An Update On Form 10-K Comments Issued

Article by Ettore A. Santucci P.C. , Eric J. Graham John O. Newell , and David H. Roberts

This is an update to our March 25, 2008 REIT Alert titled "Recent Developments in SEC Form 10-K Reviews", which reported on new comments emerging from the staff of the SEC's Division of Corporation Finance (the "Staff") requiring real estate companies to provide detailed descriptions of material properties, disclose specified property operating data and identify the source of funds for any distributions in excess of historical FFO in their Form 10-Ks.

We reviewed more than 80 comment letters issued to real estate companies since the beginning of the year. Although most of the letters contained Staff comments on only the financial statements and the accompanying notes, 18 of these letters contained comments on information presented outside of the financial statements. We found that the Staff most frequently sought additional disclosure or explanation concerning: