SEC Filing | Simon Property Group, L.P.

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SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): February 6, 2006

SIMON PROPERTY GROUP, INC.

(Exact name of registrant as specified in its charter)

Delaware	001-14469	046268599
(State or other jurisdiction	(Commission	(IRS Employer
of incorporation)	File Number)	Identification No.)

115 WEST WASHINGTON STREET INDIANAPOLIS, INDIANA		46204
(Address of principal executive offices)		(Zip Code)

Registrant’s telephone number, including area code: 317.636.1600

Not Applicable

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act
(17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act
(17 CFR 240.13e-4(c))

Item 2.02. Results of Operation and Financial Condition

On February 6, 2006, Simon Property Group, Inc. (the “Registrant”) issued a press release containing information on earnings for the quarter ended December 31, 2005 and other matters. A copy of the press release is attached hereto as Exhibit 99.2 and the information in the press release is incorporated by reference into this report.

The press release and Supplemental Information package attached as Exhibit 99.1 use the non-GAAP financial measure of Funds from Operations (“FFO”). The Supplemental Information package also uses the non-GAAP measure of Net Operating Income (“NOI”). The Registrant considers FFO and NOI key measures of its operating performance that are not specifically defined by accounting principles generally accepted in the United States (“GAAP”). The Registrant believes that FFO and NOI are helpful to investors because they are widely recognized measures of the performance of real estate investment trusts and provide relevant bases for comparison among REITs. The Registrant also uses FFO and NOI internally to measure the operating performance of its portfolio. Reconciliations of FFO to net income on an estimated and historical basis are provided on page 67 furnished herewith in Exhibit 99.2. Reconciliations of net income to NOI on an estimated and historical basis are provided on page 14 furnished herewith in Exhibit 99.1.

The Registrant is furnishing the information contained herein, including Exhibit 99.2, pursuant to Item 2.02 of Form 8-K promulgated by the Securities and Exchange Commission (the “SEC”). This information shall not be deemed to be “filed” with the SEC or incorporated by reference into any other filing with the SEC. By furnishing this information, the Registrant makes no admission as to the materiality of any information in this Item 2.02, including the Exhibit 99.2.

Item 7.01. Regulation FD Disclosure

On February 6, 2006, the Registrant made available additional ownership and operational information concerning the Registrant, Simon Property Group, L.P., and properties owned or managed as of December 31, 2005, in the form of a Supplemental Information package, a copy of which is attached as Exhibit 99.1. The Supplemental Information package is also available upon request as specified therein.

The Registrant is furnishing the information contained herein, including Exhibit 99.1, pursuant to Item 7.01 of Form 8-K promulgated by the SEC. This information shall not be deemed to be “filed” with the SEC or incorporated by reference into any other filing with the SEC.

Item 9.01. Financial Statements and Exhibits

Financial Statements:

None

Exhibits:

Exhibit No.	Description	Page Number in This Filing
99.1	Supplemental Information as of December 31, 2005	5
99.2	Earnings Release for the quarter ended December 31, 2005	59

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

Dated: February 6, 2006

	SIMON PROPERTY GROUP, INC.
	By:	/s/ STEPHEN E. STERRETT
		Stephen E. Sterrett Executive Vice President and Chief Financial Officer

SIMON PROPERTY GROUP

Table of Contents

As of December 31, 2005

Description		Page
Exhibit 99.1	Supplemental Information
	Company Overview
	Overview (reporting calendar, stock information, and corporate ratings)	5-6
	Ownership Structure	7
	Changes in Common Shares and Unit Ownership	8
	Financial Data
	Selected Financial and Equity Information	9
	Unaudited Pro-Rata Statements of Operations	11-12
	Unaudited Pro-Rata Balance Sheet	13
	Reconciliation of Net Income to NOI	14
	Analysis of Other Income and Other Expense	15
	NOI Composition	16
	Operational Data
	U.S. Portfolio GLA	17
	U.S. Regional Mall Operational Information	18
	U.S. Regional Mall Lease Expirations	19
	U.S. Regional Mall Top Tenants	20
	U.S. Regional Mall Anchor/Big Box Openings, 2005-2007	21-22
	U.S. Regional Mall Property Listing	23-27
	U.S. Premium Outlet® Centers Operational Information	28
	U.S. Premium Outlet® Centers Lease Expirations	29
	U.S. Premium Outlet® Centers Top Tenants	30
	U.S. Premium Outlet® Centers Property Listing	31
	U.S. Community/Lifestyle Centers Operational Information	32
	U.S. Community/Lifestyle Centers Lease Expirations	33
	U.S. Community/Lifestyle Centers Top Tenants	34
	U.S. Community/Lifestyle Centers Property Listing	35-36
	International Operational Information	37
	International Property Listing	38-40
	Development Activity
	Capital Expenditures in the U.S. Portfolio	41
	U.S. Development Activity Report	42-43
	International Development Activity Report	44
	Balance Sheet Information
	The Company’s Share of Total Debt Amortization and Maturities by Year	45
	Summary of Indebtedness	46
	Summary of Indebtedness by Maturity	47-52
	Unencumbered Assets	53-57
	Preferred Stock/Units Outstanding	58
	Quarterly Earnings Announcement
Exhibit 99.2	Press Release	59-71

Exhibit 99.1

SIMON PROPERTY GROUP

Overview

The Company

Simon Property Group, Inc. (the “Company” or “Simon Property”) (NYSE:SPG) is a self-administered and self-managed real estate investment trust (“REIT”). Simon Property Group, L.P. (the “Operating Partnership”) is a subsidiary partnership of the Company. The Company and the Operating Partnership (collectively, “Simon Group”) are engaged primarily in the ownership, development and management of retail real estate properties, primarily regional malls, Premium Outlet® centers and community/lifestyle centers.

At December 31, 2005, the Company owned or had an interest in 286 properties in the United States containing an aggregate of 200 million square feet of gross leasable area (GLA) in 39 states plus Puerto Rico. The Company also holds interests in 51 European shopping centers in France, Italy and Poland; 5 Premium Outlet centers in Japan; and one Premium Outlet center in Mexico.

This package was prepared to provide (1) ownership information, (2) certain operational information, and (3) balance sheet information as of December 31, 2005, for the Company and the Operating Partnership.

Certain statements contained in this Supplemental Package may constitute “forward-looking statements” made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those indicated by forward-looking statements due to a variety of risks and uncertainties. Those risks and uncertainties include, but are not limited to, international, national, regional and local economic climates, competitive market forces, changes in market rental rates, trends in the retail industry, the inability to collect rent due to the bankruptcy or insolvency of tenants or otherwise, risks associated with acquisitions, the impact of terrorist activities, environmental liabilities, pending litigation, maintenance of REIT status, changes in applicable laws, rules and regulations, changes in market rates of interest and fluctuations in exchange rates of foreign currencies. The reader is directed to the Company’s various filings with the Securities and Exchange Commission for a discussion of such risks and uncertainties. The Company undertakes no obligation to publicly update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

We hope you find this Supplemental Package beneficial. Any questions, comments or suggestions should be directed to: Shelly J. Doran, Vice President of Investor Relations-Simon Property Group, P.O. Box 7033, Indianapolis, IN 46207. Telephone: (317) 685-7330; e-mail: sdoran@simon.com

Reporting Calendar

Results for the next three quarters will be announced according to the following approximate schedule:

First Quarter 2006		Late April 2006
Second Quarter 2006		Late July 2006
Third Quarter 2006		Late October 2006

Stock Information

Simon Property common stock and four issues of preferred stock are traded on the New York Stock Exchange under the following symbols:

Common Stock		SPG
8.75% Series F Cumulative Preferred		SPGPrF
7.89% Series G Cumulative Preferred		SPGPrG
6% Series I Convertible Perpetual Preferred		SPGPrI
8.375% Series J Cumulative Redeemable Preferred		SPGPrJ

Credit Ratings

Standard & Poor’s
Corporate	BBB+	(Stable)
Senior Unsecured	BBB+	(Stable)(1)
Preferred Stock	BBB	(Stable)
Moody’s
Senior Unsecured	Baa1	(Stable Outlook)(2)
Preferred Stock	Baa2	(Stable Outlook)(2)

(1) On December 29, 2004, Standard & Poor’s upgraded its rating on Simon Group’s senior unsecured debt from BBB to BBB+.

(2) On September 28, 2005, Moody’s upgraded its rating on Simon Group’s senior unsecured debt from Baa2 to Baa1 with a Stable Outlook and upgraded its rating on Simon Group’s preferred stock from Baa3 to Baa2 with a Stable Outlook.

Simon Property Group Ownership Structure(1)
December 31, 2005

(1) Schedule excludes preferred stock (see "Preferred Stock/Units Outstanding") and units not convertible into common stock.

(2) Consists of Melvin Simon, Herbert Simon, David Simon, and/or trusts established for the benefit of members of the Simon family and Melvin Simon & Associates, Inc.

(3) Holders of Class B common stock are entitled to elect 4 of the 13 members of the Board of Directors and also have voting rights with common stock.

(4) Consists of NID Corporation, directly or indirectly, members of the DeBartolo family, including Edward J. DeBartolo, Jr. and M. Denise DeBartolo York, or trusts established for the benefit of members of the DeBartolo family or entities in which the foregoing persons hold interests.

(5) Holders of Class C common stock are entitled to elect 2 of the 13 members of the Board of Directors and also have voting rights with common stock.

(6) Other executives includes directors and executive officers of Simon Property, other than Simon and DeBartolo family members.

SIMON PROPERTY GROUP
Changes in Common Shares and Unit Ownership
For the Period from December 31, 2004 through December 31, 2005

	Operating Partnership Units(1)		Company Common Shares(2)
Number Outstanding at December 31, 2004	60,943,415		220,306,495
Activity During the First Nine Months of 2005:
Purchase of Simon Property Common Stock in open market	—		(2,815,400	)
Issuance of Stock for Stock Option Exercises	—		183,164
Conversion of Units into Common Stock	(1,761,775	)	1,761,775
Conversion of Units into Cash	(93,020	)	—
Conversion of Preferred Units into Units	89,805		—
Shares Retired	—		(18,000	)
Reversal of Unit Issuance for Debt Refinancing	(68,123	)	—
Restricted Stock Awards (Stock Incentive Program), Net	—		407,165
Number Outstanding at September 30, 2005	59,110,302		219,825,199
Activity During the Fourth Quarter of 2005:
Issuance of Stock for Stock Option Exercises	—		23,300
Conversion of Units into Common Stock	(519,706	)	519,706
Conversion of Units into Cash	(67,972	)	—
Restricted Stock Awards (Stock Incentive Program), Net	—		(6,624	)
Number Outstanding at December 31, 2005	58,522,624		220,361,581
*Details for Diluted Common Shares Outstanding(5):*
Company Common Shares Outstanding at December 31, 2005			220,361,581
Number of Common Shares Issuable Assuming Conversion of:
Series I 6% Convertible Perpetual Preferred Stock(3)			10,832,941
Series C 7% Cumulative Convertible Preferred Units(3)			1,067,606
Series I 6% Convertible Perpetual Preferred Units(3)			3,270,612
Net Number of Common Shares Issuable Assuming Exercise of Stock Options(4)			923,217
Diluted Common Shares Outstanding at December 31, 2005(5)			236,455,957

(1) Excludes units owned by the Company (shown here as Company Common Shares) and units not convertible into common shares.

(2) Excludes preferred units relating to preferred stock outstanding (see Schedule of Preferred Stock Outstanding on page 58).

(3) Conversion terms provided on page 58 of this document.

(4) Based upon the weighted average stock price for the quarter ended December 31, 2005.

(5) For FFO purposes.

SIMON PROPERTY GROUP

Selected Financial and Equity Information

As of December 31, 2005

Unaudited

(In thousands, except as noted)

	As of or for the Three Months Ended December 31,				As of or for the Twelve Months Ended December 31,
	2005		2004		2005		2004
*Financial Highlights of the Company*
Total Revenue—Consolidated Properties	$	889,790	$	821,377	$	3,166,853	$	2,585,079
Net Income Available to Common Stockholders	$	115,659	$	107,444	$	401,895	$	300,647
Basic Earnings per Common Share	$	0.53	$	0.49	$	1.82	$	1.45
Diluted Earnings per Common Share	$	0.52	$	0.49	$	1.82	$	1.44
FFO of the Simon Portfolio	$	418,957	$	385,268	$	1,411,368	$	1,181,924
Diluted FFO of the Simon Portfolio	$	433,204	$	397,577	$	1,468,239	$	1,198,056
Basic FFO per Share	$	1.50	$	1.38	$	5.04	$	4.42
Diluted FFO per Share	$	1.47	$	1.36	$	4.96	$	4.39
Distributions per Share	$	0.70	$	0.65	$	2.80	$	2.60

	December 31, 2005		December 31, 2004
*Shareholders’ Equity Information*
Limited Partner Units Outstanding at End of Period	58,523		60,943
Common Shares Outstanding at End of Period	220,361		220,307
Total Common Shares and Units Outstanding at End of Period	278,884		281,250
Weighted Average Limited Partnership Units Outstanding	59,566		59,086
Weighted Average Common Shares Outstanding—Basic (1)	220,259		207,990
Weighted Average Common Shares Outstanding—Diluted (1)	236,321		213,745
*Debt Information*
Consolidated Debt	$	14,106,117	$	14,586,393
Simon Group’s Share of Joint Venture Debt	$	3,169,662	$	2,750,327
*Market Capitalization*
Common Stock Price at End of Period	$	76.63	$	64.67
Equity Market Capitalization (2)	$	23,070,738	$	19,829,361
Total Capitalization—Including Simon Group’s Share of JV Debt	$	40,346,517	$	37,166,081

	As of or for the Twelve Months Ended December 31,
	2005		2004
*Miscellaneous Balance Sheet Data*
Interest Capitalized during the Period:
Consolidated Properties	$	14,217	$	12,933
Joint Venture Properties	$	3,402	$	3,709
Simon Group’s Share of Joint Venture Properties	$	1,566	$	1,825

(1) For purposes of computing net income and FFO per share.

(2) Market value of Common Stock, Units and all issues of Preferred Stock of the Company.

On the next three pages, we present balance sheet and income statement data on a pro rata basis reflecting the Company’s proportionate economic ownership of each asset in the Simon Group portfolio.

Basis of Presentation: The consolidated amounts shown are prepared on a consistent basis with the consolidated financial statements prepared by the Company. The Company’s Share of Joint Ventures column was derived on a property-by-property basis by applying the same percentage interests used to arrive at our share of net income during the period and applying them to all financial statement line items of each property. A similar calculation was performed for minority interests.

SIMON PROPERTY GROUP
Unaudited Pro-Rata Statement of Operations
For The Three Months Ended December 31, 2005

	Consolidated				Minority Interest				The Company’s Consolidated Share				The Company’s Share of Joint Ventures				Total Company’s Share
REVENUE:
Minimum rent		$	531,196			$	(9,299	)		$	521,897			$	121,305				$		643,202
Overage rent		39,260				(438		)		38,822				14,019					52,841
Tenant reimbursements		247,975				(5,955		)		242,020				59,976					301,996
Management fees and other revenues		20,835				—				20,835				—					20,835
Other income		50,524				(461		)		50,063				14,383					64,446
Total revenue		889,790				(16,153		)		873,637				209,683					1,083,320
EXPENSES:
Property operating		105,749				(3,118		)		102,631				34,447					137,078
Depreciation and amortization		232,097				(2,242		)		229,855				55,123					284,978
Real estate taxes		73,938				(1,339		)		72,599				13,784					86,383
Repairs and maintenance		30,239				(774		)		29,465				9,645					39,110
Advertising and promotion		34,641				(579		)		34,062				5,584					39,646
Provision for credit losses		4,796				65				4,861				1,042					5,903
Home and regional office costs		32,314				—				32,314				—					32,314
General & administrative		4,462				—				4,462				—					4,462
Other		23,387				(543		)		22,844				16,463					39,307
Total operating expenses		541,623				(8,530		)		533,093				136,088					669,181
OPERATING INCOME		348,167				(7,623		)		340,544				73,595					414,139
Interest expense		204,956				(2,614		)		202,342				42,833					245,175
Income before minority interest		143,211				(5,009		)		138,202				30,762					168,964
Minority interest		(5,009		)		5,009				—				—					—
Income tax expense of taxable REIT subsidiaries		(5,013		)		—				(5,013		)		—					(5,013			)
Income before unconsolidated entities		133,189				—				133,189				30,762					163,951
Income from unconsolidated entities		30,762				—				30,762				(30,762		)			—
Loss on sales of interests in unconsolidated entities, net		(13,390		)		—				(13,390		)		—					(13,390			)
Income from continuing operations		150,561				—				150,561				—					150,561
Results of operations from discontinued operations		132				—				132				—					132
Gain on disposal or sale of discontinued operations		21,560				—				21,560				—					21,560
Income before allocation to limited partners		172,253				—				172,253				—					172,253
LESS:
Limited partners’ interest in the Operating Partnership		31,145				—				31,145				—					31,145
Preferred distributions of the Operating Partnership		6,924				—				6,924				—					6,924
NET INCOME		134,184				—				134,184				—					134,184
Preferred dividends		(18,525		)		—				(18,525		)		—					(18,525			)
NET INCOME AVAILABLE TO COMMON STOCKHOLDERS		$	115,659			$	—			$	115,659			$	—				$		115,659
RECONCILIATION TO FFO:
Net Income										$	134,184			$	—			$		134,184
Less:
Joint Venture Net Income										(30,762		)		30,762				—
Net Income										103,422				30,762				134,184
Plus:
Limited partners’ interest in the Operating Partnership and preferred distributions of the Operating Partnership										38,069				—				38,069
Depreciation and amortization from consolidated properties and discontinued operations										230,922				—				230,922
Our share of depreciation and amortization from unconsolidated entities										—				53,547				53,547
Tax provision related to gain on sale										(1,961		)		—				(1,961					)
Less:
Loss on sale of real estate and discontinued operations										(8,170		)		—				(8,170					)
Minority interest portion of depreciation and amortization										(2,185		)		—				(2,185					)
Preferred distributions and dividends										(25,449		)		—				(25,449					)
Our FFO										$	334,648			$	84,309			$		418,957
% of Total FFO										79.88		%		20.12		%		100.00					%

SIMON PROPERTY GROUP
Unaudited Pro-Rata Statement of Operations
For The Twelve Months Ended December 31, 2005

	Consolidated				Minority Interest				The Company’s Consolidated Share				The Company’s Share of Joint Ventures				Total Company’s Share
REVENUE:
Minimum rent		$	1,937,657			$	(33,729	)		$	1,903,928			$	457,041			$	2,360,969
Overage rent		85,536				(782		)		84,754				33,536				118,290
Tenant reimbursements		896,901				(20,574		)		876,327				220,398				1,096,725
Management fees and other revenues		77,766				—				77,766				—				77,766
Other income		168,993				(1,502		)		167,491				56,699				224,190
Total revenue		3,166,853				(56,587		)		3,110,266				767,674				3,877,940
EXPENSES:
Property operating		421,576				(11,554		)		410,022				147,291				557,313
Depreciation and amortization		849,911				(9,244		)		840,667				211,318				1,051,985
Real estate taxes		291,113				(5,276		)		285,837				53,750				339,587
Repairs and maintenance		105,489				(2,720		)		102,769				32,154				134,923
Advertising and promotion		92,377				(1,503		)		90,874				15,695				106,569
Provision for credit losses		8,127				(182		)		7,945				4,248				12,193
Home and regional office costs		117,374				—				117,374				—				117,374
Gneral & administrative		17,701				—				17,701				—				17,701
Other		57,762				(2,039		)		55,723				53,727				109,450
Total operating expenses		1,961,430				(32,518		)		1,928,912				518,183				2,447,095
OPERATING INCOME		1,205,423				(24,069		)		1,181,354				249,491				1,430,845
Interest expense		799,092				(10,326		)		788,766				167,684				956,450
Income before minority interest		406,331				(13,743		)		392,588				81,807				474,395
Minority interest		(13,743		)		13,743				—				—				—
Income tax expense of taxable REIT subsidiaries		(16,229		)		—				(16,229		)		—				(16,229		)
Income before unconsolidated entities		376,359				—				376,359				81,807				458,166
Income from unconsolidated entities		81,807				—				81,807				(81,807		)		—
Loss on sales of interests in unconsolidated entities, net		(838		)		—				(838		)		—				(838		)
Income from continuing operations		457,328				—				457,328				—				457,328
Results of operations from discontinued operations		8,242				—				8,242				—				8,242
Gain (loss) on disposal or sale of discontinued operations		146,945				—				146,945				—				146,945
Income before allocation to limited partners		612,515				—				612,515				—				612,515
LESS:
Limited partners’ interest in the Operating Partnership		108,686				—				108,686				—				108,686
Preferred distributions of the Operating Partnership		28,080				—				28,080				—				28,080
NET INCOME		475,749				—				475,749				—				475,749
Preferred dividends		(73,854		)		—				(73,854		)		—				(73,854		)
NET INCOME AVAILABLE TO COMMON STOCKHOLDERS		$	401,895			$	—			$	401,895			$	—			$	401,895
RECONCILIATION TO FFO:
Net Income										$	475,749			$	—			$	475,749
Less:
Joint Venture Net Income										(81,807		)		81,807				—
Net Income										393,942				81,807				475,749
Plus:
Limited partners’ interest in the Operating Partnership and preferred distributions of the Operating Partnership										136,766				—				136,766
Depreciation and amortization from consolidated properties and discontinued operations										850,519				—				850,519
Our share of depreciation and amortization from unconsolidated entities										—				205,981				205,981
Tax provision related to sale										(1,961		)		1,533				(428		)
Less:
Loss on sale of real estate and discontinued operations										(146,107		)		—				(146,107		)
Minority interest portion of depreciation and amortization										(9,178		)		—				(9,178		)
Preferred distributions and dividends										(101,934		)		—				(101,934		)
Our FFO										$	1,122,047			$	289,321			$	1,411,368
% of Total FFO:										79.50		%		20.50		%		100.00		%

SIMON PROPERTY GROUP
Unaudited Pro-Rata Balance Sheet
As of December 31, 2005

								The				The
								Company’s				Company’s				Total
					Minority			Consolidated				Share of				Company’s
	Consolidated				Interest			Share				Joint Ventures				Share
ASSETS:
Investment properties, at cost		$	21,745,309		$	(207,686	)		$	21,537,623			$	5,141,239		$	26,678,862
Less—accumulated depreciation		3,809,293			(61,593		)		3,747,700				733,467			4,481,167
		17,936,016			(146,093		)		17,789,923				4,407,772			22,197,695
Cash and cash equivalents		337,048			(9,568		)		327,480				131,016			458,496
Tenant receivables and accrued revenue, net		357,079			(4,200		)		352,879				80,230			433,109
Investment in unconsolidated entities, at equity		1,562,595			—				1,562,595				(1,562,595		)	—
Deferred costs and other assets		938,301			(68,972		)		869,329				128,024			997,353
Total assets		$	21,131,039		$	(228,833	)		$	20,902,206			$	3,184,447		$	24,086,653
LIABILITIES:
Mortgages and other indebtedness		$	14,106,117		$	(193,184	)		$	13,912,933			$	3,169,662		$	17,082,595
Accounts payable, accrued expenses, intangibles, and deferred revenues		1,092,334			(8,852		)		1,083,482				167,827			1,251,309
Cash distributions and losses in partnerships and joint ventures, at equity		194,476			—				194,476				(194,476		)	—
Other liabilities, minority interest and accrued dividends		163,524			(26,797		)		136,727				41,434			178,161
Total liabilities		15,556,451			(228,833		)		15,327,618				3,184,447			18,512,065
LIMITED PARTNERS’ INTEREST IN THE OPERATING PARTNERSHIP		865,548			—				865,548				—			865,548
LIMITED PARTNERS’ PREFERRED INTEREST IN THE OPERATING PARTNERSHIP		401,809			—				401,809				—			401,809
STOCKHOLDERS’ EQUITY:
CAPITAL STOCK OF SIMON PROPERTY GROUP, INC. (750,000,000 total shares authorized, $.0001 par value, 237,996,000 shares of excess common stock):
All series of preferred stock, 100,000,000 shares authorized, 25,632,122 issued and outstanding, with a liquidation value of $1,081,606		1,080,022			—				1,080,022				—			1,080,022
Common stock, $.0001 par value, 400,000,000 shares authorized, 225,165,236 issued and outstanding		23			—				23				—			23
Class B common stock, $.0001 par value, 12,000,000 shares authorized, 8,000 issued and outstanding		—			—				—				—			—
Class C common stock, $.0001 par value, 4,000 shares authorized, issued and outstanding		—			—				—				—			—
Capital in excess of par value		5,030,587			—				5,030,587				—			5,030,587
Accumulated deficit		(1,551,179		)	—				(1,551,179		)		—			(1,551,179		)
Accumulated other comprehensive income		9,793			—				9,793				—			9,793
Unamortized restricted stock award		(31,929		)	—				(31,929		)		—			(31,929		)
Common stock held in treasury at cost, 4,815,655 shares		(230,086		)	—				(230,086		)		—			(230,086		)
Total stockholders’ equity		4,307,231			—				4,307,231				—			4,307,231
		$	21,131,039		$	(228,833	)		$	20,902,206			$	3,184,447		$	24,086,653

SIMON PROPERTY GROUP
Reconciliation of Net Income to NOI
As of December 31, 2005
(in thousands, except as noted)

Industry practice is to evaluate real estate properties on an unleveraged basis. NOI is a standard industry performance measure which is defined as operating income plus depreciation and amortization, both calculated in accordance with accounting principles generally accepted in the United States (“GAAP”). We consider NOI to be a key measure of our operating performance that is not specifically defined by GAAP. We believe that NOI is helpful to investors because it is a widely recognized measure of the performance of REITs and provides a relevant basis for comparison among REITs. We also use NOI internally to measure the operating performance of our portfolio.

However, you should understand that NOI:

· does not represent cash flow from operations as defined by GAAP,

· should not be considered as an alternative to net income determined in accordance with GAAP as a measure of operating performance,

· is not an alternative to cash flows as a measure of liquidity, and

· is not indicative of cash flows from operating, investing and financing activities.

The Reconciliation of Net Income to NOI provides net income, which we believe is the most directly comparable GAAP financial measure, and reconciles the amounts to “Total NOI of the Simon Group Portfolio.” This schedule also provides the increase in NOI of regional malls that are comparable properties for the quarter and twelve months ended December 31, 2005.

	For the Three Months Ended December 31,						For the Twelve Months Ended December 31,
	2005			2004			2005			2004
Reconciliation of NOI of consolidated Properties:
Net Income	$	134,184		$	126,286		$	475,749		$	342,993
Add: Preferred distributions of the Operating Partnership	6,924			6,510			28,080			21,220
Limited partners’ interest in the Operating Partnership	31,145			30,079			108,686			85,647
Discontinued operations—Results of operations and loss on disposal or sale, net	(21,692		)	14,802			(155,187		)	10,081
Income tax expense of taxable REIT subsidiaries	5,013			932			16,229			11,770
Minority interest	5,009			2,797			13,743			9,687
Interest Expense	204,956			188,005			799,092			653,798
Income from unconsolidated entities	(30,762		)	(20,304		)	(81,807		)	(81,113		)
(Gain) Loss on sales of assets and other, net	13,390			—			838			760
Operating Income	348,167			349,107			1,205,423			1,054,843
Depreciation and amortization expense	232,097			190,656			849,911			607,071
NOI of consolidated Properties	$	580,264		$	539,763		$	2,055,334		$	1,661,914
Reconciliation of NOI of unconsolidated entities:
Net Income	$	82,119		$	91,741		$	405,360		$	304,949
Add: Discontinued operations—Results of operations and loss on disposal or sale, net	34,633			(2,360		)	(62,815		)	(37,466		)
Interest Expense	104,377			94,594			403,734			370,363
Income from unconsolidated entities	—			1,294			1,892			5,129
Gain on Sale of Asset	(1,423		)	—			(1,423		)	—
Operating Income	219,706			185,269			746,748			642,975
Depreciation and amortization expense	86,360			83,253			327,946			285,463
NOI of unconsolidated entities	$	306,066		$	268,522		$	1,074,694		$	928,438
Total consolidated and unconsolidated NOI from continuing operations	$	886,330		$	808,285		$	3,130,028		$	2,590,352
Adjustments to NOI:
NOI of discontinued consolidated and unconsolidated Properties	1,178			1,047			26,344			114,783
Total NOI of the Simon Group Portfolio	$	887,508		$	809,332		$	3,156,372		$	2,705,135
Increase in NOI from prior period	9.7		%	14.8		%	16.7		%	10.9		%
Less: Joint venture partner’s share of NOI	186,563			165,284			649,534			629,536
Simon Group’s Share of NOI	$	700,945		$	644,048		$	2,506,838		$	2,075,599
Increase in Simon Group’s Share of NOI from prior period	8.8		%	20.3		%	20.8		%	11.0		%

NOI of Regional Malls that are Comparable Properties(1)	$	675,363		$	641,321		$	2,393,759		$	2,302,656
Increase in NOI of Regional Malls that are Comparable Properties(1)	5.3		%				4.0		%

(1) Properties that were owned in both of the periods under comparison are referred to as comparable properties.

SIMON PROPERTY GROUP
Analysis of Other Income and Other Expense
As of December 31, 2005
(In thousands)

	For the Three Months Ended December 31,				For the Twelve Months Ended December 31,
	2005		2004		2005		2004
*Consolidated Properties*
*Other Income*
Interest Income	$	6,481	$	4,725	$	20,274	$	12,733
Lease Settlement Income	1,197		1,300		8,165		11,629
Gains on Land Sales and Income from the Sale of Net Leases	2,935		22,965		19,191		45,161
Simon Brand Ventures/Simon Business Network Revenues(1)	27,609		25,072		85,586		69,600
Other	12,302		7,907		35,777		17,291
Totals	$	50,524	$	61,969	$	168,993	$	156,414
*Other Expense*
Ground Rent	$	6,175	$	6,237	$	25,471	$	20,374
Professional Fees	10,291		6,420		18,576		9,420
Simon Brand Ventures/Simon Business Network Expenses	742		730		2,766		2,783
Other	6,179		2,474		10,949		6,892
Totals	$	23,387	$	15,861	$	57,762	$	39,469

(1) Additional Simon Brand Ventures and Simon Business Network revenues are recorded in
minimum rent.

SIMON PROPERTY GROUP
NOI Composition
For the Twelve Months Ended December 31, 2005

U.S. Portfolio NOI by Geographic
Diversification(1)

NOI by Asset Type(2)

(1)	U.S. regions:
	Northeast—PA, NY, VT, NH, ME, MA, NJ, CT and RI	West North Central—ND, SD, NE, KS, MN, IA and MO
	Mideast—KY, WV, MD, DE, VA, NC and SC	East North Central—WI, MI, OH, IN and IL
	Southeast—TN, MS, AL, GA, FL and Puerto Rico	Mountain—NV, AZ, NM, UT, CO, ID, MT and WY
	Southwest—TX, OK, LA and AR	Pacific—CA, OR, WA and HI
(2)	International includes five Premium Outlet centers in Japan.

SIMON PROPERTY GROUP
U.S. Portfolio GLA
As of December 31, 2005

Type of Property	GLA-Sq. Ft.	Total Owned GLA	% of Owned GLA
Regional Malls
Anchor	101,368,400	28,663,594		23.9	%
Specialty Store	58,935,104	58,726,135		49.1	%
Freestanding	4,329,413	2,162,545		1.8	%
Subtotal	63,264,517	60,888,680		50.9	%
Regional Mall Total	164,632,917	89,552,274		74.8	%
Premium Outlet Centers	12,583,238	12,583,238		10.5	%
Community/Lifestyle Centers
Anchor	13,534,026	8,439,711		7.1	%
Specialty Store	4,902,456	4,852,288		4.0	%
Freestanding	930,609	439,204		0.4	%
Community/Lifestyle Centers Total	19,367,091	13,731,203		11.5	%
Office Portion of Retail	1,759,828	1,759,828		1.5	%
Other(1)	2,068,655	2,068,655		1.7	%
Total U.S. Properties	200,411,729	119,695,198		100.0	%

(1) Other assets include 11 other properties that contribute less than 1% of Simon Group’s NOI.

SIMON PROPERTY GROUP
U.S. Regional Mall Operational Information
As of December 31, 2005
Unaudited
(In thousands, except as noted)

	As of or for the
	Twelve Months Ended
	December 31,
	2005			2004
Total Number of Regional Malls	171			172
Total Regional Mall GLA (in millions of square feet; includes office portion of retail)	166.4			167.7
Occupancy(1)
Consolidated Assets	93.3		%	92.7		%
Unconsolidated Assets	92.7		%	92.6		%
Total Portfolio	93.1		%	92.7		%
Comparable sales per square foot(2)
Consolidated Assets	$	435		$	411
Unconsolidated Assets	$	478		$	460
Total Portfolio	$	450		$	427
Average rent per square foot(1)
Consolidated Assets	$	34.05		$	32.81
Unconsolidated Assets	$	35.30		$	34.78
Total Portfolio	$	34.49		$	33.50

	Mall &
Average Base Rent Per Square Foot(1)	Freestanding Stores			% Change
12/31/05		$	34.49		3.0	%
12/31/04		33.50			3.8	%
12/31/03		32.26			5.1	%
12/31/02		30.70			4.8	%
12/31/01		29.28			3.4	%

Leasing Activity During the Period(1):

	Average Base Rent(3)						Amount of Change
				Store Closings/			(Referred to as
	Lease Signings			Lease Expirations			“Leasing Spread”)
2005		$	43.18		$	35.78	$	7.40	20.7%
2004		39.33			33.59		5.74		17.1%
2003		41.28			32.99		8.29		25.1%
2002		40.35			32.58		7.77		23.8%
2001		34.88			29.10		5.78		19.9%

(1) Includes mall and freestanding stores

(2) Based upon the standard definition of sales for regional malls adopted by the International Council of Shopping Centers which includes only mall and freestanding stores less than 10,000 square feet.

(3) Represents the average base rent in effect during the period for those tenants who signed leases as compared to the average base rent in effect during the period for those tenants whose leases terminated or expired.

SIMON PROPERTY GROUP
U.S. Regional Mall Lease Expirations(1)
As of December 31, 2005

				Avg. Base Rent
	Number of		Square	per Square Foot
Year	Leases Expiring		Feet	at 12/31/05
Mall Stores & Freestanding
Month to Month Leases		558	1,553,708		$	32.46
2006		2,287	5,325,755		$	33.91
2007		2,576	6,092,119		$	34.68
2008		2,003	5,383,063		$	36.47
2009		1,823	5,221,930		$	33.96
2010		1,875	5,461,368		$	36.48
2011		1,475	4,670,528		$	34.62
2012		1,220	4,140,298		$	35.56
2013		1,132	3,660,296		$	38.49
2014		1,232	3,713,898		$	40.24
2015		1,165	3,904,136		$	40.78
2016		489	2,172,286		$	32.20
2017 and Thereafter		593	3,932,345		$	27.58
Specialty Leasing Agreements w/ terms in excess of 12 months		1,062	2,708,410		$	13.48
Anchor Tenants
Month to Month Leases		2	119,190		$	3.97
2006		6	641,050		$	2.92
2007		16	1,764,735		$	2.08
2008		26	3,036,253		$	3.95
2009		31	3,279,500		$	3.41
2010		34	4,017,047		$	2.78
2011		21	2,372,206		$	3.81
2012		18	1,953,706		$	5.08
2013		10	1,638,346		$	6.28
2014		13	1,207,089		$	7.58
2015		11	1,007,256		$	6.81
2016		9	974,683		$	6.76
2017 and Thereafter		47	5,280,793		$	5.01

(1) Does not consider the impact of options to renew that may be contained in leases.

SIMON PROPERTY GROUP
U.S. Regional Mall Top Tenants
As of December 31, 2005
(Square Feet in 000’s)

Top 10 In-Line Retail Tenants (sorted by percentage of total Simon Group base minimum rent)

Tenant	Number of Stores		Square Feet	Percent of Total Simon Group Sq. Ft.			Percent of Total Simon Group Base Min. Rent
Limited		536	3,464		1.7	%		4.0	%
Gap		335	3,555		1.8	%		2.7	%
Foot Locker		425	1,737		0.9	%		2.0	%
Zale Corporation		407	478		0.2	%		1.6	%
Luxottica Group S.P.A		524	897		0.4	%		1.5	%
Abercrombie & Fitch Co.		171	1,236		0.6	%		1.4	%
Sterling Jewelers, Inc.		204	296		0.1	%		1.0	%
Children’s Place Retail Stores		183	811		0.4	%		1.0	%
American Eagle Outfitters		128	700		0.3	%		0.8	%
Genesco, Inc.		321	409		0.2	%		0.8	%

Top 10 Anchors (sorted by percentage of total Simon Group square footage)(1)

Tenant	Number of Stores		Square Feet	Percent of Total Simon Group Sq. Ft.			Percent of Total Simon Group Base Min. Rent
Federated Department Stores		184	32,292		16.1	%		0.7	%
Sears Roebuck & Co.		128	19,599		9.8	%		0.4	%
J.C. Penney Co., Inc.		117	17,012		8.5	%		0.9	%
Dillard’s Dept. Stores		78	11,831		5.9	%		0.1	%
Saks Incorporated		35	3,887		1.9	%		0.8	%
Nordstrom, Inc.		21	3,722		1.9	%		0.0	%
Belk, Inc.		17	2,094		1.0	%		0.1	%
Target Corporation		12	1,507		0.8	%		0.0	%
The Neiman Marcus Group, Inc.		8	1,053		0.5	%		0.1	%
Dick’s Sporting Goods, Inc.		12	784		0.4	%		0.2	%

(1) Includes space leased and owned by the anchor.

SIMON PROPERTY GROUP
U.S. Regional Mall Anchor/Big Box Openings
2005-2007

Property Name

Location

New Tenant

Former Tenant

Openings in 2005

Burlington Mall

Burlington, MA

Cheesecake Factory

N/A

College Mall

Bloomington, IN

Dick’s Sporting Goods

Lazarus

Cordova Mall

Pensacola, FL

Ross Dress for Less

N/A

Emerald Square

Attleboro, MA

Filene’s Men Store

Lord & Taylor

Fashion Mall at Keystone

Indianapolis, IN

Landmark Cinema

N/A

Crate & Barrel

N/A

Irving Mall

Irving, TX

Burlington Coat Factory

JCPenney

Lehigh Valley Mall

Whitehall, PA

Linens’n Things

Lehigh Valley Cinema

Livingston Mall

Livingston, NJ

Steve & Barry’s

N/A

Longview Mall

Longview, TX

Beall’s

Service Merchandise

Mall at The Source, The

Westbury, NY

David’s Bridal

N/A

Mall of New Hampshire

Manchester, NH

A.C. Moore

Kitchen Etc.

Maplewood Mall

St. Paul, MN

JCPenney

Mervyn’s

Phipps Plaza

Atlanta, GA

Nordstrom

Lord & Taylor

Roosevelt Field

Garden City, NY

Grand Lux Café

N/A

South Hills Village

Pittsburgh, PA

Barnes & Noble

N/A

SouthPark

Charlotte, NC

Joseph Beth Booksellers

Sears

Town Center at Aurora(1)

Aurora, CO

Foley’s (renovation & expansion)

N/A

Town Center at Boca Raton

Boca Raton, FL

Neiman Marcus

Lord & Taylor

Valley Mall

Harrisonburg, VA

Target

Wal-Mart

Washington Square

Indianapolis, IN

Kerasotes Theatre

N/A

White Oaks Mall

Springfield, IL

Linens’n Things

Montgomery Ward

Cost Plus World Market

Montgomery Ward

(1) Town Center at Aurora Mall redevelopment consolidated two Foley’s locations into one and and will add Dillard’s.

SIMON PROPERTY GROUP
U.S. Regional Mall Top Tenants/Big Box Openings
2005-2007

Property Name

Location

New Tenant

Former Tenant

Openings Projected in 2006

Cielo Vista Mall

El Paso, TX

Cinemark Theater

N/A

College Mall

Bloomington, IN

Bed Bath & Beyond

Target (relocated)

Copley Place

Boston, MA

Barneys New York

Lowes Theatre

Crossroads Mall

Omaha, NE

Target

Younkers

Fashion Valley Mall

San Diego, CA

Bloomingdale’s

Robinsons-May

Galleria, The

Houston, TX

Borders, Del Frisco,

Lord & Taylor

Kona Grill & Oceanaire

Lake Square Mall

Leesburg, FL

Best Buy

N/A

Mall at Chestnut Hill

Chestnut Hill, MA

Bloomingdale’s

Filene’s

Mall at The Source, The

Westbury, NY

Golf Galaxy

N/A

Steve & Barry’s

N/A

Mall of Georgia

Buford, GA

Belk

Lord & Taylor

Melbourne Square

Melbourne, FL

Dick’s Sporting Goods

Belk’s

Circuit City

Belk’s

Menlo Park Mall

Edison, NJ

Steve & Barry’s

Linens’n Things

Orange Park Mall

Jacksonville, FL

Dick’s Sporting Goods

N/A

Smith Haven Mall

Lake Grove, NY

Barnes & Noble

Sterns

Cheesecake Factory

Dick’s Sporting Goods

SouthPark

Charlotte, NC

Neiman Marcus

N/A

Town Center at Aurora Mall

Aurora, CO

Dillard’s

Foley’s (relocated)

Town Center at Boca Raton

Boca Raton, FL

Grand Lux

N/A

Openings Projected in 2007

Aventura Mall

Miami Beach, FL

Nordstrom

Lord & Taylor

Boynton Beach Mall

Boynton Beach, FL

Muvico Theater

Macy’s

Lenox Square

Atlanta, GA

Neiman Marcus expansion and small shop addition

N/A

Northgate Mall

Seattle, WA

Barnes & Noble

N/A

Smith Haven Mall

Lake Grove, NY

Macy’s Furniture

N/A

Square One Mall

Saugus, MA

Dick’s Sporting Goods

N/A

SIMON PROPERTY GROUP
U.S. Regional Mall Property Listing

							Gross Leasable Area
					Legal			Mall &
		Property Name	State	City (Metropolitan area)	Ownership		Anchor	Freestanding			Total
1.	McCain Mall		AR	N. Little Rock	100.0%		554,156		221,849		776,005
2.	University Mall		AR	Little Rock	100.0%		364,992		153,010		518,002
3.	Brea Mall		CA	Brea (Orange County)	100.0%		874,802		443,010		1,317,812
4.	Coddingtown Mall		CA	Santa Rosa	50.0%		547,090		310,020		857,110
5.	Fashion Valley Mall		CA	San Diego	50.0%		1,053,305		654,732		1,708,037
6.	Laguna Hills Mall		CA	Laguna Hills (Orange County)	100.0%		536,500		330,691		867,191
7.	Santa Rosa Plaza		CA	Santa Rosa	100.0%		428,258		270,479		698,737
8.	Shops at Mission Viejo, The		CA	Mission Viejo (Orange County)	100.0%		677,215		472,491		1,149,706
9.	Stanford Shopping Center		CA	Palo Alto (San Francisco)	100.0%		849,153		529,028	(6)	1,378,181
10.	Westminster Mall		CA	Westminster (Orange County)	100.0%		716,939		507,652		1,224,591
11.	Mesa Mall (1)		CO	Grand Junction	50.0%		441,208		443,083		884,291
12.	Town Center at Aurora		CO	Aurora (Denver)	100.0%		496,637		408,095		904,732
13.	Crystal Mall		CT	Waterford (New London-Norwich)	74.6%		442,311		351,693		794,004
14.	Aventura Mall (1)		FL	Miami Beach	33.3%		1,257,638		662,700		1,920,338
15.	Avenues, The		FL	Jacksonville	25.0%	(2)	754,956		361,099		1,116,055
16.	Boynton Beach Mall		FL	Boynton Beach (W. Palm Beach)	100.0%		714,210		301,559		1,015,769
17.	Coral Square		FL	Coral Springs (Miami-Ft. Lauderdale)	97.2%		648,144		296,987		945,131
18.	Cordova Mall		FL	Pensacola	100.0%		395,875		465,599		861,474
19.	Crystal River Mall		FL	Crystal River	100.0%		302,495		121,835		424,330
20.	Dadeland Mall		FL	N. Miami Beach	50.0%		1,132,072		335,568		1,467,640
21.	DeSoto Square		FL	Bradenton (Sarasota-Bradenton)	100.0%		435,467		255,024		690,491
22.	Edison Mall		FL	Fort Myers	100.0%		742,667		296,226		1,038,893
23.	Florida Mall, The		FL	Orlando	50.0%		1,232,416		616,312		1,848,728
24.	Gulf View Square		FL	Port Richey (Tampa-St. Pete)	100.0%		461,852		291,948		753,800
25.	Indian River Mall		FL	Vero Beach	50.0%		445,552		302,738		748,290
26.	Lake Square Mall		FL	Leesburg (Orlando)	50.0%		296,037		264,753		560,790
27.	Melbourne Square		FL	Melbourne	100.0%		371,167		259,007		630,174
28.	Miami International Mall		FL	South Miami	47.8%		778,784		293,586		1,072,370
29.	Orange Park Mall		FL	Orange Park (Jacksonville)	100.0%		528,551		388,958		917,509
30.	Paddock Mall		FL	Ocala	100.0%		387,378		166,825		554,203
31.	Palm Beach Mall		FL	West Palm Beach	100.0%		749,288		335,230		1,084,518
32.	Port Charlotte Town Center		FL	Port Charlotte (Punta Gorda)	80.0%	(3)	458,251		323,979		782,230
33.	Seminole Towne Center		FL	Sanford (Orlando)	45.0%	(2)	768,798		383,683		1,152,481
34.	Shops at Sunset Place, The		FL	Miami	37.5%	(2)	0		506,792		506,792
35.	St. Johns Town Center		FL	Jacksonville	50.0%		650,982		379,212		1,030,194
36.	Town Center at Boca Raton		FL	Boca Raton (W. Palm Beach)	100.0%		1,085,312		492,901		1,578,213
37.	Treasure Coast Square		FL	Jensen Beach (Ft. Pierce)	100.0%		511,372		349,214		860,586
38.	Tyrone Square		FL	St. Petersburg (Tampa-St. Pete)	100.0%		748,269		367,684		1,115,953
39.	University Mall		FL	Pensacola	100.0%		478,449		230,767		709,216
40.	Gwinnett Place		GA	Duluth (Atlanta)	50.0%		843,609		434,711		1,278,320
41.	Lenox Square		GA	Atlanta	100.0%		821,356		655,714	(6)	1,477,070
42.	Mall of Georgia		GA	Mill Creek (Atlanta)	50.0%		1,069,590		716,069		1,785,659
43.	Northlake Mall		GA	Atlanta	100.0%		665,745		296,866		962,611

SIMON PROPERTY GROUP
U.S. Regional Mall Property Listing

							Gross Leasable Area
					Legal			Mall &
		Property Name	State	City (Metropolitan area)	Ownership		Anchor	Freestanding			Total
44.	Phipps Plaza		GA	Atlanta	100.0%		472,385		347,107		819,492
45.	Town Center at Cobb		GA	Kennesaw (Atlanta)	50.0%		866,381		408,283		1,274,664
46.	Lindale Mall(1)		IA	Cedar Rapids	50.0%		305,563		387,825		693,388
47.	NorthPark Mall		IA	Davenport	50.0%		651,533		423,187		1,074,720
48.	Southern Hills Mall(1)		IA	Sioux City	50.0%		372,937		431,709		804,646
49.	SouthRidge Mall(1)		IA	Des Moines	50.0%		497,806		504,332		1,002,138
50.	Alton Square		IL	Alton (St. Louis)	100.0%		426,315		213,142		639,457
51.	Lincolnwood Town Center		IL	Lincolnwood (Chicago)	100.0%		220,830		200,719		421,549
52.	Northfield Square Mall		IL	Bourbonnais (Chicago)	31.6%	(3)	310,994		247,802		558,796
53.	Northwoods Mall		IL	Peoria	100.0%		472,969		218,903		691,872
54.	Orland Square		IL	Orland Park (Chicago)	100.0%		773,295		437,229		1,210,524
55.	River Oaks Center		IL	Calumet City (Chicago)	100.0%		834,588		544,483	(6)	1,379,071
56.	SouthPark Mall		IL	Moline (Davenport-Moline)	50.0%		578,056		448,482		1,026,538
57.	White Oaks Mall		IL	Springfield	77.5%		556,831		380,095		936,926
58.	Castleton Square		IN	Indianapolis	100.0%		1,105,913		353,422		1,459,335
59.	Circle Centre		IN	Indianapolis	14.7%		350,000		432,913	(6)	782,913
60.	College Mall		IN	Bloomington	100.0%		356,887		255,656		612,543
61.	Eastland Mall		IN	Evansville	50.0%		489,144		375,572		864,716
62.	Fashion Mall at Keystone		IN	Indianapolis	100.0%		249,721		430,507	(6)	680,228
63.	Greenwood Park Mall		IN	Greenwood (Indianapolis)	100.0%		909,928		413,053		1,322,981
64.	Lafayette Square		IN	Indianapolis	100.0%		937,223		269,609		1,206,832
65.	Markland Mall		IN	Kokomo	100.0%		273,094		141,558		414,652
66.	Muncie Mall		IN	Muncie	100.0%		435,756		205,946		641,702
67.	Tippecanoe Mall		IN	Lafayette	100.0%		537,790		322,663		860,453
68.	University Park Mall		IN	Mishawaka (South Bend)	60.0%		622,508		320,468		942,976
69.	Washington Square		IN	Indianapolis	100.0%		616,109		352,252		968,361
70.	Towne East Square		KS	Wichita	100.0%		779,490		389,677		1,169,167
71.	Towne West Square		KS	Wichita	100.0%		619,269		332,178		951,447
72.	West Ridge Mall		KS	Topeka	100.0%		716,811		299,856		1,016,667
73.	Prien Lake Mall		LA	Lake Charles	100.0%		644,124		176,139		820,263
74.	Arsenal Mall		MA	Watertown (Boston)	100.0%		191,395		310,602	(6)	501,997
75.	Atrium Mall		MA	Chestnut Hill (Boston)	49.1%		0		206,673		206,673
76.	Auburn Mall		MA	Auburn (Boston)	49.1%		417,620		174,201		591,821
77.	Burlington Mall		MA	Burlington (Boston)	100.0%		836,236		423,123		1,259,359
78.	Cape Cod Mall		MA	Hyannis (Barnstable-Yarmouth)	49.1%		420,199		303,861		724,060
79.	Copley Place		MA	Boston	98.1%		104,332		1,110,199	(6)	1,214,531
80.	Emerald Square		MA	North Attleboro (Providence-Fall River)	49.1%		647,372		375,355		1,022,727
81.	Greendale Mall		MA	Worcester (Boston)	49.1%		132,634		298,750	(6)	431,384
82.	Liberty Tree Mall		MA	Danvers (Boston)	49.1%		498,000		359,552		857,552
83.	Mall at Chestnut Hill		MA	Newton (Boston)	47.2%		297,253		180,979		478,232
84.	Northshore Mall		MA	Peabody (Boston)	49.1%		979,755		688,630		1,668,385
85.	Solomon Pond Mall		MA	Marlborough (Boston)	49.1%		538,843		371,206		910,049
86.	South Shore Plaza		MA	Braintree (Boston)	100.0%		847,603		612,832		1,460,435
87.	Square One Mall		MA	Saugus (Boston)	49.1%		540,101		324,659		864,760
88.	Bowie Town Center		MD	Bowie (Washington, D.C.)	100.0%		357,000		328,670		685,670
89.	St. Charles Towne Center		MD	Waldorf (Washington, D.C.)	100.0%		631,602		349,817		981,419
90.	Bangor Mall		ME	Bangor	66.4%	(5)	416,582		236,923		653,505

							Gross Leasable Area
					Legal			Mall &
		Property Name	State	City (Metropolitan area)	Ownership		Anchor	Freestanding			Total
91.	Maplewood Mall		MN	Minneapolis	100.0%		588,822		341,642		930,464
92.	Miller Hill Mall		MN	Duluth	100.0%		429,508		379,488		808,996
93.	Battlefield Mall		MO	Springfield	100.0%		770,111		420,373		1,190,484
94.	Independence Center		MO	Independence (Kansas City)	100.0%		499,284		523,483		1,022,767
95.	SouthPark		NC	Charlotte	100.0%		964,742		483,832		1,448,574
96.	Crossroads Mall		NE	Omaha	100.0%		405,669		232,839		638,508
97.	Mall at Rockingham Park, The		NH	Salem (Boston)	24.6%		638,111		382,047		1,020,158
98.	Mall of New Hampshire		NH	Manchester (Boston)	49.1%		444,889		363,264		808,153
99.	Pheasant Lane Mall		NH	Nashua (Boston)	(4)		675,759		313,485		989,244
100.	Brunswick Square		NJ	East Brunswick (New York)	100.0%		467,626		302,443		770,069
101.	Livingston Mall		NJ	Livingston (New York)	100.0%		616,128		363,693		979,821
102.	Menlo Park Mall		NJ	Edison (New York)	100.0%		527,591		756,297	(6)	1,283,888
103.	Ocean County Mall		NJ	Toms River (New York)	100.0%		616,443		275,921		892,364
104.	Quaker Bridge Mall		NJ	Lawrenceville	38.0%	(5)	686,760		418,582		1,105,342
105.	Rockaway Townsquare		NJ	Rockaway (New York)	100.0%		786,626		462,618		1,249,244
106.	Cottonwood Mall		NM	Albuquerque	100.0%		631,556		410,195		1,041,751
107.	Forum Shops at Caesars, The		NV	Las Vegas	100.0%		0		635,134		635,134
108.	Chautauqua Mall		NY	Lakewood (Jamestown)	100.0%		213,320		218,349		431,669
109.	Jefferson Valley Mall		NY	Yorktown Heights (New York)	100.0%		310,095		276,137		586,232
110.	Mall at The Source, The		NY	Westbury (New York)	25.5%	(2)	210,798		515,005		725,803
111.	Nanuet Mall		NY	Nanuet (New York)	100.0%		583,711		332,990		916,701
112.	Roosevelt Field		NY	Garden City (New York)	100.0%		1,430,425		758,507	(6)	2,188,932
113.	Smith Haven Mall		NY	Lake Grove (New York)	25.0%		666,283		414,833		1,081,116
114.	Walt Whitman Mall		NY	Huntington Station (New York)	100.0%		742,214		292,606		1,034,820
115.	Westchester, The		NY	White Plains (New York)	40.0%		349,393		478,337	(6)	827,730
116.	Great Lakes Mall		OH	Mentor (Cleveland)	100.0%		879,300		388,720		1,268,020
117.	Lima Mall		OH	Lima	100.0%		541,861		204,090		745,951
118.	Richmond Town Square		OH	Richmond Heights (Cleveland)	100.0%		685,251		331,713		1,016,964
119.	Southern Park Mall		OH	Boardman (Youngstown)	100.0%		811,858		383,412		1,195,270
120.	Summit Mall		OH	Akron	100.0%		432,936		330,513		763,449
121.	Upper Valley Mall		OH	Springfield (Dayton-Springfield)	100.0%		479,418		263,011		742,429
122.	Penn Square Mall		OK	Oklahoma City	94.5%		588,137		444,030		1,032,167
123.	Woodland Hills Mall		OK	Tulsa	94.5%		709,447		382,755		1,092,202
124.	Century III Mall		PA	West Mifflin (Pittsburgh)	100.0%		831,439		459,265	(6)	1,290,704
125.	Granite Run Mall		PA	Media (Philadelphia)	50.0%		500,809		545,697		1,046,506
126.	King of Prussia Mall		PA	King of Prussia (Philadelphia)	12.4%	(5)	1,545,812		1,064,661	(6)	2,610,473
127.	Lehigh Valley Mall		PA	Whitehall (Allentown-Bethlehem)	37.6%	(5)	564,353		484,090	(6)	1,048,443
128.	Montgomery Mall		PA	Montgomeryville (Philadelphia)	53.5%	(5)	684,855		434,876		1,119,731
129.	Oxford Valley Mall		PA	Langhorne (Philadelphia)	63.2%	(5)	762,558		559,976	(6)	1,322,534

							Gross Leasable Area
					Legal			Mall &
		Property Name	State	City (Metropolitan area)	Ownership		Anchor	Freestanding			Total
130.	Ross Park Mall		PA	Pittsburgh	100.0%		827,015		406,458		1,233,473
131.	South Hills Village		PA	Pittsburgh	100.0%		655,987		486,626		1,142,613
132.	Springfield Mall		PA	Springfield (Philadelphia)	38.0%	(5)	367,176		221,484		588,660
133.	Plaza Carolina		PR	Carolina (San Juan)	100.0%		504,796		608,908	(6)	1,113,704
134.	Anderson Mall		SC	Anderson (Greenville)	100.0%		404,394		230,472		634,866
135.	Haywood Mall		SC	Greenville	100.0%		902,400		327,710		1,230,110
136.	Empire Mall(1)		SD	Sioux Falls	50.0%		497,341		549,433		1,046,774
137.	Rushmore Mall(1)		SD	Rapid City	50.0%		470,660		360,123		830,783
138.	Knoxville Center		TN	Knoxville	100.0%		597,028		383,991		981,019
139.	Oak Court Mall		TN	Memphis	100.0%		532,817		315,009	(6)	847,826
140.	Raleigh Springs Mall		TN	Memphis	100.0%		691,230		226,173		917,403
141.	West Town Mall		TN	Knoxville	50.0%		878,311		446,545		1,324,856
142.	Wolfchase Galleria		TN	Memphis	94.5%		761,648		505,776		1,267,424
143.	Barton Creek Square		TX	Austin	100.0%		922,266		507,902		1,430,168
144.	Broadway Square		TX	Tyler	100.0%		427,730		192,579		620,309
145.	Cielo Vista Mall		TX	El Paso	100.0%		793,716		445,458		1,239,174
146.	Firewheel Town Center		TX	Garland	100.0%		298,857		485,051		783,908
147.	Galleria, The		TX	Houston	31.5%		1,164,982		1,093,584		2,258,566
148.	Highland Mall(1)		TX	Austin	50.0%		732,000		359,749		1,091,749
149.	Ingram Park Mall		TX	San Antonio	100.0%		751,704		378,280		1,129,984
150.	Irving Mall		TX	Irving (Dallas-Ft. Worth)	100.0%		637,415		406,604		1,044,019
151.	La Plaza Mall		TX	McAllen	100.0%		776,397		426,769		1,203,166
152.	Lakeline Mall		TX	Austin	100.0%		745,179		355,629		1,100,808
153.	Longview Mall		TX	Longview	100.0%		402,843		209,932		612,775
154.	Midland Park Mall		TX	Midland	100.0%		339,113		278,861		617,974
155.	North East Mall		TX	Hurst (Dallas-Ft. Worth)	100.0%		1,194,589		467,785		1,662,374
156.	Richardson Square Mall		TX	Richardson (Dallas-Ft. Worth)	100.0%		460,055		284,171		744,226
157.	Rolling Oaks Mall		TX	San Antonio	100.0%		596,984		286,261		883,245
158.	Sunland Park Mall		TX	El Paso	100.0%		575,837		342,410		918,247
159.	Valle Vista Mall		TX	Harlingen	100.0%		389,781		265,767		655,548
160.	Trolley Square		UT	Salt Lake City	90.0%		0		224,987		224,987
161.	Apple Blossom Mall		VA	Winchester	49.1%		229,011		213,457		442,468
162.	Charlottesville Fashion Square		VA	Charlottesville	100.0%		381,153		190,645		571,798
163.	Chesapeake Square		VA	Chesapeake (Norfolk-VA Beach)	75.0%	(3)	534,760		272,092		806,852
164.	Fashion Centre at Pentagon City, The		VA	Arlington (Washington, DC)	42.5%		472,729		517,230	(6)	989,959
165.	Valley Mall		VA	Harrisonburg	50.0%		315,078		194,124		509,202
166.	Virginia Center Commons		VA	Glen Allen (Richmond)	100.0%		506,639		281,597		788,236
167.	Columbia Center		WA	Kennewick	100.0%		408,052		333,700		741,752
168.	Northgate Mall		WA	Seattle	100.0%		688,391		295,417		983,808
169.	Tacoma Mall		WA	Tacoma	100.0%		924,045		404,895		1,328,940
170.	Bay Park Square		WI	Green Bay	100.0%		447,508		268,196		715,704
171.	Forest Mall		WI	Fond Du Lac	100.0%		327,260		173,418		500,678
	*Total Regional Mall GLA*						101,368,400		65,024,345		166,392,745

FOOTNOTES:

(1) This Property is managed by a third party.

(2) The Operating Partnership’s direct and indirect interests in some of the Properties held as joint venture interests are subject to preferences on distributions in favor of other partners or the Operating Partnership.

(3) The Operating Partnership receives substantially all the economic benefit of the Property due to a preference or advance.

(4) The Operating Partnership owns a mortgage note that encumbers Pheasant Lane Mall that entitles it to 100% of the economics of this Property.

(5) The Company’s indirect ownership interest is through an approximately 76% ownership interest in Kravco Simon Investments or an affiliate of Kravco Simon Investments.

(6) Mall & Freestanding GLA includes office space as follows:

Arsenal Mall—105,807 sq. ft.
Century III Mall—35,909 sq. ft.
Circle Centre Mall—9,123 sq. ft.
Copley Place—839,022 sq. ft.
Fashion Centre at Pentagon City, The—169,089 sq. ft.
Fashion Mall at Keystone—10,927 sq. ft.
Greendale Mall—119,860 sq. ft.
King of Prussia Mall—13,696 sq. ft.
Lehigh Valley Mall—11,754 sq. ft.
Lenox Square—2,674 sq. ft.
Menlo Park Mall—50,285 sq. ft.
Oak Court Mall—126,228 sq. ft.
Oxford Valley Mall—110,985 sq. ft.
Plaza Carolina—28,072 sq. ft.
River Oaks Center—118,219 sq. ft.
Roosevelt Field—1,610 sq. ft.
Stanford Shopping Center—5,748 sq. ft.
The Westchester—820 sq. ft.

SIMON PROPERTY GROUP
U.S. Premium Outlet Centers Operational Information
As of December 31, 2005
Unaudited
(In thousands, except as noted)

	As of or for the Twelve Months Ended December 31,
	2005			2004
Total Number of U.S. Premium Outlet Centers	33			31
Total U.S. Premium Outlet Centers GLA (in millions of square feet)	12.6			11.6
Occupancy(1)	99.6		%	99.3		%
Comparable sales per square foot(1)	$	444		$	412
Average base rent per square foot(1)	$	23.16		$	21.85

Average Base Rent Per Square Foot(1)	Total Center		% Change
12/31/05	$	23.16		6.0	%
12/31/04	21.85			7.3	%
12/31/03	20.36			n/a

Leasing Activity During the Period(1):

	Average Base Rent(2)						Amount of Change
	Lease Signings			Store Closings/ Lease Expirations			(Referred to as “Leasing Spread”)
2005		$	26.48		$	21.91	$	4.57	20.9%
2004		22.78			20.02		2.76		13.8%
2003		25.41			22.62		2.79		12.3%

(1) For all owned gross leasable area.

(2) Represents the average base rent for tenants who signed leases compared to the average base rent in effect for tenants whose leases terminated or expired in the same space.

SIMON PROPERTY GROUP
U.S. Premium Outlet Centers Lease Expirations(1)
As of December 31, 2005

Year	Number of Leases Expiring		Square Feet	Weighted Avg. Base Rent per Square Foot at 12/31/05
2006		310	964,513		$	20.08
2007		402	1,502,935		$	21.68
2008		400	1,609,304		$	24.12
2009		379	1,610,990		$	22.20
2010		505	2,240,558		$	22.84
2011		263	1,232,511		$	22.00
2012		184	786,442		$	26.95
2013		199	870,799		$	24.98
2014		184	635,709		$	27.91
2015		199	665,818		$	30.59
2016 and Thereafter		112	449,676		$	24.61

(1) Does not consider the impact of options to renew that may be contained in leases.

SIMON PROPERTY GROUP
U.S. Premium Outlet Centers Top Tenants
As of December 31, 2005
(Square Feet in 000’s)

(Sorted by percentage of total Simon Group base minimum rent)

Tenant	Number of Stores		Square Feet		Percent of Total Simon Group Sq. Ft.			Percent of Total Simon Group Base Min. Rent
Phillips—Van Heusen Corporation		154		734		0.4	%		0.7	%
Jones Retail Corporation		143		489		0.2	%		0.5	%
The GAP, Inc.		60		543		0.3	%		0.3	%
Retail Brand Alliance, Inc.		57		356		0.2	%		0.3	%
Brown Group Retail, Inc.		61		262		0.1	%		0.3	%
Nike Retail Services, Inc		34		352		0.2	%		0.3	%
LCI Holdings, Inc.		52		379		0.2	%		0.2	%
VF Outlet		53		316		0.2	%		0.2	%
Tommy Hilfiger Retail, LLC		34		205		0.1	%		0.2	%
The Dress Barn		34		233		0.1	%		0.2	%

SIMON PROPERTY GROUP
U.S. Premium Outlet Centers Property Listing

		Property Name	State	City (Metropolitan area)	Legal Ownership			Total Gross Leasable Area
1.	Camarillo Premium Outlets		CA	Camarillo (Los Angeles)		100.0	%		454,070
2.	Carlsbad Premium Outlets		CA	Carlsbad		100.0	%		287,936
3.	Desert Hills Premium Outlets		CA	Cabazon (Palm Springs-Los Angeles)		100.0	%		498,516
4.	Folsom Premium Outlets		CA	Folsom (Sacramento)		100.0	%		299,270
5.	Gilroy Premium Outlets		CA	Gilroy (San Jose)		100.0	%		577,295
6.	Napa Premium Outlets		CA	Napa (Napa Valley)		100.0	%		179,348
7.	Petaluma Village Premium Outlets		CA	Petaluma (San Francisco)		100.0	%		195,837
8.	Vacaville Premium Outlets		CA	Vacaville		100.0	%		444,212
9.	Clinton Crossing Premium Outlets		CT	Clinton (Hartford)		100.0	%		272,351
10.	Orlando Premium Outlets		FL	Orlando		100.0	%		435,813
11.	St. Augustine Premium Outlets		FL	St. Augustine (Jacksonsville)		100.0	%		329,003
12.	North Georgia Premium Outlets		GA	Dawsonville (Atlanta)		100.0	%		539,757
13.	Waikele Premium Outlets		HI	Waipahu (Honolulu)		100.0	%		209,846
14.	Chicago Premium Outlets		IL	Aurora (Chicago)		100.0	%		437,800
15.	Edinburgh Premium Outlets		IN	Edinburgh (Indianapolis)		100.0	%		371,117
16.	Lighthouse Place Premium Outlets		IN	Michigan City (Chicago)		100.0	%		472,489
17.	Wrentham Village Premium Outlets		MA	Wrentham (Boston)		100.0	%		600,613
18.	Kittery Premium Outlets		ME	Kittery (Boston)		100.0	%		150,564
19.	Albertville Premium Outlets		MN	Albertville (Minneapolis/St. Paul)		100.0	%		429,534
20.	Osage Beach Premium Outlets		MO	Osage Beach		100.0	%		391,381
21.	Carolina Premium Outlets		NC	Smithfield (Raleigh-Durham-Chapel Hill)		100.0	%		439,398
22.	Liberty Village Premium Outlets		NJ	Flemington (New York-Philadelphia)		100.0	%		173,645
23.	Jackson Premium Outlets		NJ	Jackson		100.0	%		285,552
24.	Las Vegas Premium Outlets		NV	Las Vegas		100.0	%		434,978
25.	Waterloo Premium Outlets		NY	Waterloo		100.0	%		417,519
26.	Woodbury Common Premium Outlets		NY	Central Valley (New York City)		100.0	%		844,488
27.	Aurora Farms Premium Outlets		OH	Aurora (Cleveland)		100.0	%		300,181
28.	Columbia Gorge Premium Outlets		OR	Troutdale (Portland-Vancouver)		100.0	%		163,815
29.	The Crossings Premium Outlets		PA	Tannersville		100.0	%		411,391
30.	Allen Premium Outlets		TX	Allen (Dallas)		100.0	%		413,492
31.	Leesburg Corner Premium Outlets		VA	Leesburg (Washington DC)		100.0	%		463,288
32.	Seattle Premium Outlets		WA	Seattle		100.0	%		381,154
33.	Johnson Creek Premium Outlets		WI	Johnson Creek		100.0	%		277,585
	Total U.S. Premium Outlet Centers GLA								12,583,238

SIMON PROPERTY GROUP
U.S. Community/Lifestyle Centers Operational Information
As of December 31, 2005
Unaudited
(In thousands, except as noted)

	As of or for the Twelve Months Ended December 31,
	2005			2004
Total Number of Community/Lifestyle Centers	71			71
Total Community/Lifestyle Center GLA (in millions of square feet)	19.4			18.7
Occupancy(1)
Consolidated Assets	89.5		%	90.5		%
Unconsolidated Assets	96.1		%	94.7		%
Total Portfolio	91.6		%	91.9		%
Comparable sales per square foot(1)
Consolidated Assets	$	228		$	222
Unconsolidated Assets	$	204		$	200
Total Portfolio	$	220		$	215
Average rent per square foot(1)
Consolidated Assets	$	11.70		$	11.12
Unconsolidated Assets	$	10.81		$	10.49
Total Portfolio	$	11.41		$	10.91

Average Base Rent Per Square Foot(1)

	Total Center		% Change
12/31/05	$	11.41		4.6	%
12/31/04	10.91			3.0	%
12/31/03	10.59			4.6	%
12/31/02	10.12			3.0	%
12/31/01	9.83			5.0	%

Leasing Activity During the Period(1):

	Average Base Rent(2)						Amount of Change
	Lease Signings			Store Closings/ Lease Expirations			(Referred to as “Leasing Spread”)
2005		$	15.89		$	11.44	$	4.45	38.9%
2004		12.01			11.16		0.85		7.6%
2003		12.38			10.48		1.90		18.1%
2002		10.19			8.39		1.80		21.5%
2001		12.79			9.30		3.49		37.5%

(1) For all owned gross leasable area.

(2) Represents the average base rent in effect during the period for those tenants who signed leases as compared to the average base rent in effect during the period for those tenants whose leases terminated or expired.

SIMON PROPERTY GROUP
U.S. Community/Lifestyle Centers Lease Expirations(1)
As of December 31, 2005

Year	Number of Leases Expiring		Square Feet	Avg. Base Rent per Square Foot at 12/31/05
Mall Stores & Freestanding
Month to Month Leases		28	56,375		$	14.41
2006		192	450,083		$	15.80
2007		178	657,016		$	13.66
2008		202	765,767		$	14.10
2009		139	522,368		$	14.11
2010		213	898,432		$	16.55
2011		98	486,766		$	14.82
2012		28	135,358		$	16.35
2013		17	106,822		$	13.76
2014		32	200,218		$	18.06
2015		56	304,443		$	19.36
2016		10	47,341		$	21.58
2017 and Thereafter		19	132,174		$	17.96
Specialty Leasing Agreements w/terms in excess of 12 months		2	65,701		$	0.75
Anchor Tenants
Month to Month Leases		1	13,000		$	6.30
2006		11	372,942		$	6.87
2007		15	524,396		$	5.67
2008		16	415,757		$	9.95
2009		24	806,459		$	7.58
2010		24	781,837		$	11.74
2011		14	603,308		$	6.77
2012		8	350,244		$	8.85
2013		14	450,381		$	7.65
2014		11	438,088		$	9.32
2015		17	591,300		$	11.24
2016		16	602,692		$	9.22
2017 and Thereafter		50	2,459,440		$	9.80
Specialty Leasing Agreements w/terms in excess of 12 months		3	16,750		$	3.12

(1) Does not consider the impact of options to renew that may be contained in leases.

SIMON PROPERTY GROUP
U.S. Community/Lifestyle Centers Top Tenants
As of December 31, 2005
(Square Feet in 000’s)

(Sorted by percentage of total Simon Group square footage)(1)

Tenant	Number of Stores		Square Feet		Percent of Total Simon Group Sq. Ft.			Percent of Total Simon Group Base Min. Rent
Target Corporation		11		1,382		0.7	%		0.0	%
Wal-Mart Stores, Inc.		9		1,009		0.5	%		0.0	%
Kohl’s Department Stores, Inc.		10		913		0.5	%		0.2	%
Best Buy Company, Inc.		17		708		0.4	%		0.3	%
TJX Companies, Inc.		22		665		0.3	%		0.2	%
Burlington Coat Factory		7		496		0.2	%		0.1	%
Sears Roebuck & Co.		2		450		0.2	%		0.1	%
Bed Bath & Beyond, Inc.		11		328		0.2	%		0.1	%
Office Max, Inc.		12		316		0.2	%		0.1	%
KMart Corporation		3		298		0.1	%		0.1	%

(1) Includes space leased and owned by the anchor.

SIMON PROPERTY GROUP
U.S. Community/Lifestyle Centers Property Listing

								Gross Leaseable Area
		Property Name	State	City (Metropolitan area)	Legal Ownership			Anchor	Mall & Freestanding		Total
1.	Plaza at Buckland Hills, The		CT	Manchester		35.0	%(2)	252,179		82,834	335,013
2.	Gaitway Plaza		FL	Ocala		23.3	%(2)	123,027		85,713	208,740
3.	Highland Lakes Center		FL	Orlando		100.0	%	352,277		140,862	493,139
4.	Indian River Commons		FL	Vero Beach		50.0	%	233,358		27,510	260,868
5.	Royal Eagle Plaza		FL	Coral Springs (Miami-Ft Lauderale)		35.0	%(2)	124,479		77,593	202,072
6.	Terrace at the Florida Mall		FL	Orlando		100.0	%	281,252		47,531	328,783
7.	Waterford Lakes Town Center		FL	Orlando		100.0	%	622,244		329,427	951,671
8.	West Town Corners		FL	Altamonte Springs		23.3	%(2)	263,782		121,455	385,237
9.	Westland Park Plaza		FL	Orange Park		23.3	%(2)	123,548		39,606	163,154
10.	Mall of Georgia Crossing		GA	Mill Creek (Atlanta)		100.0	%	341,503		99,109	440,612
11.	Bloomingdale Court		IL	Bloomingdale		100.0	%	417,513		160,769	578,282
12.	Countryside Plaza		IL	Countryside		100.0	%	308,489		116,525	425,014
13.	Crystal Court		IL	Crystal Lake		35.0	%(2)	201,993		76,977	278,970
14.	Forest Plaza		IL	Rockford		100.0	%	325,170		100,587	425,757
15.	Lake Plaza		IL	Waukegan		100.0	%	170,789		44,673	215,462
16.	Lake View Plaza		IL	Orland Park (Chicago)		100.0	%	261,810		109,022	370,832
17.	Lincoln Crossing		IL	O’Fallon		100.0	%	229,820		13,446	243,266
18.	Matteson Plaza		IL	Matteson		100.0	%	230,959		40,070	271,029
19.	North Ridge Plaza		IL	Joliet		100.0	%	190,323		114,747	305,070
20.	White Oaks Plaza		IL	Springfield		100.0	%	275,703		115,723	391,426
21.	Willow Knolls Court		IL	Peoria		35.0	%(2)	309,440		72,937	382,377
22.	Brightwood Plaza		IN	Indianapolis		100.0	%	0		38,493	38,493
23.	Clay Terrace		IN	Carmel (Indianapolis)		50.0	%	161,281		336,167	497,448
24.	Eastland Convenience Center		IN	Evansville		50.0	%	126,699		48,940	175,639
25.	Greenwood Plus		IN	Greenwood		100.0	%	134,141		15,146	149,287
26.	Griffith Park Plaza		IN	Griffith		100.0	%	175,595		88,455	264,050
27.	Keystone Shoppes		IN	Indianapolis		100.0	%	0		29,140	29,140
28.	Markland Plaza		IN	Kokomo		100.0	%	49,051		41,476	90,527
29.	Muncie Plaza		IN	Muncie		100.0	%	271,626		27,195	298,821
30.	New Castle Plaza		IN	New Castle		100.0	%	24,912		66,736	91,648
31.	Northwood Plaza		IN	Fort Wayne		100.0	%	136,404		71,841	208,245
32.	Teal Plaza		IN	Lafayette		100.0	%	98,337		2,750	101,087
33.	Tippecanoe Plaza		IN	Lafayette		100.0	%	85,811		4,711	90,522
34.	University Center		IN	Mishawaka		60.0	%	98,264		46,177	144,441
35.	Village Park Plaza		IN	Carmel (Indianapolis)		35.0	%(2)	430,368		112,419	542,787
36.	Wabash Village		IN	West Lafayette		100.0	%	109,388		15,148	124,536
37.	Washington Plaza		IN	Indianapolis		100.0	%	21,500		28,607	50,107
38.	West Ridge Plaza		KS	Topeka		100.0	%	182,161		59,226	241,387
39.	Park Plaza		KY	Hopkinsville		100.0	%	82,398		32,626	115,024
40.	St. Charles Towne Plaza		MD	Waldorf (Washington, D.C.)		100.0	%	285,716		118,008	403,724
41.	Regency Plaza		MO	St. Charles		100.0	%	210,627		76,846	287,473
42.	Ridgewood Court		MS	Jackson		35.0	%(2)	185,939		54,723	240,662
43.	Dare Centre		NC	Kill Devil Hills		100.0	%	127,172		41,473	168,645
44.	MacGregor Village		NC	Cary		100.0	%	0		143,476	143,476
45.	North Ridge Shopping Center		NC	Raleigh		100.0	%	43,247		123,214	166,461
46.	Rockaway Convenience Center		NJ	Rockaway (New York)		100.0	%	44,518		104,393	148,911
47.	Rockaway Plaza		NJ	Rockaway (New York)		100.0	%	407,303		51,476	458,779
48.	Cobblestone Court		NY	Victor		35.0	%(2)	206,680		58,819	265,499

								Gross Leasable Area
		Property Name	State	City (Metropolitan area)	Legal Ownership			Anchor	Mall & Freestanding		Total
49.	Boardman Plaza		OH	Youngstown		100.0	%	365,834		240,264	606,098
50.	Great Lakes Plaza		OH	Mentor (Cleveland)		100.0	%	142,229		21,875	164,104
51.	Lima Center		OH	Lima		100.0	%	189,584		47,294	236,878
52.	Northland Plaza		OH	Columbus		100.0	%	118,304		91,230	209,534
53.	Eastland Plaza		OK	Tulsa		100.0	%	152,451		33,695	186,146
54.	DeKalb Plaza		PA	King of Prussia		50.3	%(3)	81,368		20,345	101,713
55.	Great Northeast Plaza		PA	Philadelphia		50.0	%	237,151		57,600	294,751
56.	Henderson Square		PA	King of Prussia		76.0	%(3)	72,683		34,661	107,344
57.	Lincoln Plaza		PA	King of Prussia		63.2	%(3)	143,649		123,582	267,231
58.	Whitehall Mall		PA	Whitehall		38.0	%(3)	436,920		148,163	585,083
59.	Charles Towne Square		SC	Charleston		100.0	%	71,794		0	71,794
60.	Empire East (1)		SD	Sioux Falls		50.0	%	248,181		48,580	296,761
61.	Knoxville Commons		TN	Knoxville		100.0	%	91,483		88,980	180,463
62.	Arboretum at Great Hills		TX	Austin		100.0	%	35,773		169,293	205,066
63.	Celina Plaza		TX	El Paso		100.0	%	0		8,695	8,695
64.	Gateway Shopping Centers		TX	Austin		95.0	%	396,494		115,825	512,319
65.	Ingram Plaza		TX	San Antonio		100.0	%	0		111,518	111,518
66.	Lakeline Plaza		TX	Austin		100.0	%	307,966		79,497	387,463
67.	Shops at North East Mall, The		TX	Hurst		100.0	%	265,595		99,097	364,692
68.	Wolf Ranch		TX	Georgetown (Austin)		100.0	%	395,077		223,070	618,147
69.	Chesapeake Center		VA	Chesapeake		100.0	%	213,651		92,284	305,935
70.	Fairfax Court		VA	Fairfax		26.3	%(2)	169,043		80,615	249,658
71.	Martinsville Plaza		VA	Martinsville		100.0	%	60,000		42,105	102,105
	*Total Community/Lifestyle Center GLA*							13,534,026		5,833,065	19,367,091

FOOTNOTES:

(1) This Property is managed by a third party.

(2) Outside partner receives substantially all of the economic benefit due to a partner preference.

(3) The Company’s indirect ownership interest is through an approximately 76% ownership interest in Kravco Simon Investments.

SIMON PROPERTY GROUP

International Operational Information(1)

As of December 31, 2005

Unaudited

(In thousands, except as noted)

	As of or for the Twelve Months Ended December 31,
	2005			2004
*International Premium Outlets (Japan)*
Total Number of Premium Outlets	5			4
Total GLA (in millions of square feet)	1.3			1.1
Occupancy	100		%	100		%
Comparable sales per square foot(2)	$	828		$	821
Average base rent per square foot(2)	$	40.56		$	40.32
*European Shopping Centers*
Total Number of Shopping Centers	51			51
Total GLA (in millions of square feet)	11.1			10.9
Occupancy	98.4		%	96.0		%
Comparable sales per square foot(3)	$	450		$	526
Average rent per square foot(3)	$	30.47		$	34.11

(1) Does not include Premium Outlets Punta Norte in Mexico.

(2) Based upon a conversion factor of 110.5 yen to 1 U.S. dollar at December 31, 2005 and 108.2 yen to 1 U.S. dollar at December 31, 2004.

(3) Based upon a conversion factor of 1.1845 euros to 1 U.S. dollar at December 31, 2005 and 1.3644 euros to 1 U.S. dollar at December 31, 2004.

SIMON PROPERTY GROUP

International Property Listing

			SPG			Gross Leasable Area(1)
			Effective			Hypermarket/		Mall &
	Property Name	City (Metropolitan area)	Ownership(5)			Anchor(4)		Freestanding			Total
	FRANCE
1.	Bay 2	Torcy (Paris)		34.7	%		132,400		408,900	541,300
2.	Bay 1	Torcy (Paris)		34.7	%		—		336,300	336,300
3.	Bel’Est	Bagnolet (Paris)		12.1	%		150,700		63,000	213,700
4.	Villabé A6	Villabé (Paris)		5.2	%		102,300		104,500	206,800
	Subtotal France						385,400		912,700	1,298,100
	ITALY
	Ancona:
5.	Ancona	Ancona		49.0	%(3)		82,900		82,300	165,200
6.	Senigallia	Senigallia (Ancona)		49.0	%		41,200		41,600	82,800
	Ascoli Piceno:
7.	Grottammare	Grottammare (Ascoli Piceno)		49.0	%		38,900		55,900	94,800
8.	Porto Sant’Elpidio	Porto Sant’Elpidio (Ascoli Piceno)		49.0	%		48,000		114,300	162,300
	Bari:
9.	Casamassima	Casamassima (Bari)		49.0	%		159,000		388,800	547,800
10.	Modugno(5)	Modugno (Bari)		49.0	%		96,900		46,600	143,500
	Bergamo:
11.	Bergamo	Bergamo		49.0	%(3)		103,000		16,900	119,900
	Brescia:
12.	Concesio	Concesio (Brescia)		49.0	%(3)		89,900		27,600	117,500
13.	Mazzano	Mazzano (Brescia)		49.0	%(2)		103,300		127,400	230,700
	Brindisi:
14.	Mesagne	Mesagne (Brindisi)		49.0	%		88,000		140,600	228,600
	Cagliari:
15.	Marconi	Marconi (Cagliari)		49.0	%(3)		83,500		109,900	193,400
16.	Santa Gilla	Santa Gilla (Cagliari)		49.0	%(2)		75,900		114,800	190,700
	Catania:
17.	La Rena	La Rena (Catania)		49.0	%		124,100		22,100	146,200
18.	Misterbianco	Misterbianco (Catania)		49.0	%(3)		83,300		16,000	99,300
	Lecco:
19.	Merate	Merate (Lecco)		49.0	%		73,500		88,500	162,000
	Milan (Milano):
20.	Cesano Boscone	Cescano Boscone (Milano)		49.0	%		163,800		120,100	283,900
21.	Nerviano	Nerviano (Milano)		49.0	%(3)		83,800		27,800	111,600
22.	Rescaldina	Rescaldina (Milano)		49.0	%		165,100		212,000	377,100
23.	Vimodrone	Vimodrone (Milano)		49.0	%		110,400		80,200	190,600
	Naples (Napoli):
24.	Pompei	Pompei (Napoli)		49.0	%		74,300		17,100	91,400
25.	Mugnano di Napoli	Mugnano (Napoli)		49.0	%(3)		98,000		94,900	192,900
	Olbia:
26.	Olbia	Olbia		49.0	%(3)		49,000		48,800	97,800
	Padova:
27.	Padova	Padova		49.0	%		73,300		32,500	105,800

			SPG			Gross Leasable Area(1)
			Effective			Hypermarket/		Mall &
	Property Name	City (Metropolitan area)	Ownership(5)			Anchor(4)		Freestanding		Total
	Palermo:
28.	Palermo	Palermo		49.0	%		73,100		9,800	82,900
	Pesaro:
29.	Fano	Fano (Pesaro)		49.0	%		56,300		56,000	112,300
	Pescara:
30.	Cepagatti	Cepagatti (Pescara)		49.0	%		80,200		189,600	269,800
31.	Pescara	Pescara		49.0	%		96,300		65,200	161,500
	Piacenza:
32.	San Rocco al Porto	San Rocco al Porto (Piacenza)		49.0	%		104,500		74,700	179,200
	Rome (Roma):
33.	Casalbertone	Roma		49.0	%(3)		62,700		84,900	147,600
34.	Collatina	Collatina (Roma)		49.0	%		59,500		4,100	63,600
	Sassari:
35.	Centro Azuni	Sassari		49.0	%(3)		—		35,600	35,600
36.	Predda Niedda	Predda Niedda (Sassari)		49.0	%(2)		79,500		154,200	233,700
	Taranto:
37.	Taranto	Taranto		49.0	%		75,200		126,500	201,700
	Turin (Torino):
38.	Cuneo	Cuneo (Torino)		49.0	%		80,700		201,500	282,200
39.	Rivoli	Rivoli (Torino)		49.0	%(3)		61,800		32,300	94,100
40.	Torino	Torino		49.0	%		105,100		66,700	171,800
41.	Venaria	Venaria (Torino)		49.0	%		101,600		64,000	165,600
	Venice (Venezia):
42.	Venezia–Mestre	Mestre (Venezia)		49.0	%		114,100		132,600	246,700
	Verona:
43.	Bussolengo	Bussolengo (Verona)		49.0	%(3)		89,300		75,300	164,600
	Vicenza:
44.	Vicenza	Vicenza		49.0	%		78,400		20,100	98,500
	Subtotal Italy						3,427,400		3,419,800	6,847,200
	POLAND
45.	Arkadia Shopping Center	Warsaw		34.7	%		202,100		902,200	1,104,300
46.	Borek Shopping Center	Wroclaw		34.7	%		119,900		129,300	249,200
47.	Dabrowka Shopping Center	Katowice		34.7	%		121,000		172,900	293,900
48.	Turzyn Shopping Center	Szczecin		34.7	%		87,200		121,900	209,100
49.	Wilenska Station Shopping Center	Warsaw		34.7	%		92,700		215,900	308,600
50.	Zakopianka Shopping Center	Krakow		34.7	%		120,200		425,400	545,600
	Subtotal Poland						743,100		1,967,600	2,710,700
	PORTUGAL
51.	Minho Center	Braga (Porto)		34.7	%(3)		120,000		101,600	221,600
							120,000		101,600	221,600
	JAPAN
52.	Gotemba Premium Outlets	Gotemba City (Tokyo)		40.0	%		—		390,000	390,000
53.	Rinku Premium Outlets	Izumisano (Osaka)		40.0	%		—		321,000	321,000
54.	Sano Premium Outlets	Sano (Tokyo)		40.0	%		—		229,000	229,000
55.	Toki Premium Outlets	Toki (Nagoya)		40.0	%		—		178,000	178,000
56.	Tosu Premium Outlets	Fukuoka (Kyushu)		40.0	%		—		187,000	187,000
	Subtotal Japan						—		1,305,000	1,305,000

SPG

Gross Leasable Area(1)

Effective

Hypermarket/

Mall &

Property Name

City (Metropolitan area)

Ownership(5)

Anchor(4)

Freestanding

Total

MEXICO

57.

Premium Outlets Punta Norte

Mexico City

50.0

—

232,000

Subtotal Mexico

—

232,000

TOTAL INTERNATIONAL ASSETS

4,675,900

7,938,700

12,614,600

FOOTNOTES:

(1) All gross leasable area listed in square feet.

(2) This property is held partially in fee and partially encumbered by a leasehold on the premise which entitles the lessor to the majority of the economics of the portion of the property subject to the leasehold.

(3) This property is encumbered by a leasehold on the entire premises which entitles the lessor the majority of the economics of the property.

(4) Represents the sales area of the anchor and excludes any warehouse/storage areas.

(5) We own our interest in the assets in France, Portugal and Poland through our shareholdings in European Retail Enterprises B.V. Our interest in the Italian assets is owned through Galleria Commerciali Italia S.p.A., while our interest in the assets in Japan is owned through Chelsea Japan Co., Ltd. We own our interest in Mexico through Fideicomiso Trust No. F/315-5.

SIMON PROPERTY GROUP
Capital Expenditures in the U.S. Portfolio
For the Twelve Months Ended December 31, 2005
(In millions)

				Unconsolidated Entities
							Simon
	Consolidated						Group’s
	Properties			Total			Share
New development projects(1)		$	309.1	$	94.8			$	46.7
Redevelopment projects with incremental
GLA and/or Anchor Replacement		203.5		42.2				16.3
Renovations with no incremental GLA		47.9		5.1				1.3
Tenant allowances:
Retail		56.9		27.3				12.0
Office		15.5		—				—
Operational capital expenditures at properties:
CAM expenditures(2)		59.9		21.0				8.0
Non-CAM expenditures		18.6		9.0				3.9
Totals		$	711.4	$	199.4			$	88.2
Plus (Less): Conversion from accrual to cash basis		15.0		(13.0		)
Capital expenditures(3)		$	726.4	$	186.4

(1) Includes $33 million relating to Simon’s new headquarters.

(2) Expenditure included in the pool of expenses allocated to tenants as common area maintenance or CAM.

(3) Agrees with the line item “Capital expenditures” on the Combined Statements of Cash Flows for the consolidated properties. No statement of cash flows is prepared for the joint venture properties as this is not required by the SEC or GAAP; however, the above reconciliation was completed in the same manner as the reconciliation for the consolidated properties.

SIMON PROPERTY GROUP
U.S. Development Activity Report*
Project Overview, Construction-in-Progress and Land Held for Development
As of December 31, 2005

																Construction-in-Progress
																			Unconsolidated Entities
		The								The
		Company’s		Projected			Projected			Company’s			Stabilized								The
		Ownership		Gross Cost(1)			Net Cost			Share of			Rate of			Consolidated					Company’s
Property/Location	Project Description	Percentage	Opening	(in millions)			(in millions)			Net Cost			Return			Properties			Total		Share
*New Development Projects:*
Coconut Point Estero/Bonita Springs, FL	1.2 million square foot open-air shopping complex with a village component anchored by Dillard’s, Muvico Theatres, and Barnes & Noble and a community center component anchored by Bed Bath & Beyond, Best Buy, Cost Plus World Market, DSW, Office Max, Old Navy, Party City, PetsMart, Pier One Imports, Ross Dress for Less, Sports Authority, T.J. Maxx, Ulta Cosmetics	50%	4/06 (Comm Ctr) 11/06 (All other)		$	281		$	213		$	107		10	%		—		$	108.5		$	54.3
Domain, The Austin, TX	700,000 sf open-air town center anchored by Neiman Marcus and Macy’s and includes 75,000 sf of office space. Contains separate residential component.	100%	3/07		$	246		$	195		$	195		10	%		$	89.9	—			—
Rio Grande Valley Premium Outlets ® Mercedes, TX	404,000 square foot upscale outlet center	100%	11/06		$	68		$	59		$	59		13	%		$	17.4	—			—
Round Rock Premium Outlets® Round Rock, TX (Austin)	433,000 square foot upscale outlet center with complimentary uses on adjacent outparcels	100%	8/06		$	126		$	106		$	106		13	%		$	50.3	—			—
Shops at Arbor Walk, The Austin, TX	460,000 square foot community center anchored by Home Depot, Marshall’s, DSW, Golf Galaxy and JoAnn Fabrics	100%	3/07		$	60		$	52		$	52		9	%		$	6.8	—			—
Village at SouthPark, The Charlotte, NC	Street-level retail project comprised of 48,000 sf of small shops along with a 33,000 sf Crate & Barrel. Contains separate residential component.	100%	11/06 (Crate & Barrel) 3/07 (Other retail)		$	33		$	26		$	26		11	%		$	2.4	—			—
*Significant Redevelopment Projects with Incremental GLA*
Lenox Square Atlanta, GA	Neiman Marcus expansion; addition of second level of small shops and renovation of the atrium area	100%	10/07		$	50		$	44		$	44		8	%		$	4.1	—			—
Northgate Mall Seattle, WA	Addition of Barnes & Noble, Panera Bread, Macaroni Grill, Starbucks and Gene Juarez Spa in a lifestyle component; creation of two outparcels	100%	6/07		$	41		$	39		$	39		8	%		$	2.3	—			—
Smith Haven Mall Lake Grove (New York), NY	Mall renovation and addition of lifestyle component consisting of Dick’s Sporting Goods, Barnes & Noble, Cheesecake Factory and small shops; addition of Macy’s Furniture	25%	11/06		$	72		$	65		$	16		10	%		—		$	12.1		$	3.0
*Other Redevelopment Projects with Incremental GLA*
Edison Mall Fort Myers, FL	Lifestyle addition	100%	7/06
Seattle Premium Outlets Tulalip, WA	Phase II expansion of upscale outlet center	100%	5/06
	Subtotal Other Redevelopment Projects with Incremental GLA				$ 14			$	14		$ 14			8	%		$ 4.6		—			—

SIMON PROPERTY GROUP
U.S. Development Activity Report*
Project Overview, Construction-in-Progress and Land Held for Development
As of December 31, 2005

Construction-in-Progress

Unconsolidated
Entities

Property/Location

Project Description

The
Company’s
Ownership
Percentage

Opening

Projected
Gross Cost (1)
(in millions)

Projected
Net Cost
(in millions)

The
Company’s
Share of
Net Cost

Stabilized
Rate of
Return

Consolidated
Properties

Total

The
Company’s
Share

Renovations

Aventura Mall

Mall renovation

1/07

Miami Beach, FL

Orange Park Mall

Mall renovation and addition of

100

10/06

Orange Park (Jacksonville), FL

Dick’s Sporting Goods

Subtotal Renovations

$ 39

$ 38

$ 24

$ 10.4

$ 2.7

$ 0.9

Anchor/Big Box/Theater Activity

Boynton Beach Mall

Addition of Muvico Theater

100

9/07

Boynton Beach, FL

Cielo Vista Mall

Addition of Cinemark Theatre

100

2/06

El Paso, TX

Copley Place

Addition of Barneys New York

3/06

Boston, MA

Crossroads Mall

Addition of Target

100

7/06

Omaha, NE

Galleria, The

Addition of Borders, Del Frisco, Kona Grill,

4/06

Houston, TX

Oceanaire and small shops in former

Lord & Taylor space

Melbourne Square

Addition of Dick’s Sporting Goods and

100

6/06

Melbourne, FL

Circuit City

SouthPark

Addition of Neiman Marcus

100

10/06

Charlotte, NC

Square One Mall
Saugus (Boston), MA

Addition of Dick’s Sporting Goods

1st Qtr.
2007

Subtotal Anchor/Big Box/Theater Activity

$ 120

$ 112

$ 87

$ 44.8

$ 28.3

$ 20.0

Other

Simon Corporate Headquarters

$ 30.0

—

Miscellaneous

$ 22.3

$ 26.4

$ 9.9

Subtotal Other

$ 52.3

$ 26.4

$ 9.9

Total Construction in Progress(2)

$ 285.3

$ 178.0

$ 88.1

Land Held for Development

$ 125.0

$ 20.8

$ 10.4

* Cost and return are based upon current budget assumptions. Actual results may vary.

(1) Projected Gross Cost includes soft costs such as architecture and engineering fees, tenant costs (allowances/leasing commissions), development, legal and other fees, marketing costs, cost of capital, and other related costs.

(2) Does not include the Company’s international properties.

SIMON PROPERTY GROUP
International Development Activity Report*
Project Overview, Construction-in-Progress
As of December 31, 2005

The Company’s

Ownership

Projected

Shopping center/

Percentage

Net Cost*

Location (Metropolitan area)

Project Description

Anchors

of Project

Opening

(in millions)

New Development Projects:

Argine—Napoli, Italy

300,000 square foot center anchored by a hypermarket
and approximately 75 shops

Auchan

24.0%

Fall 2007

€

Cinisello—Milano, Italy (Milano)

400,000 square foot center anchored by a hypermarket
and approximately 100 shops

Auchan

49.0%

Fall 2006

€

127

Gliwice—Gliwice, Poland

400,000 square foot center anchored by a hypermarket
and do-it-yourself center

Carrefour, Leroy Merlin

34.7%

Fall 2006

€

Guigliano—Guigliano, Italy (Napoli)

800,000 square foot center anchored by a hypermarket,
including a retail park

Auchan, Leroy Merlin, Decathlon

19.6%

Summer 2006

€

Nola—Nola, Italy (Napoli)

1.0 million square foot center including a hypermarket
and department store

Auchan, Coin, La Rinascente,
Holiday Inn, Media World

22.1%

Winter 2006/2007

€

155

Porta di Roma—Roma, Italy

1.3 million square foot center including a hypermarket,
department store and do-it-yourself centers

Auchan, Leroy Merlin, UGC Theatres,
Ikea (opened 6/05), Media World,
Decathlon

19.6%

Spring 2007

€

218

Redevelopment Projects with Incremental GLA:

Sano Premium Outlets—Sano, Japan

91,000 square foot phase III expansion of outdoor
upscale outlet center

Cole-Haan, Giorgio Armani, St. John
Knits, Theory, Tommy Hilfiger

40.0%

3/06

JPY 2,395

Wasquehal—Wasquehal, France (Lille)

200,000 square foot expansion of existing Carrefour
anchored hypermarket(1)

Carrefour

34.7%

Fall 2006

€

Other projects (1 leasehold development, 1 leasehold extension)

€

* Cost is based upon current budget assumptions. Actual results may vary.

(1) Owner of existing portion of the gallery did not elect to participate in the expansion. Projected net cost represents 100% of Simon’s joint venture cost.

SIMON PROPERTY GROUP
The Company’s Share of Total Debt Amortization and Maturities by Year
As of December 31, 2005
(In thousands)

	The Company’s			The Company’s				The Company’s
	Share of			Share of				Share of
	Secured			Unsecured				Unconsolidated				The Company’s
	Consolidated			Consolidated				Joint Venture				Share of Total
Year	Debt			Debt				Debt				Debt
2006		261,005			1,150,000				421,516				1,832,521
2007		562,523			1,055,000				187,654				1,805,177
2008		581,663			350,000				288,810				1,220,473
2009		742,479			900,000				186,516				1,828,995
2010		706,227			1,159,075				582,973				2,448,275
2011		441,614			1,659,264				449,167				2,550,045
2012		360,961			450,000				214,094				1,025,055
2013		201,620			425,000				231,534				858,154
2014		401,274			700,000				162,135				1,263,409
2015		3,882			1,200,000				431,916				1,635,798
2016		4,049			250,000				14,002				268,051
Thereafter		64,304			200,000				250				264,554
Face Amounts of Indebtedness		$	4,331,601		$	9,498,339			$	3,170,567			$	17,000,507
Premiums (Discounts) on Indebtedness, Net		51,516			43,286				(905		)		93,897
Fair Value of Interest Rate Swaps Agreements		—			(11,809		)		—				(11,809		)
The Company’s Share of Total Indebtedness		$	4,383,117		$	9,529,816			$	3,169,662			$	17,082,595

Debt Covenant Compliance Ratios

Senior Unsecured Notes Covenant(1)	Required	Actual	Compliance
Total Debt to Total Assets	<65%	46.8%		Yes
Total Secured Debt to Total Assets	<50%	20.7%		Yes
Fixed Charge Coverage Ratio	>1.50X	2.6X		Yes
Total Unencumbered Assets to Unsecured Debt	>125%	223%		Yes

(1) Covenants for indentures dated June 7, 2005 and later. Covenants and other provisions of prior supplemental indentures apply to all unsecured debt for as long as any securities issued under prior supplemental indentures remain outstanding or until the covenants in the prior supplemental indentures have been amended. For a complete listing of all debt covenants related to the Company’s senior unsecured notes, as well as definitions of the above terms, please refer to Simon Property Group, L.P. filings with the Securities and Exchange Commission.

SIMON PROPERTY GROUP
Summary of Indebtedness
As of December 31, 2005
(In thousands)

					The Company’s				Weighted			Weighted
	Total				Share of				Average			Average Years
	Indebtedness				Indebtedness				Interest Rate			to Maturity
Consolidated Indebtedness
Mortgage Debt
Fixed Rate		$	4,022,020			$	3,841,177			6.47	%		5.1
Floating Rate Debt (Hedged)(1)		97,531				97,531				5.29	%		3.4
Floating Rate Debt		403,081				392,893				5.33	%		1.6
Total Mortgage Debt		4,522,632				4,331,601				6.34	%		4.8
Unsecured Debt
Fixed Rate		7,789,075				7,789,075				6.09	%		5.5
Floating Rate Debt		900,000				900,000				4.70	%		0.8
		8,689,075				8,689,075				5.86	%		5.1
Revolving Corporate Credit Facility		809,264				809,264				4.82	%		5.0
		809,264				809,264				4.82	%		5.0
Total Unsecured Debt		9,498,339				9,498,339				5.86	%		5.1
Premium		122,033				119,852
Discount		(25,078		)		(25,050		)
Fair Value Interest Rate Swaps		(11,809		)		(11,809		)
Consolidated Mortgages and Other Indebtedness(2)		$	14,106,117			$	13,912,933			6.01	%		5.0
Joint Venture Indebtedness
Mortgage Debt
Fixed Rate		$	6,385,542			$	2,706,019			5.90	%		5.6
Floating Rate Debt (Hedged)(1)		472,000				217,738				4.91	%		1.6
Floating Rate Debt		618,440				244,240				4.50	%		5.2
Total Mortgage Debt		7,475,982				3,167,997				5.75	%		5.3
Unsecured Floating Rate Debt		5,245				2,570				3.04	%		3.0
Total Unsecured Debt		5,245				2,570				3.04	%		3.0
Premium		1,329				665
Discount		(3,197		)		(1,570		)
Joint Venture Mortgages and Other Indebtedness		$	7,479,359			$	3,169,662			5.75	%		5.3

*The Company’s Share of Total Indebtedness*						$ 17,082,595				5.94	%		5.1
Summary of Fixed and Variable Rate Debt
Consolidated
Fixed		55.2%				11,725,054				6.21	%		5.3
Variable		10.2%				2,187,879				4.95	%		2.9
		65.4%				13,912,933				6.01	%		5.0
Joint Venture
Fixed		29.5%				2,705,114				5.90	%		5.6
Variable		5.1%				464,548				4.73	%		3.5
		34.6%				$	3,169,662			5.75	%		5.3
Total Debt		100.0%				$	17,082,595

Total Fixed Debt		84.7%				$ 14,430,168				6.09	%		5.4

Total Variable Debt		15.3%				$ 2,652,427				4.96	%		3.0

(1) These debt obligations are hedged by interest rate cap agreements.

(2) Amounts give effect to outstanding derivative instruments as footnoted on the Summary of Indebtedness by Maturity.

SIMON PROPERTY GROUP
Summary of Indebtedness by Maturity
As of December 31, 2005
(In thousands)

								The
					Interest			Company’s
		Maturity		Interest	Rate	Secured or	Total	Share of
Property Name		Date		Rate(1)	Type	Unsecured	Indebtedness	Indebtedness
Consolidated Indebtedness:
Simon Property Group, LP (Sr. Notes)	(20)	01/20/06		7.38%	Fixed	Unsecured	300,000	300,000
North East Mall		05/20/06		5.77%	Variable	Secured	140,000	140,000
Gulf View Square		10/01/06		8.25%	Fixed	Secured	32,471	32,471
Paddock Mall		10/01/06		8.25%	Fixed	Secured	25,825	25,825
Simon Property Group, LP (Acquisition Facility)		10/14/06		4.94%	Variable	Unsecured	600,000	600,000
Simon Property Group, LP (Sr. Notes)		11/15/06		6.88%	Fixed	Unsecured	250,000	250,000
Cielo Vista Mall—1	(4)	05/01/07		9.38%	Fixed	Secured	48,747	48,747
Cielo Vista Mall—3	(4)	05/01/07		6.76%	Fixed	Secured	35,411	35,411
Lakeline Mall		05/01/07		7.65%	Fixed	Secured	66,274	66,274
McCain Mall—1	(4)	05/01/07		9.38%	Fixed	Secured	22,761	22,761
McCain Mall—2	(4)	05/01/07		6.76%	Fixed	Secured	16,345	16,345
Valle Vista Mall—1	(4)	05/01/07		9.38%	Fixed	Secured	30,147	30,147
Valle Vista Mall—2	(4)	05/01/07		6.81%	Fixed	Secured	7,270	7,270
Wolfchase Galleria		06/30/07		7.80%	Fixed	Secured	72,054	68,088
Copley Place		08/01/07		7.44%	Fixed	Secured	174,521	171,287
Simon Property Group, LP (Medium Term Notes)		09/20/07		7.13%	Fixed	Unsecured	180,000	180,000
University Park Mall		10/01/07		7.43%	Fixed	Secured	57,532	34,519
CPG Partners, LP (Sr. Notes)		10/21/07		7.25%	Fixed	Unsecured	125,000	125,000
Simon Property Group, LP (Sr. Notes)		11/15/07		6.38%	Fixed	Unsecured	750,000	750,000
Bangor Mall		12/01/07		7.06%	Fixed	Secured	22,757	15,099
White Oaks Mall	(2)	02/25/08		5.49%	Variable	Secured	48,563	41,125
Gateway Shopping Center	(2)	03/31/08		5.34%	Variable	Secured	86,000	83,250
Simon Property Group, LP (MOPPRS)		06/15/08		7.00%	Fixed	Unsecured	200,000	200,000
Gilroy Premium Outlets	(10)	07/11/08		6.99%	Fixed	Secured	65,748	65,748
Kittery Premium Outlets	(10)	07/11/08		6.99%	Fixed	Secured	10,885	10,885
Lighthouse Place Premium Outlets	(10)	07/11/08		6.99%	Fixed	Secured	45,368	45,368
Waterloo Premium Outlets	(10)	07/11/08		6.99%	Fixed	Secured	36,540	36,540
Simon Property Group, LP (Sr. Notes)		08/28/08		5.38%	Fixed	Unsecured	150,000	150,000
Stanford Shopping Center		09/11/08	(12)	3.60%	Fixed	Secured	220,000	220,000
Arsenal Mall—1		09/28/08		6.75%	Fixed	Secured	31,985	31,985
College Mall—1	(3)	01/01/09		7.00%	Fixed	Secured	34,194	34,194
College Mall—2	(3)	01/01/09		6.76%	Fixed	Secured	10,913	10,913
Greenwood Park Mall—1	(3)	01/01/09		7.00%	Fixed	Secured	28,639	28,639
Greenwood Park Mall—2	(3)	01/01/09		6.76%	Fixed	Secured	56,382	56,382
Towne East Square—1		01/01/09		7.00%	Fixed	Secured	45,886	45,886
Towne East Square—2		01/01/09		6.81%	Fixed	Secured	22,751	22,751
Woodland Hills Mall		01/01/09		7.00%	Fixed	Secured	82,830	78,248
Simon Property Group, LP (Sr. Notes)		01/30/09	(18)	3.75%	Fixed	Unsecured	300,000	300,000
Simon Property Group, LP (Sr. Notes)		02/09/09		7.13%	Fixed	Unsecured	300,000	300,000
Penn Square Mall		03/01/09		7.03%	Fixed	Secured	69,276	65,463
CPG Partners, LP (Sr. Notes)		03/15/09		3.50%	Fixed	Unsecured	100,000	100,000
Plaza Carolina—Fixed		05/09/09		5.10%	Fixed	Secured	96,909	96,909
Plaza Carolina—Variable Capped	(2)	05/09/09		5.29%	Variable	Secured	97,531	97,531
Plaza Carolina—Variable Floating	(2)	05/09/09		5.29%	Variable	Secured	58,518	58,518
Simon Property Group, LP (Sr. Notes)		07/15/09		7.00%	Fixed	Unsecured	150,000	150,000
CPG Partners, LP (Sr. Notes)		08/17/09		8.63%	Fixed	Unsecured	50,000	50,000

SIMON PROPERTY GROUP
Summary of Indebtedness by Maturity
As of December 31, 2005
(In thousands)

									The
					Interest				Company’s
		Maturity		Interest	Rate	Secured or		Total	Share of
Property Name		Date		Rate(1)	Type	Unsecured		Indebtedness	Indebtedness
Bloomingdale Court	(9)	11/01/09		7.78%	Fixed	Secured		27,950	27,950
Forest Plaza	(9)	11/01/09		7.78%	Fixed	Secured		15,330	15,330
Lake View Plaza	(9)	11/01/09		7.78%	Fixed	Secured		20,378	20,378
Lakeline Plaza	(9)	11/01/09		7.78%	Fixed	Secured		22,342	22,342
Lincoln Crossing	(9)	11/01/09		7.78%	Fixed	Secured		3,084	3,084
Matteson Plaza	(9)	11/01/09		7.78%	Fixed	Secured		8,974	8,974
Muncie Plaza	(9)	11/01/09		7.78%	Fixed	Secured		7,759	7,759
Regency Plaza	(9)	11/01/09		7.78%	Fixed	Secured		4,206	4,206
St. Charles Towne Plaza	(9)	11/01/09		7.78%	Fixed	Secured		26,921	26,921
West Ridge Plaza	(9)	11/01/09		7.78%	Fixed	Secured		5,423	5,423
White Oaks Plaza	(9)	11/01/09		7.78%	Fixed	Secured		16,546	16,546
Simon Property Group, LP (Sr. Notes)		03/18/10		4.88%	Fixed	Unsecured		300,000	300,000
CPG Partners, LP (Term Loan)		04/27/10	(17)	7.26%	Fixed	Unsecured		59,075	59,075
Simon Property Group, LP (Sr. Notes)		06/15/10		4.60%	Fixed	Unsecured		400,000	400,000
Trolley Square		08/01/10		9.03%	Fixed	Secured		28,675	25,808
Simon Property Group, LP (Sr. Notes)		08/15/10		4.88%	Fixed	Unsecured		400,000	400,000
Coral Square		10/01/10		8.00%	Fixed	Secured		86,895	84,479
Crystal River		11/11/10		7.63%	Fixed	Secured		15,531	15,531
Forum Shops at Caesars, The		12/01/10		4.78%	Fixed	Secured		550,000	550,000
Port Charlotte Town Center		12/11/10		7.98%	Fixed	Secured		52,460	41,968
Oxford Valley Mall		01/10/11		6.76%	Fixed	Secured		82,236	51,940
Revolving Credit Facility	(2)	01/11/11		4.82%	Variable	Unsecured	(19)	809,264	809,264
Simon Property Group, LP (Sr. Notes)		01/20/11		7.75%	Fixed	Unsecured		200,000	200,000
CPG Partners, LP (Sr. Notes)		02/01/11		8.25%	Fixed	Unsecured		150,000	150,000
Simon Property Group, LP (Sr. Notes)		06/01/11		5.38%	Fixed	Unsecured		500,000	500,000
Henderson Square		07/01/11		6.94%	Fixed	Secured		15,265	11,597
Ingram Park Mall	(8)	08/11/11		6.99%	Fixed	Secured		80,549	80,549
Knoxville Center	(8)	08/11/11		6.99%	Fixed	Secured		60,996	60,996
Northlake Mall	(8)	08/11/11		6.99%	Fixed	Secured		70,367	70,367
Towne West Square	(8)	08/11/11		6.99%	Fixed	Secured		52,726	52,726
Tacoma Mall		10/01/11		7.00%	Fixed	Secured		128,597	128,597
CPG Partners, LP (Sr. Notes)		06/15/12		6.88%	Fixed	Unsecured		100,000	100,000
Simon Property Group, LP (Sr. Notes)		08/28/12		6.35%	Fixed	Unsecured		350,000	350,000
Anderson Mall		10/10/12		6.20%	Fixed	Secured		29,037	29,037
Century III Mall	(6)	10/10/12		6.20%	Fixed	Secured		85,712	85,712
Crossroads Mall		10/10/12		6.20%	Fixed	Secured		43,048	43,048
Forest Mall	(7)	10/10/12		6.20%	Fixed	Secured		17,239	17,239
Highland Lakes Center	(6)	10/10/12		6.20%	Fixed	Secured		15,890	15,890
Longview Mall	(6)	10/10/12		6.20%	Fixed	Secured		32,261	32,261
Markland Mall	(7)	10/10/12		6.20%	Fixed	Secured		22,825	22,825
Midland Park Mall	(7)	10/10/12		6.20%	Fixed	Secured		33,322	33,322
Palm Beach Mall		10/10/12		6.20%	Fixed	Secured		53,305	53,305
Richmond Towne Square	(7)	10/10/12		6.20%	Fixed	Secured		46,804	46,804
Las Vegas Outlet Center		12/10/12		8.12%	Fixed	Secured		19,772	19,772
CPG Partners, LP (Sr. Notes)		01/15/13		6.00%	Fixed	Unsecured		150,000	150,000
Factory Stores of America—Boaz	(11)	03/10/13		9.10%	Fixed	Secured		2,784	2,784
The Factory Shoppes at Branson Meadows	(11)	03/10/13		9.10%	Fixed	Secured		9,518	9,518

SIMON PROPERTY GROUP
Summary of Indebtedness by Maturity
As of December 31, 2005
(In thousands)

											The
					Interest						Company’s
		Maturity	Interest		Rate		Secured or	Total			Share of
Property Name		Date	Rate(1)		Type		Unsecured	Indebtedness			Indebtedness
MacGregor Village	(11)	03/10/13		9.10%		Fixed	Secured		6,854			6,854
Factory Stores of America—Georgetown	(11)	03/10/13		9.10%		Fixed	Secured		6,597			6,597
Factory Stores of America—Graceville	(11)	03/10/13		9.10%		Fixed	Secured		1,960			1,960
Dare Centre	(11)	03/10/13		9.10%		Fixed	Secured		1,704			1,704
Factory Stores of America—Lebanon	(11)	03/10/13		9.10%		Fixed	Secured		1,647			1,647
Factory Stores of America—Nebraska City	(11)	03/10/13		9.10%		Fixed	Secured		1,547			1,547
North Ridge Shopping Center	(11)	03/10/13		9.10%		Fixed	Secured		8,371			8,371
Factory Stores of America—Story City	(11)	03/10/13		9.10%		Fixed	Secured		1,913			1,913
Carolina Premium Outlets—Smithfield	(11)	03/10/13		9.10%		Fixed	Secured		20,466			20,466
The Crossings Premium Outlets		03/13/13		5.85%		Fixed	Secured		57,953			57,953
Simon Property Group, LP (Sr. Notes)		03/15/13		5.45%		Fixed	Unsecured		200,000			200,000
Battlefield Mall		07/01/13		4.60%		Fixed	Secured		99,388			99,388
Retail Property Trust (Sr. Notes)		09/01/13		7.18%		Fixed	Unsecured		75,000			75,000
Simon Property Group, LP (Sr. Notes)		01/30/14		4.90%		Fixed	Unsecured		200,000			200,000
Northfield Square		02/11/14		6.05%		Fixed	Secured		30,985			9,791
Montgomery Mall		05/11/14		5.17%		Fixed	Secured		93,922			50,220
Chesapeake Square		08/01/14		5.84%		Fixed	Secured		73,000			54,750
Brunswick Square		08/11/14		5.65%		Fixed	Secured		86,000			86,000
Simon Property Group, LP (Sr. Notes)		08/15/14		5.63%		Fixed	Unsecured		500,000			500,000
Boardman Plaza		07/01/14		5.94%		Fixed	Secured		23,598			23,598
Desoto Square		07/01/14		5.89%		Fixed	Secured		64,153			64,153
Upper Valley Mall		07/01/14		5.89%		Fixed	Secured		47,904			47,904
Washington Square		07/01/14		5.94%		Fixed	Secured		30,693			30,693
West Ridge Mall		07/01/14		5.89%		Fixed	Secured		68,711			68,711
DeKalb Plaza		01/01/15		5.28%		Fixed	Secured		3,407			1,715
Simon Property Group, LP (Sr. Notes)		06/15/15		5.10%		Fixed	Unsecured		600,000			600,000
Simon Property Group, LP (Sr. Notes)		12/01/15		5.75%		Fixed	Unsecured		600,000			600,000
Retail Property Trust (Sr. Notes)		03/15/16		7.88%		Fixed	Unsecured		250,000			250,000
Arsenal Mall—2		05/05/16		8.20%		Fixed	Secured		1,496			1,496
Simon Property Group, LP (Sr. Notes)		06/15/18		7.38%		Fixed	Unsecured		200,000			200,000
Sunland Park Mall		01/01/26		8.63%		Fixed	Secured		36,010			36,010
Keystone at the Crossing		07/01/27		7.85%		Fixed	Secured		58,593			58,593
Total Consolidated Indebtedness at Face Value									14,020,971			13,829,940
Premium on Fixed-Rate Indebtedness									122,033			119,852
Discount on Fixed-Rate Indebtedness									(25,078	)		(25,050	)
Fair Value Interest Rate Swaps									(11,809	)		(11,809	)
*Total Consolidated Indebtedness*									14,106,117			13,912,933

SIMON PROPERTY GROUP
Summary of Indebtedness by Maturity
As of December 31, 2005
(In thousands)

								The
				Interest				Company’s
		Maturity	Interest	Rate	Secured or		Total	Share of
Property Name		Date	Rate(1)	Type	Unsecured		Indebtedness	Indebtedness
Joint Venture Indebtedness
CMBS Loan—Fixed (encumbers 13 Properties)	(5)	05/15/06	7.52%	Fixed	Secured		357,100	178,550
CMBS Loan—1 Floating (encumbers 13 Properties)	(5)	05/15/06	4.80%	Variable	Secured		186,500	93,250
CMBS Loan—2 Floating (encumbers 13 Properties)	(5)	05/15/06	4.76%	Variable	Secured		81,400	40,700
Great Northeast Plaza		06/01/06	9.04%	Fixed	Secured		16,249	8,125
Smith Haven Mall		06/01/06	7.86%	Fixed	Secured		115,000	28,750
Lehigh Valley Mall		10/10/06	7.90%	Fixed	Secured		44,725	16,821
Greendale Mall		12/10/06	8.23%	Fixed	Secured		39,895	19,603
Gwinnett Place—1		04/01/07	7.54%	Fixed	Secured		36,282	18,141
Gwinnett Place—2		04/01/07	7.25%	Fixed	Secured		80,437	40,219
Town Center at Cobb—1		04/01/07	7.54%	Fixed	Secured		46,225	23,113
Town Center at Cobb—2		04/01/07	7.25%	Fixed	Secured		61,215	30,608
Coddingtown Mall		07/14/07	5.64%	Variable	Secured		10,500	10,500
Gotemba Premium Outlets—Variable		09/30/07	1.81%	Variable	Secured	(16)	19,956	7,982
Mall at Rockingham		09/01/07	7.88%	Fixed	Secured		94,636	23,251
Aventura Mall—A		04/06/08	6.55%	Fixed	Secured		141,000	47,000
Aventura Mall—B		04/06/08	6.60%	Fixed	Secured		25,400	8,467
Aventura Mall—C		04/06/08	6.89%	Fixed	Secured		33,600	11,200
West Town Mall		05/01/08	6.90%	Fixed	Secured		76,000	38,000
Mall of New Hampshire—1		10/01/08	6.96%	Fixed	Secured		97,706	48,010
Mall of New Hampshire—2		10/01/08	8.53%	Fixed	Secured		8,080	3,970
Fashion Valley Mall—1		10/11/08	6.49%	Fixed	Secured		161,413	80,707
Fashion Valley Mall—2		10/11/08	6.58%	Fixed	Secured		29,124	14,562
Whitehall Mall		11/01/08	6.77%	Fixed	Secured		13,457	5,112
Galleria Commerciali Italia—Facility C		12/22/08	3.04%	Variable	Unsecured	(14)	5,245	2,570
Source, The		03/11/09	6.65%	Fixed	Secured		124,000	31,000
Shops at Sunset Place, The	(2)	05/09/09	5.14%	Variable	Secured		94,100	35,288
Seminole Towne Center	(2)	06/30/09	5.04%	Variable	Secured		70,000	31,500
Fashion Centre Pentagon Office	(2)	07/09/09	5.14%	Variable	Secured		40,000	17,000
Apple Blossom Mall		09/10/09	7.99%	Fixed	Secured		38,708	19,020
Auburn Mall		09/10/09	7.99%	Fixed	Secured		45,317	22,268
Toki Premium Outlets		10/30/09	0.80%	Variable	Secured	(16)	12,824	5,130
Mall at Chestnut Hill		02/02/10	8.45%	Fixed	Secured		14,362	6,782
Coconut Point	(2)	05/19/10	5.49%	Variable	Secured		57,473	28,737
Westchester, The		06/01/10	4.86%	Fixed	Secured		500,000	200,000
Mall of Georgia		07/01/10	7.09%	Fixed	Secured		194,713	97,357
Springfield Mall	(2)	12/01/10	5.49%	Variable	Secured		76,500	28,676
Florida Mall, The		12/10/10	7.55%	Fixed	Secured		257,329	128,665
Surprise Grand Vista		12/28/10	10.85%	Fixed	Secured		191,000	76,400
Atrium at Chestnut Hill		03/11/11	6.89%	Fixed	Secured		46,666	22,931
Cape Cod Mall		03/11/11	6.80%	Fixed	Secured		94,846	46,605
Highland Mall		07/11/11	6.83%	Fixed	Secured		67,737	33,869
Villabe A6—Bel’Est		08/01/11	3.40%	Variable	Secured	(15)	11,101	3,852
Fashion Centre Pentagon Retail		09/11/11	6.63%	Fixed	Secured		159,114	67,623
Bay 1 (Torcy)		12/01/11	4.20%	Variable	Secured	(15)	16,705	5,797
Zakopianka Shopping Center		12/01/11	6.82%	Fixed	Secured	(13)	14,191	4,924
Galleria Commerciali Italia—Facility A		12/22/11	3.53%	Fixed	Secured	(14)	285,410	139,851

SIMON PROPERTY GROUP
Summary of Indebtedness by Maturity
As of December 31, 2005
(In thousands)

											The
				Interest							Company’s
	Maturity	Interest		Rate	Secured or			Total			Share of
Property Name	Date	Rate(1)		Type	Unsecured			Indebtedness			Indebtedness
Galleria Commerciali Italia—Facility B	12/22/11		3.63%	Fixed		Secured	(14)		297,505			145,777
Borek Shopping Center	02/01/12		6.19%	Fixed		Secured	(13)		15,515			5,384
Dadeland Mall	02/11/12		6.75%	Fixed		Secured			191,773			95,887
Square One	03/11/12		6.73%	Fixed		Secured			91,228			44,827
Crystal Mall	09/11/12		5.62%	Fixed		Secured			101,461			75,658
Emerald Square Mall	03/01/13		5.13%	Fixed		Secured			139,162			68,381
Avenues, The	04/01/13		5.29%	Fixed		Secured			76,877			19,219
Circle Centre Mall	04/11/13		5.02%	Fixed		Secured			76,905			11,282
Bay 2 (Torcy)	06/01/13		3.60%	Variable		Secured	(15)		62,669			21,746
Solomon Pond	08/01/13		3.97%	Fixed		Secured			114,000			56,017
Tosu Premium Outlets	08/24/13		2.60%	Fixed		Secured	(16)		12,330			4,932
Miami International Mall	10/01/13		5.35%	Fixed		Secured			97,500			46,582
Liberty Tree Mall	10/11/13		5.22%	Fixed		Secured			35,000			17,198
Wilenska Station Shopping Center	11/01/13		4.35%	Variable		Secured	(15)		36,473			12,656
Northshore Mall	03/11/14		5.03%	Fixed		Secured			210,000			103,189
Turzyn Shopping Center	06/01/14		6.56%	Fixed		Secured	(13)		22,440			7,787
Dabrowka Shopping Center	07/01/14		6.22%	Fixed		Secured	(13)		4,666			1,619
Gotemba Premium Outlets—Fixed	10/25/14		2.00%	Fixed		Secured	(16)		9,512			3,805
Rinku Premium Outlets	10/25/14		2.34%	Fixed		Secured	(16)		35,796			14,318
Arkadia Shopping Center	11/01/14		4.55%	Variable		Secured	(15)		123,239			42,764
Indian River Commons	11/01/14		5.21%	Fixed		Secured			9,645			4,823
Indian River Mall	11/01/14		5.21%	Fixed		Secured			65,355			32,678
St. Johns Town Center	03/11/15		5.06%	Fixed		Secured			170,000			85,000
Gaitway Plaza	07/01/15		4.60%	Fixed		Secured			13,900			3,243
Plaza at Buckland Hills, The	07/01/15		4.60%	Fixed		Secured			24,800			8,680
Ridgewood Court	07/01/15		4.60%	Fixed		Secured			14,650			5,128
Village Park Plaza	07/01/15		4.60%	Fixed		Secured			29,850			10,448
West Town Corners	07/01/15		4.60%	Fixed		Secured			18,800			4,388
Clay Terrace Partners	10/01/15		5.08%	Fixed		Secured			115,000			57,500
Houston Galleria—1	12/01/15		5.44%	Fixed		Secured			643,583			202,632
Houston Galleria—2	12/01/15		5.44%	Fixed		Secured			177,417			55,860
Quaker Bridge Mall	04/01/16		7.03%	Fixed		Secured			22,548			8,566
Sano Premium Outlets	05/31/16		2.43%	Fixed		Secured	(16)		43,046			17,218
King of Prussia Mall—1	01/01/17		7.49%	Fixed		Secured			173,339			21,407
King of Prussia Mall—2	01/01/17		8.53%	Fixed		Secured			12,002			1,482
Total Joint Venture Indebtedness at Face Value									7,481,227			3,170,567
Premium on JV Fixed-Rate Indebtedness									1,329			665
Discount on JV Fixed-Rate Indebtedness									(3,197	)		(1,570	)
*Total Joint Venture Indebtedness*									7,479,359			3,169,662
*The Company’s Share of Total Indebtedness*												17,082,595

(Footnotes on following page)

SIMON PROPERTY GROUP
Summary of Indebtedness by Maturity
As of December 31, 2005
(In thousands)

(Footnotes for preceeding pages)

Footnotes:

(1) Variable rate debt interest rates are based on the following base rates as of December 31, 2005: LIBOR at 4.39%; EURIBOR at 2.4%.

(2) Includes applicable extensions available at Company’s option.

(3) These two Properties are secured by cross-collateralized and cross-defaulted mortgages.

(4) These three Properties are secured by cross-collateralized and cross-defaulted mortgages.

(5) These Commercial Mortgage Notes are secured by cross-collateralized mortgages encumbering thirteen of the Properties (Eastland Mall, Southern Hills Mall, Lindale Mall, Southridge Mall, Granite Run Mall, Lake Square Mall, Northpark Mall, Southpark Mall, Valley Mall, Mesa Mall, Empire Mall, Empire East Mall and Rushmore Mall). A weighted average rate is used.

(6) These three Properties are secured by cross-collateralized and cross-defaulted mortgages.

(7) These four Properties are secured by cross-collateralized and cross-defaulted mortgages.

(8) These four Properties are secured by cross-collateralized and cross-defaulted mortgages.

(9) These eleven Properties are secured by cross-collateralized and cross-defaulted mortgages.

(10) These four Properties are secured by cross-collateralized and cross-defaulted mortgages.

(11) These eleven Properties are secured by cross-collateralized and cross-defaulted mortgages.

(12) Simultaneous with the issuance of this loan, the Company entered into a $70 million notional amount variable rate swap agreement which is designated as a hedge against this loan. As of December 31, 2005, after including the impacts of this swap, the terms of the loan are effectively $150 million fixed at 3.60% and $70 million variable rate at 4.36%.

(13) Amounts shown in USD Equivalent. Euro equivalent is 48.0 million.

(14) Amounts shown in USD Equivalent. Euro equivalent is 496.6 million. Associated with these loans are interest rate swap agreements with a total combined 491.4 million euros notional amount that effectively fixes this pool of loans at 3.97%.

(15) Amounts shown in USD Equivalent. Euro equivalent is 211.2 million. Associated with these loans are interest rate swap agreements with a total combined 196.3 million euros notional amount that effectively fix these loans at a combined 5.05%.

(16) Amounts shown in USD Equivalent. Yen equivalent is 15,715.3 million.

(17) Through an interest rate swap agreement, effectively fixed through January 1, 2006 at the all-in interest rate presented.

(18) The Company has $300 million notional amount variable rate swap agreement which is a designated hedge against this unsecured note effectively converting to a six month LIBOR variable rate.

(19) Amounts shown in USD Equivalent. Balance includes borrowings on multi-currency tranche of Yen $1,746.4 million and Euro $203.0 million.

(20) Obligation has been repaid under the terms of the original indebtedness.

SIMON PROPERTY GROUP
Unencumbered Assets
As of December 31, 2005

Property Name	City	State
*Regional Malls:*
University Mall	Little Rock	AR
Brea Mall	Brea	CA
Laguna Hills Mall	Laguna Hills	CA
Santa Rosa Plaza	Santa Rosa	CA
Shops at Mission Viejo, The	Mission Viejo	CA
Westminster Mall	Westminster	CA
Town Center at Aurora	Aurora	CO
Boynton Beach Mall	Boynton Beach	FL
Cordova Mall	Pensacola	FL
Edison Mall	Fort Meyers	FL
Melbourne Square	Melbourne	FL
Orange Park Mall	Orange Park	FL
Town Center at Boca Raton	Boca Raton	FL
Treasure Coast Square	Jensen Beach	FL
Tyrone Square	St. Petersburg	FL
University Mall	Pensacola	FL
Lenox Square	Atlanta	GA
Phipps Plaza	Atlanta	GA
Alton Square	Alton	IL
Lincolnwood Town Center	Lincolnwood	IL
Northwoods Shopping Center	Peoria	IL
Orland Square	Orland Park	IL
River Oaks Center	Calumet City	IL
Castleton Square Mall	Indianapolis	IN
Lafayette Square	Indianapolis	IN
Muncie Mall	Muncie	IN
Tippecanoe Mall	Lafayette	IN
Prien Lake Mall	Lake Charles	LA
Burlington Mall	Burlington	MA
South Shore Plaza	Braintree	MA
Bowie Town Center	Bowie	MD
St. Charles Towne Center	Waldorf	MD
Maplewood Mall	Minneapolis	MN
Miller Hill Mall	Duluth	MN

Property Name	City	State
Independence Center	Independence	MO
SouthPark	Charlotte	NC
Pheasant Lane	Nashua	NH
Livingston Mall	Livingston	NJ
Menlo Park Mall	Edison	NJ
Ocean County Mall	Toms River	NJ
Rockaway Townsquare	Rockaway	NJ
Cottonwood Mall	Albuquerque	NM
Chautauqua Mall	Lakewood	NY
Nanuet Mall	Nanuet	NY
Jefferson Valley Mall	Yorktown Heights	NY
Roosevelt Field	Garden City	NY
Walt Whitman Mall	Huntington Station	NY
Great Lakes Mall	Mentor	OH
Lima Mall	Lima	OH
Southern Park Mall	Boardman	OH
Summit Mall	Akron	OH
Ross Park Mall	Pittsburgh	PA
South Hills Village	Pittsburgh	PA
Haywood Mall	Greenville	SC
Oak Court Mall	Memphis	TN
Raleigh Springs Mall	Memphis	TN
Barton Creek Square	Austin	TX
Broadway Square	Tyler	TX
Irving Mall	Irving	TX
La Plaza Mall	McAllen	TX
Richardson Square Mall	Richardson	TX
Rolling Oaks Mall	San Antonio	TX
Charlottesville Fashion Square	Charlottesville	VA
Virginia Center Commons	Glen Allen	VA
Columbia Center	Kennewick	WA
Northgate Mall	Seattle	WA
Bay Park Square	Green Bay	WI

Property Name	City	State
*Premium Outlet Centers:*
Camarillo Premium Outlets	Camarillo	CA
Carlsbad Premium Outlets	Carlsbad	CA
Desert Hills Premium Outlets	Cabazon	CA
Folsom Premium Outlets	Folsom	CA
Napa Premium Outlets	Napa	CA
Petaluma Village Premium Outlets	Petaluma	CA
Vacaville Premium Outlets	Vacaville	CA
Clinton Crossing Premium Outlets	Clinton	CT
Orlando Premium Outlets	Orlando	FL
St. Augustine Premium Outlets	St. Augustine	FL
North Georgia Premium Outlets	Dawsonville	GA
Waikele Premium Outlets	Waipahu	HI
Chicago Premium Outlets	Aurora	IL
Edinburgh Premium Outlets	Edinburgh	IN
Wrentham Village Premium Outlets	Wrentham	MA
Albertville Premium Outlets	Albertville	MN
Osage Beach Premium Outlets	Osage Beach	MO
Jackson Premium Outlets	Jackson	NJ
Liberty Village Premium Outlets	Flemington	NJ
Las Vegas Premium Outlets	Las Vegas	NV
Woodbury Common Premium Outlets	Central Valley	NY
Aurora Farms Premium Outlets	Aurora	OH
Columbia Gorge Premium Outlets	Troutdale	OR
Allen Premium Outlets	Allen	TX
Leesburg Corner Premium Outlets	Leesburg	VA
Seattle Premium Outlets	Seattle	WA
Johnson Creek Premium Outlets	Johnson Creek	WI

Property Name	City	State
*Community/Lifestyle Centers:*
Royal Eagle Plaza	Coral Springs	FL
Terrace at Florida Mall	Orlando	FL
Waterford Lakes Town Center	Orlando	FL
Westland Park Plaza	Orange Park	FL
Mall of Georgia Crossing	Atlanta	GA
Countryside Plaza	Countryside	IL
Crystal Court	Crystal Lake	IL
Lake Plaza	Waukegan	IL
North Ridge Plaza	Joliet	IL
Willow Knolls Court	Peoria	IL
Brightwood Plaza	Indianapolis	IN
Greenwood Plus	Greenwood	IN
Griffith Park Plaza	Griffith	IN
Markland Plaza	Kokomo	IN
New Castle Plaza	New Castle	IN
Northwood Plaza	Fort Wayne	IN
Teal Plaza	Lafayette	IN
Tippecanoe Plaza	Lafayette	IN
University Center	Mishawaka	IN
Wabash Village	West Lafayette	IN
Washington Plaza	Indianapolis	IN
Park Plaza	Hopkinsville	KY
Rockaway Convenience Center	Rockaway	NJ
Cobblestone Court	Victor	NY
Great Lakes Plaza	Mentor	OH
Lima Center	Lima	OH
Northland Plaza	Columbus	OH
Eastland Plaza	Tulsa	OK
Lincoln Plaza	Langhorne	PA
Charles Towne Square	Charleston	SC
Knoxville Commons	Knoxville	TN
The Arboretum	Austin	TX

Property Name	City	State
Celina Plaza	El Paso	TX
Ingram Plaza	San Antonio	TX
Shops at North East Mall	Hurst	TX
Chesapeake Center	Chesapeake	VA
Fairfax Court	Fairfax	VA
Martinsville Plaza	Martinsville	VA
*Other:*
Factory Merchants Branson	Branson	MO
Crossville Outlet Center	Crossville	TN
Factory Stores at North Bend	North Bend	WA

SIMON PROPERTY GROUP
Preferred Stock/Units Outstanding
As of December 31, 2005
($in 000’s, except per share amounts)

			Per Share			Aggregate
		Number of	Liquidation			Liquidation			Ticker
Issuer	Description	Shares/Units	Preference			Preference			Symbol
Preferred Stock:
Simon Property Group, Inc.	Series F 8.75%	8,000,000		$	25		$	200,000	SPGPrF
	Cumulative
	Redeemable(1)
Simon Property Group, Inc.	Series G 7.89%	3,000,000		$	50		$	150,000	SPGPrG
	Cumulative Step-Up
	Premium Rate(2)
Simon Property Group, Inc.	Series I 6% Convertible	13,835,174		$	50		$	691,759	SPGPrI
	Perpetual Preferred(3)
Simon Property Group, Inc.	Series J 8.375%	796,948		$	50		$	39,847	SPGPrJ
	Cumulative
	Redeemable(4)
Preferred Units:
Simon Property Group, L.P.	Series C 7% Cumulative	1,410,760		$	28		$	39,501	N/A
	Convertible(5)
Simon Property Group, L.P.	Series D 8% Cumulative	1,425,573		$	30		$	42,767	N/A
	Redeemable(6)
Simon Property Group, L.P.	Series I 6% Convertible	4,177,028		$	50		$	208,851	N/A
	Perpetual(3)
Simon Property Group, L.P.	7.50% Cumulative	255,373		$	100		$	25,537	N/A
	Redeemable(7)
Simon Property Group, L.P.	7.75%/8.00%	850,698		$	100		$	85,070	N/A
	Cumulative
	Redeemable(8)

(1) The shares are redeemable on or after September 29, 2006. The shares are not convertible into any other securities of the Company. The shares are traded on the New York Stock Exchange. The closing price on December 30, 2005, was $25.45 per share.

(2) The Cumulative Step-Up Premium Rate Preferred Stock was issued at 7.89%. The shares are redeemable after September 30, 2007. Beginning October 1, 2012, the rate increases to 9.89%. The shares are not convertible into any other securities of the Company. The shares are traded on the New York Stock Exchange. The closing price on December 30, 2005 was $51.29 per share.

(3) Each unit/share is convertible into 0.783 of a share of common stock if certain conditions are met. The closing price for the preferred stock on December 30, 2005 was $64.32 per share.

(4) Each share is redeemable on or after October 15, 2027. The closing price on December 30, 2005 was $63.70 per share.

(5) Each unit/share is convertible into 0.75676 of a share of common stock on or after August 27, 2004 if certain conditions are met. Each unit/share is not redeemable prior to August 27, 2009.

(6) Each unit/share is not redeemable prior to August 27, 2009.

(7) Each unit/share is not redeemable prior to November 10, 2013.

(8) Each unit is redeemable on or after January 1, 2011 or earlier upon the occurrence of certain tax triggering events.

Exhibit 99.2

CONTACTS:
Shelly Doran	317.685.7330	Investors
Les Morris	317.263.7711	Media

FOR IMMEDIATE RELEASE

SIMON PROPERTY GROUP ANNOUNCES STRONG FOURTH QUARTER RESULTS
AND DECLARES 8.6% INCREASE IN COMMON STOCK DIVIDEND

Indianapolis, Indiana—February 6, 2006...Simon Property Group, Inc. (the “Company” or “Simon”) (NYSE:SPG) today announced results for the quarter and twelve months ended December 31, 2005:

· Diluted funds from operations (“FFO”) of the Simon portfolio for the quarter increased 9.0% to $433.2 million from $397.6 million in 2004. On a per share basis the increase was 8.1% to $1.47 from $1.36 in the fourth quarter of 2004. Diluted FFO of the Simon portfolio for the twelve months increased 22.5% to $1.468 billion from $1.198 billion in 2004. On a per share basis the increase was 13.0% to $4.96 per share from $4.39 per share in 2004.

· Net income available to common stockholders for the quarter increased 7.7% to $115.7 million from $107.4 million in 2004. On a diluted per share basis the increase was 6.1% to $0.52 from $0.49 in the fourth quarter of 2004. Net income available to common stockholders for the twelve months increased 33.7% to $401.9 million from $300.6 million in 2004. On a diluted per share basis the increase was 26.4% to $1.82 per share from $1.44 per share in 2004.

The Company considers FFO a key measure of its operating performance that is not specifically defined by accounting principles generally accepted in the United States (“GAAP”). The Company believes that FFO is helpful to investors because it is a widely recognized measure of the performance of real estate investment trusts (“REITs”) and provides a relevant basis for comparison among REITs. A reconciliation of GAAP reported net income to FFO is provided in the financial statement section of this press release.

The Company’s core fundamentals within its three domestic business platforms continue to demonstrate strength as evidenced by reported operating metrics:

	As of December 31, 2005				As of December 31, 2004				Change
Occupancy
Regional Malls(1)		93.1		%		92.7		%	40 basis point increase
Premium Outlet® Centers(2)		99.6		%		99.3		%	30 basis point increase
Community/Lifestyle Centers(2)		91.6		%		91.9		%	30 basis point decrease
Comparable Sales per Sq. Ft.
Regional Malls(3)		$	450			$	427		5.4% increase
Premium Outlet® Centers(2)		$	444			$	412		7.8% increase
Community/Lifestyle Centers(2)		$	220			$	215		2.3% increase
Average Rent per Sq. Ft.
Regional Malls(1)		$	34.49			$	33.50		3.0% increase
Premium Outlet® Centers(2)		$	23.16			$	21.85		6.0% increase
Community/Lifestyle Centers(2)		$	11.41			$	10.91		4.6% increase

(1) For mall and freestanding stores.

(2) For all owned gross leasable area (GLA).

(3) For mall and freestanding stores with less than 10,000 square feet.

“We are pleased to report another quarter of strong financial and operational results, as well as the completion of several activities that position us well for 2006,” said David Simon, Chief Executive Officer. “During the fourth quarter of 2005 we opened one new development project, entered into a land development joint venture, acquired interests in two regional malls, sold twelve non-core retail real estate assets, issued $1.1 billion of unsecured notes at attractive coupons, and expanded and extended our corporate credit facility on more favorable terms. In addition, our development program continues to proceed with six projects under construction. We are also pleased to announce today an 8.6% increase in our common stock dividend.”

Dividends

Today the Company announced a quarterly common stock dividend of $0.76 per share, an increase of 8.6%. This dividend will be paid on February 28, 2006 to stockholders of record on February 17, 2006.

The Company also declared dividends on its four outstanding issues of preferred stock:

· 8.75% Series F Cumulative Redeemable Preferred (NYSE:SPGPrF) dividend of $0.546875 per share is payable on March 31, 2006 to stockholders of record on March 17, 2006.

· 7.89% Series G Cumulative Preferred (NYSE:SPGPrG) dividend of $0.98625 per share is payable on March 31, 2006 to stockholders of record on March 17, 2006.

· 6% Series I Convertible Perpetual Preferred (NYSE:SPGPrI) dividend of $0.75 per share is payable on February 28, 2006 to stockholders of record on February 17, 2006.

· 8 3/8% Series J Cumulative Redeemable Preferred (NYSE:SPGPrJ) dividend of $1.046875 per share is payable on March 31, 2006 to stockholders of record on March 17, 2006.

U.S. Development Activity

On October 7, 2005, the Company opened Firewheel Town Center, a 785,000 square foot open-air regional shopping center located 15 miles northeast of downtown Dallas in Garland, Texas. Firewheel features Foley’s, Dillard’s, Barnes & Noble, Circuit City, Linens ‘n Things, Old Navy, DSW and Pier One Imports. An 18-screen AMC Theater opened in December of 2005. Restaurants complementing the retail offerings include T.G.I. Friday’s, Rice Boxx Asian Café, San Francisco Oven, and Fish City Grill. The center offers attractive streetscape amenities and a compelling mixture of retail, office and entertainment uses. The Company owns 100% of the project. Gross costs for Firewheel were approximately $132 million.

The Company continues construction on:

· Coconut Point—a 1.2 million square foot open-air shopping complex with village and community center components in Estero/Bonita Springs (Naples-Ft. Myers corridor), Florida. The community center component is expected to open in April 2006, followed by the remainder of the project in November 2006.

· Round Rock Premium Outlets®—a 433,000 square foot upscale outlet center in Round Rock (Austin), Texas. The project is scheduled to open in August 2006.

· Rio Grande Valley Premium Outlets®—a 404,000 square foot upscale outlet center in Mercedes, Texas. The project is scheduled to open in November 2006.

· The Village at SouthPark—a mixed-use project comprised of residential and retail components located adjacent to Simon’s highly successful SouthPark Mall in Charlotte, North Carolina. Crate & Barrel is scheduled to open in November of 2006, followed by other retail in March of 2007 and the residential component in May 2007.

· The Domain—a 700,000 square foot open-air center in Austin, Texas, anchored by Neiman Marcus and Macy’s which also includes office and residential components. The Domain is scheduled to open in March 2007.

· The Shops at Arbor Walk—a 460,000 square foot community center in Austin, Texas. The project is scheduled to open in March 2007.

International Activity

On October 21, 2005, the Company announced that Ivanhoe Cambridge Inc. acquired an ownership interest in European Retail Enterprises (“ERE”), a European joint venture in which Simon has an interest. ERE owns Groupe B.E.G., a Paris-based developer, owner and manager of retail properties with over 40 years of experience in France, Italy, Poland, Portugal, Spain and Turkey.

Ivanhoe Cambridge is a recognized leader in the Canadian real estate industry. It is one of Canada’s pre-eminent property owners, managers, developers and investors, and its focus is on high-quality shopping centers located in urban areas. Ivanhoe Cambridge is a principal real estate subsidiary of the Caisse de dépôt et placement du Québec, the leading institutional fund manager in Canada.

Ivanhoe Cambridge acquired the 39.5% interest in ERE previously held by another institutional investor. Simon currently owns a 34.7% interest in ERE, with the remaining interest owned by founders of Groupe B.E.G. In the first quarter of 2006, Simon and Ivanhoe Cambridge expect to execute a series of transactions to purchase additional interests from the company’s founders that will result in Simon and Ivanhoe each owning 50% of ERE.

Construction is underway on four development projects in Italy, partially owned by Gallerie Commerciali Italia, the Italian joint venture in which the Company owns a 49% interest. Construction has also commenced on a new development project in Gliwice, Poland, owned by our ERE joint venture.

Acquisitions

On November 18, 2005, the Company and Pennsylvania Real Estate Investment Trust (“PREIT”) announced the acquisition of Springfield Mall in Springfield, Pennsylvania (a 590,000 square foot regional mall located approximately 10 miles southwest of Philadelphia) for approximately $103.5 million. PREIT and an affiliate of Kravco Simon Investments, L.P. each own a 50% interest in the property. The mall is currently anchored by Macy’s and Strawbridge’s and has more than 70 in-line tenants.

On November 22, 2005, the Company announced its acquisition of a 50% interest in Coddingtown Mall for $37 million, including the assumption of approximately $10.5 million of existing mortgage debt. Coddingtown Mall is an 827,000 square foot center located in Santa Rosa, California, approximately 1.5 miles from Simon’s Santa Rosa Plaza. The mall is anchored by JCPenney, Macy’s, and Gottschalk’s.

Dispositions

During the fourth quarter of 2005, the Company continued its program to divest non-core assets with the disposition of 13 properties:

· Cheltenham Square—a regional mall in Philadelphia, Pennsylvania

· Southgate Mall—a regional mall in Yuma, Arizona

· Eastland Mall—a regional mall in Tulsa, Oklahoma

· Biltmore Square—a regional mall in Asheville, North Carolina

· Eight outlet centers—small, non-Premium Outlet centers located in tertiary markets

· The Forum Entertainment Center in Montreal, Canada

These dispositions generated net proceeds to the Company of $105.1 million and a net gain for the Company of $8.2 million.

Financing Activity

On November 15, 2005, the Company announced the closing of a private offering of $1.1 billion of senior notes by its subsidiary Operating Partnership, Simon Property Group, L.P. The offering consisted of $500 million of 5.375% notes due 2011 and $600 million of 5.750% notes due 2015. The notes were offered in a private placement within the United States to qualified institutional buyers pursuant to Rule 144A and outside the United States in accordance with Regulation S under the Securities Act of 1933, as amended. The Operating Partnership used the proceeds to reduce the outstanding balances of existing credit facilities. The Operating Partnership is required to use its best efforts to make an offer to exchange these notes for registered notes with the same economic terms by the end of April 2006. The Operating Partnership also settled certain forward-hedging instruments concurrently with the pricing of this issue. If the proceeds of the settlement to the Operating Partnership were applied to the notes, the effective yield of the 2011 notes would be reduced to 5.37%, 5.65% for the 2015 notes, and 5.52% on a blended basis over the eight-year weighted average maturity.

On December 15, 2005, the Company announced that it had entered into a new unsecured corporate credit facility which increased the Company’s revolving borrowing capacity from $2.0 to $3.0 billion. The facility, which can be increased to $3.5 billion during its term, will mature in January of 2010 and contains a one-year extension at the Company’s option. The base interest rate on the Company’s new facility is LIBOR plus 42.5 basis points, 12.5 basis points lower than the previous credit facility, with the ability to hold auctions and obtain lower pricing for short-term borrowings of up to $1.5 billion. The facility also includes a $750 million multi-currency tranche for Euro, Yen or Sterling borrowings.

2006 Guidance

The Company expects diluted FFO to be within a range of $5.20 to $5.32 per share for the year ending December 31, 2006, and diluted net income to be within a range of $1.71 to $1.83 per share.

The following table provides the reconciliation of the range of estimated diluted net income per share to estimated diluted FFO per share.

For the twelve months ended December 31, 2006	Low End			High End
Estimated diluted net income per share	$	1.71		$	1.83
Depreciation and amortization including our share of joint ventures	3.57			3.57
Impact of additional dilutive securities	(0.08		)	(0.08		)
Estimated diluted FFO per share	$	5.20		$	5.32

Forward-Looking Statements

Estimates of future net income and FFO per share, and other statements regarding future developments and operations, are forward-looking statements within the meaning of the federal securities laws. Forward-looking statements often contain words such as “estimated,” “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” or “will.” Actual results may differ materially from those indicated by forward-looking statements due to a variety of risks and uncertainties. Those risks and uncertainties include, but are not limited to, international, national, regional and local economic climates, competitive market forces, changes in market rental rates, trends in the retail industry, the inability to collect rent due to the bankruptcy or insolvency of tenants or otherwise, risks associated with acquisitions, the impact of terrorist activities, environmental liabilities, pending litigation, maintenance of REIT status, changes in applicable laws, rules and regulations, changes in market rates of interest and fluctuations in exchange rates of foreign currencies. The reader is directed to the Company’s various filings with the Securities and Exchange Commission for a discussion of such risks and uncertainties. The Company undertakes no obligation to publicly update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

Conference Call

The Company will provide an online simulcast of its quarterly conference call at www.simon.com (About Simon section), www.earnings.com, and www.streetevents.com. To listen to the live call, please go to any of these websites at least fifteen minutes prior to the call to register, download and install any necessary audio software. The call will begin at 3:00 p.m. Eastern Standard Time today, February 6, 2006. An online replay will be available for approximately 90 days at www.simon.com, www.earnings.com, and www.streetevents.com.

Supplemental Materials

The Company will publish a supplemental information package which will be available at www.simon.com in the Investor Relations section, Financial Information tab. It will also be furnished to the SEC as part of a current report on Form 8-K. If you wish to receive a copy via mail or email, please call 800-461-3439.

About Simon

Simon Property Group, Inc., headquartered in Indianapolis, Indiana, is a real estate investment trust engaged in the ownership, development and management of retail real estate, primarily regional malls, Premium Outlet® centers and community/lifestyle centers. The Company’s current total market capitalization is approximately $42 billion. Through its subsidiary partnership, it currently owns or has an interest in 286 properties in the United States containing an aggregate of 200 million square feet of gross leasable area in 39 states plus Puerto Rico. Simon also owns interests in 51 European shopping centers in France, Italy, and Poland; 5 Premium Outlet® centers in Japan; and one Premium Outlet® center in Mexico. Additional Simon Property Group information is available at www.simon.com.

SIMON
Consolidated Statements of Operations
Unaudited
(In thousands)

	For the Three Months Ended								For the Twelve Months Ended
	December 31,								December 31,
	2005				2004				2005				2004
REVENUE:
Minimum rent		$	531,196			$	484,050			$	1,937,657			$	1,541,281
Overage rent		39,260				36,653				85,536				66,385
Tenant reimbursements		247,975				220,303				896,901				748,262
Management fees and other revenues		20,835				18,402				77,766				72,737
Other income		50,524				61,969				168,993				156,414
Total revenue		889,790				821,377				3,166,853				2,585,079
EXPENSES:
Property operating		105,749				97,955				421,576				355,719
Depreciation and amortization		232,097				190,656				849,911				607,071
Real estate taxes		73,938				69,135				291,113				244,941
Repairs and maintenance		30,239				23,951				105,489				89,297
Advertising and promotion		34,641				31,916				92,377				68,775
Provision for credit losses		4,796				7,287				8,127				17,010
Home and regional office costs		32,314				29,367				117,374				91,178
General and administrative		4,462				6,143				17,701				16,776
Other		23,387				15,861				57,762				39,469
Total operating expenses		541,623				472,271				1,961,430				1,530,236
OPERATING INCOME		348,167				349,106				1,205,423				1,054,843
Interest expense		204,956				188,005				799,092				653,798
Income before minority interest		143,211				161,101				406,331				401,045
Minority interest		(5,009		)		(2,797		)		(13,743		)		(9,687		)
Income tax expense of taxable REIT subsidiaries		(5,013		)		(932		)		(16,229		)		(11,770		)
Income before unconsolidated entities		133,189				157,372				376,359				379,588
Income from unconsolidated entities		30,762				20,304				81,807				81,113
Loss on sales of interests in unconsolidated entities, net		(13,390		)		—				(838		)		(760		)
Income from continuing operations		150,561				177,676				457,328				459,941
Results of operations from discontinued operations		132				(14,764		)		8,242				(9,829		)
Gain (loss) on disposal or sale of discontinued operations, net		21,560				(37		)		146,945				(252		)
Income before allocation to limited partners		172,253				162,875				612,515				449,860
LESS:
Limited partners’ interest in the Operating Partnership		31,145				30,079				108,686				85,647
Preferred distributions of the Operating Partnership		6,924				6,510				28,080				21,220
NET INCOME		134,184				126,286				475,749				342,993
Preferred dividends		(18,525		)		(18,842		)		(73,854		)		(42,346		)
NET INCOME AVAILABLE TO COMMON STOCKHOLDERS		$	115,659			$	107,444			$	401,895			$	300,647

SIMON
Per Share Data
Unaudited

	For the Three Months Ended								For the Twelve Months Ended
	December 31,								December 31,
	2005				2004				2005				2004
PER SHARE DATA:
Basic Earnings Per Common Share:
Income from continuing operations		$	0.45			$	0.54			$	1.27			$	1.49
Discontinued operations - results of operations and gain on disposal or sale, net		0.08				(0.05		)		0.55				(0.04		)
Net income available to common stockholders		$	0.53			$	0.49			$	1.82			$	1.45
Percentage Change		8.2		%						25.5		%
Diluted Earnings Per Common Share:
Income from continuing operations		$	0.44			$	0.54			$	1.27			$	1.48
Discontinued operations - results of operations and gain on disposal or sale, net		0.08				(0.05		)		0.55				(0.04		)
Net income available to common stockholders		$	0.52			$	0.49			$	1.82			$	1.44
Percentage Change		6.1		%						26.4		%

SIMON
Reconciliation of Net Income to FFO (A)
Unaudited
(In thousands, except as noted)

	For the Three Months Ended								For the Twelve Months Ended
	December 31,								December 31,
	2005				2004				2005				2004
Net Income(B)(C)(D)(E)		$	134,184			$	126,286			$	475,749			$	342,993
Adjustments to Net Income to Arrive at FFO:
Limited partners’ interest in the Operating Partnership and preferred distributions of the Operating Partnership		38,069				36,589				136,766				106,867
Depreciation and amortization from consolidated properties and discontinued operations		230,922				191,577				850,519				615,195
Simon’s share of depreciation and amortization from unconsolidated entities		53,547				58,655				205,981				181,999
(Gain) loss on disposal or sale of discontinued operations, net and loss on sales of interests in unconsolidated entities, net		(8,170		)		37				(146,107		)		1,012
Tax provision related to sale		(1,961		)		(503		)		(428		)		4,281
Minority interest portion of depreciation and amortization		(2,185		)		(2,021		)		(9,178		)		(6,857		)
Preferred distributions and dividends		(25,449		)		(25,352		)		(101,934		)		(63,566		)
FFO of the Simon Portfolio		$	418,957			$	385,268			$	1,411,368			$	1,181,924
Per Share Reconciliation:
Diluted net income per share		$	0.52			$	0.49			$	1.82			$	1.44
Adjustments to net income to arrive at FFO:
Depreciation and amortization from consolidated properties and the Company’s share of depreciation and amortization from unconsolidated entities, net of minority interest portion of depreciation and amortization		1.01				0.88				3.73				2.94
(Gain) loss on disposal or sale of discontinued operations, net and loss on sales of interests in unconsolidated entities, net		(0.03		)		—				(0.52		)		—
Tax provision related to sale		(0.01		)		—				—				0.02
Impact of additional dilutive securities for FFO per share		(0.02		)		(0.01		)		(0.07		)		(0.01		)
Diluted FFO per share		$	1.47			$	1.36			$	4.96			$	4.39
Details for per share calculations:
FFO of the Simon Portfolio		$	418,957			$	385,268			$	1,411,368			$	1,181,924
Adjustments for dilution calculation:
Impact of preferred stock and preferred unit conversions and option exercises (F)		14,247				12,309				56,871				16,132
Diluted FFO of the Simon Portfolio		433,204				397,577				1,468,239				1,198,056
Diluted FFO allocable to unitholders		(86,687		)		(82,602		)		(295,575		)		(259,688		)
Diluted FFO allocable to common stockholders		$	346,517			$	314,975			$	1,172,664			$	938,368
Basic weighted average shares outstanding		219,861				218,009				220,259				207,990
Adjustments for dilution calculation:
Effect of stock options		923				887				871				867
Impact of Series C preferred unit conversion		1,068				1,468				1,086				1,843
Impact of Series I preferred unit conversion		10,812				9,096				10,736				2,286
Impact of Series I preferred stock conversion		3,293				3,018				3,369				759
Diluted weighted average shares outstanding		235,957				232,478				236,321				213,745
Weighted average limited partnership units outstanding		59,028				61,008				59,566				59,086
Diluted weighted average shares and units outstanding		294,985				293,486				295,887				272,831
Basic FFO per share		$	1.50			$	1.38			$	5.04			$	4.42
Percent Increase		8.7		%						14.0		%
Diluted FFO per share		$	1.47			$	1.36			$	4.96			$	4.39
Percent Increase		8.1		%						13.0		%

SIMON
Consolidated Balance Sheets
Unaudited
(In thousands, except as noted)

	December 31,			December 31,
	2005			2004
ASSETS:
Investment properties, at cost	$	21,745,309		$	21,253,761
Less - accumulated depreciation	3,809,293			3,162,523
	17,936,016			18,091,238
Cash and cash equivalents	337,048			520,084
Tenant receivables and accrued revenue, net	357,079			361,590
Investment in unconsolidated entities, at equity	1,562,595			1,920,983
Deferred costs and other assets	938,301			1,176,124
Total assets	$	21,131,039		$	22,070,019
LIABILITIES:
Mortgages and other indebtedness	$	14,106,117		$	14,586,393
Accounts payable, accrued expenses, intangibles, and deferred revenue	1,092,334			1,113,645
Cash distributions and losses in partnerships and joint ventures, at equity	194,476			37,739
Other liabilities, minority interest and accrued dividends	163,524			311,592
Total liabilities	15,556,451			16,049,369
COMMITMENTS AND CONTINGENCIES
LIMITED PARTNERS’ INTEREST IN THE OPERATING PARTNERSHIP	865,565			965,204
LIMITED PARTNERS’ PREFERRED INTEREST IN THE OPERATING PARTNERSHIP	401,727			412,840
STOCKHOLDERS’ EQUITY
CAPITAL STOCK OF SIMON PROPERTY GROUP, INC. (750,000,000 total shares authorized, $.0001 par value, 237,996,000 shares of excess common stock):
All series of preferred stock, 100,000,000 shares authorized, 25,632,122 and 25,434,967 issued and outstanding, respectively, and with liquidation values of $1,081,606 and $1,071,748, respectively	1,080,022			1,062,687
Common stock, $.0001 par value, 400,000,000 shares authorized, 225,165,236 and 222,710,350 issued and outstanding, respectively	23			23
Class B common stock, $.0001 par value, 12,000,000 shares authorized, 8,000 issued and outstanding	—			—
Class C common stock, $.0001 par value, 4,000 shares authorized, issued and outstanding	—			—
Capital in excess of par value	5,030,652			4,993,698
Accumulated deficit	(1,551,179		)	(1,335,436		)
Accumulated other comprehensive income	9,793			16,365
Unamortized restricted stock award	(31,929		)	(21,813		)
Common stock held in treasury at cost, 4,815,655 and 2,415,855 shares, respectively	(230,086		)	(72,918		)
Total stockholders’ equity	4,307,296			4,642,606
Total liabilities and stockholders’ equity	$	21,131,039		$	22,070,019

SIMON
Joint Venture Statements of Operations
Unaudited
(In thousands)

	For the Three Months Ended								For the Twelve Months Ended
	December 31,								December 31,
	2005				2004				2005				2004
REVENUE:
Minimum rent		$	287,333			$	261,125			$	1,063,851			$	942,877
Overage rent		34,265				29,043				82,951				44,151
Tenant reimbursements		151,258				130,370				543,022				480,419
Other income		30,653				23,601				126,845				66,121
Total revenue		503,509				444,139				1,816,669				1,533,568
EXPENSES:
Property operating		83,777				89,304				356,293				294,294
Depreciation and amortization		86,360				83,253				327,946				285,463
Real estate taxes		35,171				31,428				133,853				125,816
Repairs and maintenance		25,054				21,177				83,856				70,436
Advertising and promotion		13,809				13,739				37,591				37,481
Provision for credit losses		1,610				4,586				9,616				11,373
Other		38,022				15,383				120,766				65,730
Total operating expenses		283,803				258,870				1,069,921				890,593
OPERATING INCOME		219,706				185,269				746,748				642,975
Interest expense		104,377				94,594				403,734				370,363
Income Before Gain on Sale of Asset		115,329				90,675				343,014				272,612
Gain on sale of asset		1,423				—				1,423				—
Income Before Unconsolidated Entities		116,752				90,675				344,437				272,612
Loss from unconsolidated entities		—				(1,294		)		(1,892		)		(5,129		)
Income from Continuing Operations		116,752				89,381				342,545				267,483
Income from consolidated joint venture interests(G)		—				1,100				—				19,378
(Loss)/income from discontinued joint venture interests (G)		(1,873		)(H)		1,260				(2,784		)(H)		13,384
(Loss)/gain on disposal or sale of discontinued operations, net		(32,760		)(H)		—				65,599		(H)		4,704
NET INCOME		$	82,119			$	91,741			$	405,360			$	304,949
Third-party investors’ share of net income		$	51,648			$	59,257			$	238,265			$	193,282
Our share of net income		30,471				32,484				167,095				111,667
Amortization of excess investment		12,197				12,180				48,597				30,554
Write-off of investment related to properties sold		902		(H)		—				38,666		(H)		—
Our share of net loss related to properties sold		(13,390		)(H)		—				(1,975		)(H)		—
Income from unconsolidated joint ventures		$	30,762			$	20,304			$	81,807			$	81,113

SIMON
Joint Venture Balance Sheets
Unaudited
(In thousands)

	December 31,			December 31,
	2005			2004
ASSETS:
Investment properties, at cost		$	9,915,521		$	9,429,465
Less - accumulated depreciation		1,951,749			1,745,498
		7,963,772			7,683,967
Cash and cash equivalents		334,714			292,770
Tenant receivables		207,153			209,040
Investment in unconsolidated entities, at equity		135,914			167,182
Deferred costs and other assets		304,825			322,660
Total assets		$	8,946,378		$	8,675,619
LIABILITIES AND PARTNERS’ EQUITY:
Mortgages and other indebtedness		$	7,479,359		$	6,398,312
Accounts payable, accrued expenses and deferred revenue		403,390			373,887
Other liabilities		189,722			179,443
Total liabilities		8,072,471			6,951,642
Preferred units		67,450			67,450
Partners’ equity		806,457			1,656,527
Total liabilities and partners’ equity		$	8,946,378		$	8,675,619
Our Share of:
Total assets		$	3,765,258		$	3,619,969
Partners’ equity		429,942			779,252
Add: Excess Investment(I)		938,177			1,103,992
Our net investment in joint ventures		$	1,368,119		$	1,883,244
Mortgages and other indebtedness		$	3,169,662		$	2,750,327

SIMON
Footnotes to Financial Statements
Unaudited

Notes:

(A) The Company considers FFO a key measure of its operating performance that is not specifically defined by GAAP and believes that FFO is helpful to investors because it is a widely recognized measure of the performance of REITs and provides a relevant basis for comparison among REITs. The Company also uses this measure internally to measure the operating performance of the portfolio. The Company’s computation of FFO may not be comparable to FFO reported by other REITs.

As defined by NAREIT, FFO is consolidated net income computed in accordance with GAAP, excluding real estate related depreciation and amortization, excluding gains and losses from extraordinary items, excluding gains and losses from the sales of real estate, plus the allocable portion of FFO of unconsolidated joint ventures based upon economic ownership interest, and all determined on a consistent basis in accordance with GAAP. The Company has adopted NAREIT’s clarification of the definition of FFO that requires it to include the effects of nonrecurring items not classified as extraordinary, cumulative effect of accounting change or resulting from the sale of depreciable real estate. However, you should understand that FFO does not represent cash flow from operations as defined by GAAP, should not be considered as an alternative to net income determined in accordance with GAAP as a measure of operating performance, and is not an alternative to cash flows as a measure of liquidity.

(B) Includes the Company’s share of gains on land sales of $6.8 million and $21.0 million for the three months ended December 31, 2005 and 2004, respectively, and $32.1 million and $45.4 million for the twelve months ended December 31, 2005 and 2004, respectively.

(C) Includes the Company’s share of straight-line adjustments to minimum rent of $7.2 million and $5.6 million for the three months ended December 31, 2005 and 2004, respectively, and $22.9 million and $10.7 million for the twelve months ended December 31, 2005 and 2004, respectively.

(D) Includes the Company’s share of the fair market value of leases from acquisitions of $22.3 million and $12.8 million for the three months ended December 31, 2005 and 2004, respectively, and $63.5 million and $38.3 million for the twelve months ended December 31, 2005 and 2004, respectively.

(E) Includes the Company’s share of debt premium amortization of $7.3 million and $7.6 million for the three months ended December 31, 2005 and 2004, respectively, and $30.0 million and $13.7 million for the twelve months ended December 31, 2005 and 2004, respectively.

(F) Includes dividends and distributions of Series I preferred stock and Series C and Series I preferred units.

(G) Consolidation occurs when the Company acquires an additional ownership interest in a joint venture and has, as a result, gained control of the joint venture. These interests have been separated from operational interests to present comparative results of operations for those joint ventures held as of December 31, 2005. Discontinued joint venture interests represent those partnership interests that have been sold.

(H) Relates to Metrocenter, a regional mall in Phoenix, Arizona sold on January 11, 2005, and Forum Entertainment Centre, a property located in Montreal, Canada sold on December 22, 2005.

(I) Excess investment represents the unamortized difference of the Company’s investment over equity in the underlying net assets of the partnerships and joint ventures acquired. The Company generally amortizes excess investment over the life of the related properties, typically no greater than 35 years, and the amortization is included in income from unconsolidated entities.