Junction Annapolis Junction, MD 68,353 2,136 66,217 1Q 2018 Durham City Center Durham, NC 61,746 3,719 58,027 2Q 2018 27th Street Hotel Virginia Beach, VA 50,345 24,772 25,573 2Q 2017 Sub Total $502,999 $256,130 $246,869 All Other Projects 108,956 103,507 5,449 Total $611,955 $359,637 $252,318

(1) See page 31 for Same Store vs. Non – Same Store Properties 20 Same Store NOI by Segment $ in thousands (Reconciliation to GAAP located in appendix pg. 32) Three months ended Six Months Ended 6/30/2016 6/30/2015 $ Change % Change 6/30/2016 6/30/2015 $ Change % Change Office(1) (Unaudited) (Unaudited) Revenue $4,287 $4,277 $10 0.2% $8,466 $8,518 ($52) -0.6% Expenses 1,430 1,555 (125) -8.0% 2,942 3,181 (239) -7.5% Net Operating Income 2,857 2,722 135 5.0% 5,524 5,337 187 3.5% Retail(1) Revenue 6,451 6,403 48 0.7% 13,059 12,909 150 1.2% Expenses 1,825 1,777 48 2.7% 3,771 3,718 53 1.4% Net Operating Income 4,626 4,626 - 0.0% 9,288 9,191 97 1.1% Multifamily(1) Revenue 3,021 3,027 (6) -0.2% 6,072 5,964 108 1.8% Expenses 1,299 1,321 (22) -1.7% 2,620 2,571 49 1.9% Net Operating Income 1,722 1,706 16 0.9% 3,452 3,393 59 1.7% Same Store Net Operating Income (NOI) $9,205 $9,054 $151 1.7% $18,264 $17,921 $343 1.9% Net effect of straight-line rents 69 120 (51) 190 107 83 Amortization of lease incentives and above (below) market rents 134 122 12 242 244 (2) Same store portfolio NOI, cash basis $9,408 $9,296 $112 1.2% $18,696 $18,272 $424 2.3% NOI, Cash Basis: Office $2,823 $2,729 $94 3.4% $5,473 $5,322 $151 2.8% Retail 4,855 4,826 29 0.6% 9,770 9,489 281 3.0% Multifamily 1,730 1,741 (11) -0.6% 3,453 3,461 (8) -0.2% $9,408 $9,296 $112 1.2% $18,696 $18,272 $424 2.3% NOI: Office $2,857 $2,722 $135 5.0% $5,524 $5,337 $187 3.5% Retail 4,626 4,626 - 0.0% 9,288 9,191 97 1.1% Multifamily 1,722 1,706 16 0.9% 3,452 3,393 59 1.7% $9,205 $9,054 $151 1.7% $18,264 $17,921 $343 1.9%

21 Top 10 Tenants - Annualized Base Rent $ in thousands As of June 30, 2016 Office Portfolio Tenant Number of Leases Lease Expiration Annualized Base Rent % of Office Portfolio Annualized Base Rent % of Total Portfolio Annualized Base Rent Clark Nexsen 1 2029 $ 2,438 11.6% 2.9% Williams Mullen 1 2018 1,494 7.1% 1.8% Hampton University 2 2024 1,003 4.8% 1.2% Commonwealth of Virginia 2 2030 891 4.2% 1.1% GSA 1 2016 855 4.1% 1.0% Pender & Coward 1 2030 839 4.0% 1.0% Troutman Sanders 1 2025 822 3.9% 1.0% The Art Institute 1 2019 819 3.9% 1.0% Cherry Bekaert 2 2022 736 3.5% 0.9% Kimley-Horn 1 2018 724 3.4% 0.9% Top 10 Total $ 10,622 50.5% 12.7% Retail Portfolio Tenant Number of Leases Lease Expiration Annualized Base Rent % of Retail Portfolio Annualized Base Rent % of Total Portfolio Annualized Base Rent Harris Teeter 5 2029 $ 2,853 6.1% 3.4% Kroger 7 2021 2,205 4.7% 2.6% Home Depot 2 2019 2,190 4.7% 2.6% Food Lion 3 2020 1,283 2.7% 1.5% PetSmart 4 2020 1,117 2.4% 1.3% Bed Bath & Beyond 3 2022 1,077 2.3% 1.3% Dick's Sporting Goods 1 2020 840 1.8% 1.0% Safeway 2 2021 821 1.8% 1.0% Weis Markets 1 2028 802 1.7% 1.0% Ross Dress for Less 2 2018 755 1.6% 0.9% Top 10 Total $ 13,942 29.7% 16.6%

22 Office Lease Summary 22 Renewal Lease Summary GAAP Cash Quarter Number of Leases Signed Net rentable SF Signed Leases Expiring Net rentable SF Expiring Contractual Rent per SF Prior Rent per SF Releasing Spread Contractual Rent per SF Prior Rent per SF Releasing Spread Weighted Average Lease Term (yrs) TI & LC TI & LC per SF Q2 2016 1 2,318 2 3,870 $33.27 $26.53 25.4% $30.00 $28.41 5.6% 10.00 $0 $0.00 Q1 2016 2 6,445 - - 21.34 19.60 8.9% 21.10 20.38 3.5% 1.65 3,773 0.59 Q4 2015 2 5,708 2 3,947 24.50 23.50 4.3% 24.39 23.68 3.0% 1.31 3,682 0.65 Q3 2015 4 16,609 4 9,554 23.69 22.29 6.3% 24.28 23.81 1.9% 5.95 138,923 8.36 New Lease Summary (1) Quarter Number of Leases Signed Net rentable SF Signed Contractual Rent per SF Weighted Average Lease Term (yrs) TI & LC TI & LC per SF Q2 2016 1 1,806 $25.00 5.00 $63,579 $35.20 Q1 2016 2 3,773 27.49 6.91 139,067 36.86 Q4 2015 2 9,920 30.13 7.17 421,094 42.45 Q3 2015 3 13,500 21.37 6.02 166,463 12.33 (1) Excludes new leases from properties in development

23 Office Lease Expirations 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% - 20,000 40,000 60,000 80,000 100,000 120,000 140,000 160,000 180,000 200,000 Leased Square Feet % ABR of Office Portfolio Year of Lease Expiration Number of Leases Expiring Square Footage of Leases Expiring (1) % Portfolio Net Rentable Square Feet Annualized Base Rent % of Portfolio Annualized Base Rent Annualized Base Rent per Leased Square Foot Available - 138,656 14.6% -$ -$ -$ 2016 7 39,986 4.2% 940,653 4.5% 23.52 2017 8 21,254 2.2% 645,398 3.1% 30.37 2018 22 166,325 17.6% 4,679,998 22.2% 28.14 2019 16 103,761 11.0% 2,517,155 12.0% 24.26 2020 5 41,546 4.4% 953,923 4.5% 22.96 2021 6 49,659 5.2% 1,256,031 6.0% 25.29 2022 4 49,923 5.3% 1,372,049 6.5% 27.48 2023 4 43,078 4.5% 1,073,023 5.1% 24.91 2024 3 60,751 6.4% 1,666,025 7.9% 27.42 2025 4 43,292 4.6% 1,218,282 5.8% 28.14 2026 3 16,841 1.8% 400,474 1.9% 23.78 Thereafter 6 172,035 18.2% 4,316,262 20.5% 25.09 Total / Weighted Average 88 947,107 100.0% 21,039,272$ 100.0% $26.02 (1) Includes new leases from properties in development

24 Retail Lease Summary (1) Excludes new leases from properties in development Renewal Lease Summary GAAP Cash Quarter Number of Leases Signed Net rentable SF Signed Leases Expiring Net rentable SF Expiring Contractual Rent per SF Prior Rent per SF Releasing Spread Contractual Rent per SF Prior Rent per SF Releasing Spread Weighted Average Lease Term (yrs) TI & LC TI & LC per SF Q2 2016 25 98,300 14 33,111 $18.28 $17.32 5.5% $17.99 $17.55 2.5% 6.36 $234,929 2.39$ Q1 2016 10 26,870 1 1,800 22.70 21.29 6.6% 22.21 21.78 1.9% 3.37 61,290 2.28 Q4 2015 6 33,274 4 27,146 20.63 18.73 10.1% 20.55 19.45 5.6% 4.54 - - Q3 2015 11 28,760 5 24,491 25.03 24.67 1.5% 23.96 26.42 -9.3% 2.68 96,077 3.34 New Lease Summary(1) Quarter Number of Leases Signed Net rentable SF Signed Contractual Rent per SF Weighted Average Lease Term (yrs) TI & LC TI & LC per SF Q2 2016 4 5,560 $21.24 7.31 $162,432 $29.21 Q1 2016 4 11,913 19.68 5.10 431,103 36.19 Q4 2015 4 24,825 21.83 6.64 421,094 16.96 Q3 2015 1 3,606 19.00 10.00 42,190 11.70

25 Retail Lease Expirations 0.0% 5.0% 10.0% 15.0% 20.0% - 100,000 200,000 300,000 400,000 500,000 600,000 Leased Square Feet % ABR of Retail Portfolio Year of Lease Expiration Number of Leases Expiring Square Footage of Leases Expiring (1) % Portfolio Net Rentable Square Feet Annualized Base Rent % of Portfolio Annualized Base Rent Annualized Base Rent per Leased Square Foot Available - 111,977 4.0% -$ -$ -$ M-T-M 7 10,942 0.4% 208,656 0.5% 19.07 2016 22 53,034 1.9% 986,082 2.4% 18.59 2017 45 209,190 7.6% 3,146,122 7.5% 15.04 2018 68 334,599 12.1% 5,600,617 13.4% 16.74 2019 65 534,793 19.3% 7,844,291 18.7% 14.67 2020 61 547,773 19.8% 7,311,741 17.4% 13.35 2021 36 230,966 8.4% 4,018,503 9.6% 17.40 2022 18 180,442 6.5% 2,577,008 6.1% 14.28 2023 13 125,847 4.6% 2,464,498 5.9% 19.58 2024 13 114,998 4.2% 2,127,990 5.1% 18.50 2025 12 62,257 2.3% 1,550,067 3.7% 24.90 2026 13 84,827 3.1% 1,412,352 3.4% 16.65 Thereafter 10 164,031 5.9% 2,689,691 6.4% 16.40 Total / Weighted Average 383 2,765,676 100.0% 41,937,616$ 100.0% $15.80 (1) Includes new leases from properties in development

26 Net Asset Value Component Data In thousands Stabilized Portfolio NOI (Cash) Taxable REIT Subsidiary (TRS) Three months ended Annualized Trailing 12 Months 6/30/2016 6/30/2016 6/30/2016 Diversified Portfolio General contracting and real estate services $6,153 Office $325 $1,300 Retail 8,223 32,892 Other Assets Multifamily 918 3,672 Other Assets As of 6/30/2016 Total Diversified Portfolio NOI $9,466 $37,864 Cash and Cash Equivalents $19,984 Restricted Cash 3,158 Virginia Beach Town Center Accounts Receivable 14,366 Office(1) $2,486 $9,944 Notes Receivable 39,311 Retail (1) 1,743 6,972 Construction receivables, including retentions 31,277 Multifamily 1,763 7,052 Other Assets 73,811 Total Virginia Beach Town Center NOI $5,992 $23,968 Total Other Assets $181,907 Stabilized Portfolio NOI - Cash Basis $15,458 $61,832 Liabilities & Share Count As of 6/30/2016 Development Pipeline Liabilities Mortgages and notes payable $508,320 6/30/2016 Accounts payable and accrued liabilities 6,379 Income producing property $41,100 Construction payables, including retentions 49,203 Construction in progress 80,400 Other Liabilities 41,828 Other assets 5,500 Total Liabilities $605,730 Total cost to date (p. 17) $127,000 Three months ended Land held for development 2,032 Share Count 6/30/2016 Weighted average common shares outstanding 31,736 Weighted average operating partnership ("OP") Units Outstanding 17,113 Total weighted average common shares and OP units outstanding 48,849 (1) Includes leases for space occupied by Armada Hoffler which are eliminated for GAAP purposes

Appendix – Definitions & Reconciliations

28 Definitions Net Operating Income: We calculate Net Operating Income (“NOI”) as property revenues (base rent, expense reimbursements and other revenue) less property expenses (rental expenses and real estate taxes). Other REITs may use different methodologies for calculating NOI, and accordingly, our NOI may not be comparable to such other REITs’ NOI. NOI is not a measure of operating income or cash flows from operating activities as measured by GAAP and is not indicative of cash available to fund cash needs. As a result, NOI should not be considered an alternative to cash flows as a measure of liquidity. We consider NOI to be an appropriate supplemental measure to net income because it assists both investors and management in understanding the core operations of our real estate business. To calculate NOI on a cash basis, we adjust NOI to exclude the net effects of straight-line rent and the amortization of lease incentives and above/below market rents. Funds From Operations: We calculate Funds From Operations (“FFO”) in accordance with the standards established by the National Association of Real Estate Investment Trusts (“NAREIT”). NAREIT defines FFO as net income (loss) (calculated in accordance with accounting principles generally accepted in the United States (“GAAP”)), excluding gains (or losses) from sales of depreciable operating property, real estate related depreciation and amortization (excluding amortization of deferred financing costs) and after adjustments for unconsolidated partnerships and joint ventures. FFO is a supplemental non-GAAP financial measure. Management uses FFO as a supplemental performance measure because it believes that FFO is beneficial to investors as a starting point in measuring our operational performance. Specifically, in excluding real estate related depreciation and amortization and gains and losses from property dispositions, which do not relate to or are not indicative of operating performance, FFO provides a performance measure that, when compared period-over-period, captures trends in occupancy rates, rental rates and operating costs. Other equity REITs may not calculate FFO in accordance with the NAREIT definition as we do, and, accordingly, our FFO may not be comparable to such other REITs’ FFO.

29 Definitions Normalized Funds From Operations: We calculate Normalized Funds From Operations (“Normalized FFO") as FFO calculated in accordance with the standards established by NAREIT, adjusted for acquisition, development and other pursuit costs, gains or losses from the early extinguishment of debt, impairment charges, mark-to-market adjustments on interest rate derivatives and other non- comparable items. Management believes that the computation of FFO in accordance to NAREIT’s definition includes certain items that are not indicative of the results provided by the Company’s operating portfolio and affect the comparability of the Company’s period-over-period performance. Our calculation of Normalized FFO differs from NAREIT's definition of FFO. Other equity REITs may not calculate Normalized FFO in the same manner as us, and, accordingly, our Normalized FFO may not be comparable to other REITs' Normalized FFO. Adjusted Funds From Operations: We calculate Adjusted Funds From Operations (“AFFO”) as Normalized FFO adjusted for the impact of non-cash stock compensation, tenant improvement, leasing commission and leasing incentive costs associated with second generation rental space, capital expenditures, non-cash interest expense, straight-line rents, the amortization of leasing incentives and above (below) market rents and proceeds from government development grants. Management believes that AFFO provides useful supplemental information to investors regarding our operating performance as it provides a consistent comparison of our operating performance across time periods and allows investors to more easily compare our operating results with other REITs. However, other REITs may use different methodologies for calculating AFFO or similarly entitled FFO measures and, accordingly, our AFFO may not always be comparable to AFFO or other similarly entitled FFO measures of other REITs.

Definitions Adjusted EBITDA: We calculate Adjusted EBITDA as net income (loss) (calculated in accordance with GAAP), excluding interest expense, income taxes, depreciation and amortization, gains (or losses) from sales of depreciable operating property and mark-to- market adjustments on interest rate derivates. Management believes Adjusted EBITDA is useful to investors in evaluating and facilitating comparisons of our operating performance between periods and between REITs by removing the impact of our capital structure (primarily interest expense) and asset base (primarily depreciation and amortization) from our operating results along with other non-comparable items. Core EBITDA: We calculate Core EBITDA as EBITDA, excluding certain items, including, but not limited to, debt extinguishment losses, mark-to-market adjustments on interest rate derivatives, non-cash stock compensation and the impact of development pipeline projects that are still in lease-up. We generally consider a property to be in lease-up until the earlier of (i) the quarter after which the property reaches 80% occupancy or (ii) the thirteenth quarter after the property receives its certificate of occupancy. Management believes that Core EBITDA provides useful supplemental information to investors regarding our ongoing operating performance as it provides a consistent comparison of our operating performance across time periods and allows investors to more easily compare our operating results with other REITs. However, other REITs may use different methodologies for calculating Core EBITDA or similarly entitled measures and, accordingly, our Core EBITDA may not always be comparable to Core EBITDA or other similarly entitled measures of other REITs. Core Debt: We calculate Core Debt as our total debt, excluding loans associated with our development pipeline, cash & cash equivalents, and restricted cash. Same Store Portfolio: We define same store properties as those that we owned and operated for the entirety of the comparative periods presented. We generally consider a property to be in lease-up until the earlier of (i) the quarter after which the property reaches 80% occupancy or (ii) the thirteenth quarter after the property receives its certificate of occupancy. The following table shows the properties included in the same store and non-same store portfolio for the comparative periods presented. 30

31 Same Store vs. Non-Same Store Same Store Non-Same Store Same Store Non-Same Store Same Store Non-Same Store Same Store Non-Same Store Retail Properties Office Properties 249 Central Park Retail X X 4525 Main Street X X Alexander Pointe X X Armada Hoffler Tower X X Bermuda Crossroads X X Commonwealth of VA - Chesapeake X X Broad Creek Shopping Center X X Commonwealth of VA - Virginia Beach X X Broadmoor Plaza X X Oceaneering X X Columbus Village X X One Columbus X X Commerce Street Retail X X Oyster Point X X Courthouse 7-Eleven X X Richmond Tower X X Dick’s at Town Center X X Sentara Williamsburg X X Dimmock Square X X Two Columbus X X Greentree Shopping Center X X Multifamily Properties Fountain Plaza Retail X X Encore Apartments X X Gainsborough Square X X Liberty Apartments X X Hanbury Village X X Smith’s Landing X X Harper Hill Commons X X The Cosmopolitan X X Harrisonburg Regal X X Whetstone Apartments X X Kroger Junction X X North Hampton Market X X North Point Center X X Oakland Marketplace X X Parkway Marketplace X X Patterson Place X X Perry Hall Marketplace X X Providence Plaza X X Sandbridge Commons X X Socastee Commons X X South Retail X X South Square X X Southgate Square X X Stone House Square X X Studio 56 Retail X X Tyre Neck Harris Teeter X X Waynesboro Commons X X Wendover Village X X Willowbrook Commons X X Six Months Ended 6/30/2016 to 2015 Three Months Ended 6/30/2016 to 2015 Three Months Ended 6/30/2016 to 2015 Six Months Ended 6/30/2016 to 2015

32 Reconciliation to Property Portfolio NOI $ in thousands Three months ended 6/30 Six Months Ended 6/30 2016 2015 2016 2015 Office Same Store(1) Rental revenues $4,287 $4,277 $8,466 $8,518 Property expenses 1,430 1,555 2,942 3,181 NOI 2,857 2,722 5,524 5,337 Non-Same Store NOI 618 2,823 1,477 5,466 Segment NOI 3,475 $5,545 $7,001 $10,803 Retail Same Store(1) Rental revenues $6,451 $6,403 $13,059 $12,909 Property expenses 1,825 1,777 3,771 3,718 NOI 4,626 4,626 9,288 9,191 Non-Same Store NOI 5,937 891 10,687 986 Segment NOI $10,563 $5,517 $19,975 $10,177 Multifamily Same Store(1) Rental revenues $3,021 $3,027 $6,072 $5,964 Pr perty expenses 1,299 1,321 2,620 2,571 NOI 1,722 1,706 3,452 3,393 Non-Same Store NOI 1,038 550 1,975 718 Segment NOI 2,760 2,256 $5,427 $4,111 Total Property Portfolio NOI $16,798 $13,318 $32,403 $25,091

33 Reconciliation to Property NOI $ in thousands Three months ended 6/30/2016 Diversified Portfolio Office Retail Multifamily Total NOI - Cash Basis $325 $8,223 $918 $9,466 Net effect of straight-line rents 25 9 3 37 Amortization of lease incentives and (above) below market rents (32) 152 (13) 107 NOI $521 $8,384 $908 $9,813 Town Center of Virginia Beach Office Retail Multifamily Total NOI - Cash Basis 2,486 1,743 $1,763 $5,992 Net effect of straight-line rents 35 1 4 40 Amortization of lease incentives and (above) below market rents (26) (87) - (113) Elimination of AHH rent (175) (80) - (255) NOI 2,320 1,577 $1,767 $5,664 NOI Office Retail Multifamily Total Diversified Portfolio $521 $8,384 $908 $9,813 Town Center of Virginia Beach 2,320 1,577 1,766 5,663 Unstabilized Properties 634 602 86 1,322 Total Property Portfolio NOI $3,475 $10,563 $2,760 $16,798

34 Reconciliation to GAAP Net Income $ in thousands Office Retail Multifamily Total Property Portfolio General Contracting & Real Estate Services Total Segment revenues 5,299$ 14,113$ 4,839$ 24,251$ 33,200$ 57,451$ Segment expenses 1,824 3,550 2,079 7,453 32,025 39,478 Net operating income 3,475$ 10,563$ 2,760$ 16,798$ 1,175$ 17,973$ Depreciation and amortization (8,602) General and administrative expenses (2,224) Acquisition, development and other pursuit costs (437) Interest income 722 Interest expense (3,978) Gain on real estate dispositions 13 Change in fair value of interest rate derivatives (373) Other income 43 Income tax provision (6) Net income 3,131$ Office Retail Multifamily Total Rental Properties General Contracting & Real Estate Services Total Segment revenues 10,820$ 27,145$ 9,569$ 47,534$ 70,003$ 117,537$ Segment expenses 3,819 7,170 4,142 15,131 67,062 82,193 Net operating income 7,001$ 19,975$ 5,427$ 32,403$ 2,941$ 35,344$ Depreciation and amortization (16,751) General and administrative expenses (4,708) Acquisition, development and other pursuit costs (1,141) Impairment charges (35) Interest income 904 Interest expense (7,769) Loss on extinguishment of debt - Gain on real estate dispositions 26,687 Change in fair value of interest rate derivatives (2,762) Other income 119 Income tax provision (224) Net income 29,664$ Three months ended 6/30/2016 Six Months Ended 6/30/2016