1. San Antonio Metropolitan Area
RETAIL MARKET
SNAPSHOT
Q1 2015
Office: 210-477-3161
Fax: 210-572-4470
40 NE Loop 410, Suite 607
San Antonio, TX 78216

2. RETAIL MARKET
FIRST QUARTER 2015
Market Trends
The first quarter for multi-tenant retail space continued to see a positive growth trend, albeit slower than
previous quarters, ending with a positive absorption of 45,770 square feet. The majority of positive
absorption took place between Community and Neighborhood Centers located in the Far North West,
North West, and North East submarkets. The citywide vacancy rate dropped 0.2% to 9.2% this quarter, a
decrease of almost 1.0% from 10.0% a year ago. The average quoted rental rate for multi-tenant retail
space saw a slight drop from the end of 2014, down to $16.56 per square feet, but still a gain of $0.16
when compared to rental rates a year ago.
To date, only two major retail projects were completed in 2015: phase II of Bulverde Marketplace with
21,453 square feet and the LA Fitness center at The Vineyard with 40,000 square feet, both located in the
North Central submarket. Major projects still under construction and expected to deliver later this year
include the Singing Hills development in Bulverde at approximately 200,000 square feet, the Old Joske’s
building at approximately 400,000 square feet, and the completion of Phase V at the Rim, adding an
additional 252,000 square feet to the retail behemoth.
Pre-leasing has contributed heavily into the retail market’s positive absorption and decreasing vacancy
rates, indicating retailers’ confidence in the San Antonio market. Prior to completion, Phase V at The Rim
was reported to have been 98% pre-leased. While larger projects continue to draw attention and business,
expansion projects to existing centers like Bulverde Marketplace and Sonterra Village in Stone Oak have
also incurred leasing prior to project completion. The Old Joske’s building at the heart of downtown has
finished its primary phase of construction, and has already leased a majority of the space to retailer H&M
and Dave & Buster’s entertainment venue. Starbucks and Johnny Rockets are also among the planned
tenants.
Economy
Ranked 10th on Forbes’ list of “America’s Fastest Growing Cities 2015”, San Antonio continues to
experience favorable economic conditions which have influenced further positive real estate market
trends. The Alamo City ranked #7 on Coldwell Banker Commercial’s list of “Top 10 Commercial Real
Estate Markets” for 2015 based on factors including population growth, office, retail, and multifamily
rankings, and the city's unemployment rate.
As of February 2015, San Antonio increased employment by approximately 6,710 jobs, according to data
provided by the U.S. Bureau of Labor Statistics and the Texas Workforce Commission. The city
unemployment rate dropped to 3.8% in February, which remains below the state and national
unemployment rates at 4.3% and 5.5%.
Summary:
Market
Statistics
Population Labor Force Employment Unemployment Rate
2,300,000* 1,097,025 1,055,512 41,513 3.8%
Source: Texas Workforce Commission and U.S. Bureau of Labor Statistics for the San Antonio-New Braunfels market, as of February 2015
* U.S. Census Bureau estimate for 2014 YTD

3. Lease Highlights
HEB Plus at Westlakes
New Lease: 53,302 SF
Tenant: Conn’s and
undisclosed tenant move out
Eisenhauer Center
New Lease: 18,000 SF
Tenants: Bargain Barn
Lockhill Village
New Lease: 29,316 SF
Tenant: Gold’s Gym
Sale Highlights
Rigsby Road Shopping Center
Buyer: William 47 South LLC
Seller: Rigsby Road Shopping
Center LP
Olmos Creek Shopping Center
Buyer: TCP-Alto Olmos Creek
LLC
Seller: Q Olmos Creek Property
LP
11210 Potranco Rd
Buyer: Breakie Holdings LLC
Seller: Wal-Mart Real Estate
Business Trust
Market Statistics:
CITYWIDE
Type Inventory Buildings
Direct Vacant
SF
% Vacancy Absorption
YTD
Absorption
Average
Rent
Regional Malls 7,436,845 8 281,938 3.8% - - $18.00
Power Centers 12,408,603 33 687,245 5.5% (6,995) (6,995) $25.27
Community Centers 6,697,831 43 603,878 9.0% 55,671 55,671 $18.83
Neighborhood
Centers
18,209,507 307 2,438,844 13.4% 14,540 14,540 $17.15
Strip Centers 2,367,989 113 337,386 14.2% (17,446) (17,446) $16.91
Total Retail 47,120,775 504 4,349,291 9.2% 45,770 45,770 $16.56
RETAIL MARKET
FIRST QUARTER 2015

4. Under Construction
1
The Rim PhaseV
3 6
Bulverde Marketplace
94
7
The Old
Joske’s
Singing
Hills
10
5
# Name Total SF Projected Delivery
1 Bulverde Marketplace – Phase II 21,453 SF Delivered Q1-2015
2 The Old Joske’s 400,000 SF Q2-2015
3 The Rim Phase V 252,000 SF 2015
4 Singing Hills 200,000 SF Q3-2015
5 Santikos Theatre at 151 & 1604 110,000 SF Q3-2015
6 The Vineyard – LA Fitness 40,000 SF Delivered Q1-2015
7 Military Crossing 20,585 SF Q2-2015
8 Roadrunner Plaza 20,000 SF 2015
9 Bulverde Crossing 20,000 SF 2015
2
RETAIL MARKET
FIRST QUARTER 2015
8

5. RETAIL MARKET
FIRST QUARTER 2015
San Antonio Submarkets
Property Types
Regional Malls
Enclosed centers with a total area greater than 500,000 SF. Tenant mix ranges from kiosk and
food court to major department stores.
Power Centers
Usually greater than 250,000 SF featuring a mix of big box tenants (typically large national
retailers) along with inline shop space and often supported by entertainment components such
as theaters, fitness and restaurants.
Community Centers
Generally range between 100,000 SF and 250,000 SF and usually anchored by grocery store or
other significant junior anchor tenant(s).
Neighborhood Centers
Generally range between 30,000 SF and 100,000 SF; tenant mix usually local and regional
retailers.
Strip Centers
Unanchored centers less than 30,000 SF serving the immediate residential area.
Criteria
Analysis and data provided by Xceligent
and approved by the San Antonio Retail
Advisory Board.
Study includes multi-tenant centers 20,000
SF or larger, including leasable and
separately owned inline space. The study
does not include single-tenant, owner-
occupied, or pad site spaces.
Rental rates reflect non-weighted strict
average asking rates quoted on an annual
triple net basis (excluding regional malls).

6. Research
San Antonio Office
40 NE Loop 410,
Suite 607
San Antonio, TX 78216
Phone: 210-477-3161
Fax: 210-572-4471
Peter Ikeda
Director of Research
P: 210-477-3166
pikeda@kennedywilson.com
San Antonio
Brokerage Team
Ernest Brown
Brian Allison
Barbara Crane
Cynthia Ellison
George Harcourt
Suzanne Havekost
Clint Hennessey
Jorge Rodriguez
Rick Stagers
Kennedy Wilson offers a comprehensive array of real
estate services including investment management,
property services, auction, conventional sales,
brokerage and research. For further information on
Kennedy Wilson, please visit
ww.kennedywilson.com.
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offices in:
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NYSE: KW
Sources: Xceligent San Antonio Retail Advisory Board, U.S. Census
Bureau, U.S. Bureau of Labor Statistics, Texas Workforce
Commission
This report is based on information from sources believed to be reliable and
honest; however, Kennedy Wilson makes no guarantees, warranties, or
representations as to the accuracy thereof. Reproduction of all or any part
of this information must be sourced to Kennedy Wilson.
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