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Form 8-K

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) May 3, 2006

Federal Realty Investment Trust

(Exact name of registrant as specified in its charter)

Maryland

1-07533

52-0782497

(State or other jurisdiction

of incorporation)

(Commission File Number)

(IRS Employer

Identification No.)


1626 East Jefferson Street, Rockville, Maryland		20852-4041
(Address of principal executive offices)		(Zip Code)

Registrant’s telephone number including area code: 301/998-8100

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 (see General Instruction A.2. below):

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

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

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

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

Item 2.02. Results of Operations and Financial Condition.

The following information is being furnished under Item 12-Results of Operations and Financial Condition. This information, including the exhibits attached hereto, shall not be deemed “filed” for any purpose, including for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that Section. The information in this Current Report on Form 8-K shall not be deemed incorporated by reference into any filing under the Securities Act of 1933, as amended, or under the Exchange Act, regardless of any general incorporation language in such filing.

On May 3, 2006, Federal Realty Investment Trust issued supplemental data pertaining to its operations, as well as a press release, to report its financial results for the quarter ended March 31, 2006. The supplemental data and press release are furnished as Exhibit 99.1 hereto.

Item 9.01. Financial Statements and Exhibits.

(c)

Exhibits

99.1

Supplemental information at March 31, 2006 (including press release dated May 3, 2006)

-2-

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 hereunto duly authorized.


		FEDERAL REALTY INVESTMENT TRUST

Date: May 3, 2006		/s/ Larry E. Finger
		Larry E. Finger
		Executive Vice President,
		Chief Financial Officer and Treasurer

-3-

EXHIBIT INDEX


Exh No.		Exhibit
99.1		Supplemental Information at March 31, 2006

-4-

Exhibit 99.1

Exhibit 99.1

FEDERAL REALTY INVESTMENT TRUST

SUPPLEMENTAL INFORMATION

MARCH 31, 2006

TABLE OF CONTENTS


1.	First Quarter 2006 Earnings Press Release	3

2.	Financial Highlights
	Summarized Operating Results	7
	Summarized Balance Sheets	8
	Funds From Operations / Summary of Capital Expenditures	9
	Market Data	10
	Components of Rental Income	11

3.	Summary of Debt
	Summary of Outstanding Debt and Capital Lease Obligations	12
	Summary of Debt Maturities	13

4.	Summary of Redevelopment Opportunities	14

5.	Santana Row Summary	15

6.	2006 Significant Acquisitions and Dispositions	16

7.	Real Estate Status Report	17

8.	Retail Leasing Summary	19

9.	Lease Expirations	20

10.	Portfolio Leased Statistics	21

11.	Summary of Top 25 Tenants	22

12.	Reconciliation of Net Income to FFO Guidance	23

13.	Joint Venture Disclosure
	Summarized Operating Results and Balance Sheets	25
	Summary of Outstanding Debt and Debt Maturities	26
	Real Estate Status Report	27

14.	Glossary of Terms	28

1626 East Jefferson Street

Rockville, Maryland 20852-4041

301/998-8100

Safe Harbor Language

Certain matters discussed within this Supplemental Information may be deemed to be forward-looking statements within the meaning of the federal securities laws. Although Federal Realty believes the expectations reflected in the forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be attained. These factors include, but are not limited to, the risk factors described in our Annual Report on Form 10-K filed on March 3, 2006 (as amended), and include the following:

•

risks that our tenants will not pay rent or that we may be unable to renew leases or re-let space at favorable rents as leases expire;

•

risks that we may not be able to proceed with or obtain necessary approvals for any redevelopment or renovation project, and that completion of anticipated or ongoing property redevelopments or renovations may cost more, take more time to complete, or fail to perform as expected;

•

risks that we may not be able to sell the condominium units at Santana Row for the expected prices or within the anticipated time frames;

•

risks that the number of properties we acquire for our own account, and therefore the amount of capital we invest in acquisitions, may be impacted by our real estate partnership;

•

risks normally associated with the real estate industry, including risks that occupancy levels at our properties and the amount of rent that we receive from our properties may be lower than expected, that new acquisitions may fail to perform as expected, that competition for acquisitions could result in increased prices for acquisitions, that environmental issues may develop at our properties and result in unanticipated costs, and, because real estate is illiquid, that we may not be able to sell properties when appropriate;

•

risks that our growth will be limited if we cannot obtain additional capital;

•

risks of financing, such as our ability to consummate additional financings or obtain replacement financing on terms which are acceptable to us, our ability to meet existing financial covenants and the limitations imposed on our operations by those covenants, and the possibility of increases in interest rates that would result in increased interest expense; and

•

risks related to our status as a real estate investment trust, commonly referred to as a REIT, for federal income tax purposes, such as the existence of complex tax regulations relating to our status as a REIT, the effect of future changes in REIT requirements as a result of new legislation, and the adverse consequences of the failure to qualify as a REIT.

Given these uncertainties, readers are cautioned not to place undue reliance on any forward-looking statements that we make, including those in this Supplemental Information. Except as required by law, we make no promise to update any of the forward-looking statements as a result of new information, future events, or otherwise. You should review the risks contained in our Annual Report on Form 10-K, filed with the Securities and Exchange Commission on March 3, 2006 (as amended).

LOGO

FOR IMMEDIATE RELEASE


Investor and Media Inquiries
Andrew Blocher		Suzanne O’Neill
Vice President, Capital Markets & Investor Relations		Manager, Investor Relations
301/998-8166		301/998-8358
ablocher@federalrealty.com		soneill@federalrealty.com

FEDERAL REALTY INVESTMENT TRUST ANNOUNCES FIRST QUARTER 2006 OPERATING RESULTS

-Increased Occupancy and Redevelopment Stabilizations Drive Strong Internal Growth-

ROCKVILLE, Md. (May 3, 2006) – Federal Realty Investment Trust (NYSE:FRT) today reported operating results for its first quarter ended March 31, 2006.

•

Funds from operations available for common shareholders (FFO) per diluted share was $0.81 and earnings per diluted common share was $0.53 for the quarter ended March 31, 2006, versus $0.74 and $0.40, respectively, for first quarter 2005.

•

When compared to first quarter 2005, same-center property operating income increased 6.4% including redevelopments and expansions, and 5.0% excluding redevelopments and expansions.

•

Rent increases on lease rollovers for retail space for which there was a prior tenant were 16% on a cash-basis and 27% on a GAAP-basis for the quarter ended March 31, 2006.

•

The Trust’s portfolio was 96.2% leased and 94.8% occupied as of March 31, 2006.

•

Guidance for 2006 FFO per diluted share remains unchanged at $3.30 to $3.35.

Financial Results

In first quarter 2006, Federal Realty reported FFO of $43.4 million, or $0.81 per diluted share. This compares to FFO of $39.3 million, or $0.74 per diluted share, reported in first quarter 2005. Net income available for common shareholders was $28.2 million and earnings per diluted common share was $0.53 for the quarter ended March 31, 2006, versus $21.1 million and $0.40, respectively, for first quarter 2005.

FFO is a non-GAAP supplemental earnings measure which the Trust considers meaningful in measuring its operating performance. A reconciliation of FFO to net income is attached to this press release.

Portfolio Results

On a same-center basis, including redevelopments and expansions, property operating income increased 6.4% over first quarter 2005. When redevelopments and expansions are excluded from the same-center results, property operating income increased 5.0% from first quarter 2005.

– MORE –

FEDERAL REALTY INVESTMENT TRUST ANNOUNCES

FIRST QUARTER 2006 OPERATING RESULTS

May 3, 2006

Page 2

Overall, the Trust’s portfolio was 96.2% leased and 94.8% occupied as of March 31, 2006, compared to 95.1% and 91.5%, respectively, on March 31, 2005. Federal Realty’s same-center portfolio was 97.3% leased and 96.4% occupied on March 31, 2006, compared to 96.6% and 95.4%, respectively, on March 31, 2005.

During first quarter 2006, the Trust signed 82 leases for 349,000 square feet of retail space. On a comparable space basis (i.e., spaces for which there was a former tenant), the Trust leased 286,000 square feet at an average cash-basis contractual rent increase per square foot (i.e., excluding the impact of straight-line rents) of 16%. The average contractual rent on this comparable space for the first year of the new lease is $23.05 per square foot compared to the average contractual rent of $19.85 per square foot for the last year of the prior lease. The previous average contractual rent is calculated by including both the minimum rent and the percentage rent actually paid during the last year of the lease term for the re-leased space. On a GAAP basis (i.e., including the impact of straight-line rents), rent increases per square foot for comparable retail space averaged 27% for first quarter 2006. As of March 31, 2006, Federal Realty’s average contractual minimum rent for retail and commercial space in its portfolio is $18.97 per square foot.

“Our first quarter results reflect the continued stabilization of redevelopment projects and the associated increase in occupancy at these properties,” commented Donald C. Wood, president and chief executive officer of Federal Realty Investment Trust. “We continue to focus on our core competencies – leasing, redevelopment, acquisitions and operations – capitalizing on the strength of our portfolio and our team.”

Residential condominium sales at Santana Row, Federal Realty’s mixed-use community in San Jose, Calif., remain strong. Through May 1, 2006, the Trust had closed sales on 189 units and had 19 units under contract, with associated gross sales proceeds of $131.3 million and $12.5 million, respectively. Federal Realty continues to expect gross sales proceeds from the sale of the 219 residential units at Santana Row to be approximately $150 million with sellout anticipated to be completed in 2006.

Guidance

Federal Realty left its guidance for 2006 FFO per diluted share unchanged at a range of $3.30 to $3.35, and its 2006 earnings per diluted common share guidance increased to a range of $1.68 to $1.74.

Summary of Other Quarterly Activities and Recent Developments

•

April 8, 2006 – A ribbon cutting ceremony was held to mark the opening of The Sports Authority sporting goods store at Assembly Square Mall. The grand opening event brings the renovated power center to full occupancy.

– MORE –

FEDERAL REALTY INVESTMENT TRUST ANNOUNCES

FIRST QUARTER 2006 OPERATING RESULTS

May 3, 2006

Page 3

•

March 20, 2006 – Federal Realty celebrated the completion of Phase I of the redevelopment of Leesburg Plaza in Leesburg, Va. The center section of the plaza, formerly a vacant Kmart space, is now anchored by Party City, PetSmart, and Champion Billiards Sports Cafe.

Conference Call Information

Federal Realty’s management team will present an in-depth discussion of the Trust’s operating performance on its first quarter 2006 earnings conference call, which is scheduled for May 4, 2006, at 11 a.m. Eastern Daylight Time. To participate, please call (888) 566-5771 five to ten minutes prior to the call’s start time and use the Passcode EARNINGS (required). The conference leader is Andrew Blocher. Federal Realty will also provide an online Web Simulcast on the Company’s Web site, www.federalrealty.com, which will remain available for 30 days following the call. A telephone recording of the call will also be available through June 5, 2006, by dialing (866) 448-4809.

About Federal Realty

Federal Realty Investment Trust is an equity real estate investment trust specializing in the ownership, management, development, and redevelopment of high quality retail assets. Federal Realty’s portfolio (excluding joint venture properties) contains approximately 17.6 million square feet located primarily in strategic metropolitan markets in the Northeast, Mid-Atlantic, and California. In addition, the Trust has an ownership interest in approximately 0.5 million square feet of retail space through its joint venture with Clarion Lion Properties Fund in which the Trust has a 30% interest. Our operating portfolio (excluding joint venture properties) was 96.2% leased to national, regional, and local retailers as of March 31, 2006, with no single tenant accounting for more than approximately 2.5% of annualized base rent. Federal Realty has paid quarterly dividends to its shareholders continuously since its founding in 1962, and has increased its dividend rate for 38 consecutive years, the longest consecutive record in the REIT industry. Shares of Federal Realty are traded on the NYSE under the symbol FRT.

Safe Harbor Language

Certain matters discussed within this press release may be deemed to be forward-looking statements within the meaning of the federal securities laws. Although Federal Realty believes the expectations reflected in the forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be attained. These factors include, but are not limited to, the risk factors described in our most recent annual report on Form 10-K (as amended), and include the following:

•

risks that our tenants will not pay rent or that we may be unable to renew leases or re-let space at favorable rents as leases expire;

•

risks that we may not be able to sell the condominium units at Santana Row for the expected prices or within the anticipated time frames;

•

risks that the number of properties we acquire for our own account, and therefore the amount of capital we invest in acquisitions, may be impacted by our real estate partnership;

– MORE –

FEDERAL REALTY INVESTMENT TRUST ANNOUNCES

FIRST QUARTER 2006 OPERATING RESULTS

May 3, 2006

Page 4

•

risks that our growth will be limited if we cannot obtain additional capital;

•

Given these uncertainties, readers are cautioned not to place undue reliance on any forward-looking statements that we make, including those in this press release. Except as may be required by law, we make no promise to update any of the forward-looking statements as a result of new information, future events or otherwise. You should carefully review the risks and risk factors included in our most current annual report on Form 10-K (as amended) and our quarterly reports on Form 10-Q.

Federal Realty Investment Trust

Summarized Operating Results

March 31, 2006

Financial Highlights

(in thousands, except per share data)

(unaudited)


	Three months ended March 31,
	2006			2005
CONSOLIDATED OPERATING RESULTS
Revenue
Rental income	$	105,488		$	98,307
Other property income		2,095			1,930
Mortgage interest income		1,322			1,281

		108,905			101,518

Expenses
Rental		22,190			23,191
Real estate taxes		10,611			9,603
General and administrative		4,501			4,502
Depreciation and amortization		24,036			21,929

		61,338			59,225

Operating income		47,567			42,293

Other interest income		263			391
Interest expense		(24,280	)		(22,063	)
Income from real estate partnership		148			71
Minority interests		(1,073	)		(1,516	)

Income from continuing operations		22,625			19,176

Discontinued operations
(Loss) income from discontinued operations		(331	)		539
Gain on sale of real estate		8,737			4,282

Results from discontinued operations		8,406			4,821

Net Income		31,031			23,997

Dividends on preferred stock		(2,869	)		(2,869	)

Net income available for common shareholders	$	28,162		$	21,128

FUNDS FROM OPERATIONS AVAILABLE FOR COMMON SHAREHOLDERS
Net income	$	31,031		$	23,997
Gain on sale of real estate		(8,737	)		(4,282	)
Depreciation and amortization of real estate assets		21,874			20,519
Amortization of initial direct costs of leases		1,739			1,626
Depreciation of real estate partnership assets		165			156

Funds from operations		46,072			42,016
Dividends on preferred stock		(2,869	)		(2,869	)
Income attributable to operating partnership units		233			158

Funds from operations available for common shareholders	$	43,436		$	39,305

Weighted average number of common shares, diluted		53,662			53,179

Funds from operations available for common shareholders per diluted share	$	0.81		$	0.74

EARNINGS PER COMMON SHARE, BASIC
Continuing operations	$	0.37		$	0.31
Discontinued operations		0.16			0.09

	$	0.53		$	0.40

Weighted average number of common shares, basic		52,731			52,190

EARNINGS PER COMMON SHARE, DILUTED
Continuing operations	$	0.37		$	0.31
Discontinued operations		0.16			0.09

	$	0.53		$	0.40

Weighted average number of common shares, diluted		53,254			52,742

Federal Realty Investment Trust

Summarized Balance Sheets

March 31, 2006

Financial Highlights

(in thousands)


	March 31, 2006			December 31, 2005
CONSOLIDATED BALANCE SHEETS
ASSETS

Real estate, at cost
Operating	$	2,774,603		$	2,743,658
Construction-in-progress		55,579			50,593
Discontinued operations		15,254			35,070

		2,845,436			2,829,321
Less accumulated depreciation and amortization		(682,049	)		(663,750	)

Net real estate		2,163,387			2,165,571

Cash and cash equivalents		4,792			8,639
Accounts and notes receivable		39,413			38,161
Mortgage notes receivable		40,368			40,531
Investment in real estate partnership		9,376			9,375
Other assets		90,533			88,575

TOTAL ASSETS	$	2,347,869		$	2,350,852

LIABILITIES AND SHAREHOLDERS’ EQUITY

Liabilities
Obligations under capital leases and mortgage notes	$	418,467		$	419,713
Notes payable		360,210			316,755
Senior notes and debentures		613,316			653,675
Other liabilities		166,683			166,669

Total liabilities		1,558,676			1,556,812

Minority interests		19,480			19,193

Shareholders’ equity
Preferred stock		135,000			135,000
Common shares and other shareholders’ equity		634,713			639,847

Total shareholders’ equity		769,713			774,847

TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$	2,347,869		$	2,350,852

Federal Realty Investment Trust

Funds From Operations / Summary of Capital Expenditures

March 31, 2006


	Three months ended March 31,
	2006			2005
	(in thousands, except per share data)
Funds from Operations available for common shareholders (FFO) (1)

Net income	$	31,031		$	23,997
Gain on sale of real estate		(8,737	)		(4,282	)
Depreciation and amortization of real estate assets		21,874			20,519
Amortization of initial direct costs of leases		1,739			1,626
Depreciation of real estate partnership assets		165			156

Funds from operations		46,072			42,016
Dividends on preferred stock		(2,869	)		(2,869	)
Income attributable to operating partnership units		233			158

Funds from operations available for common shareholders	$	43,436		$	39,305

Weighted average number of common shares, diluted		53,662			53,179

Funds from operations available for common shareholders per diluted share	$	0.81		$	0.74

Summary of Capital Expenditures

Non-maintenance capital expenditures
Development, redevelopment and expansions		13,444			18,492
Tenant improvements and incentives		9,547			2,209

Total non-maintenance capital expenditures		22,991			20,701
Maintenance capital expenditures		215			707

Total capital expenditures	$	23,206		$	21,408

Dividends and Payout Ratios
Regular common dividends declared	$	29,431		$	26,506
Special common dividends declared		10,606			—

Common dividends declared	$	40,037		$	26,506

Dividend payout ratio % - FFO (excluding special dividends) (2)		68	%		67	%

Notes:

(1)	See Glossary of Terms. FFO available for common shareholders excludes the gain on sale of condominiums at Santana Row.

(2)	The sale of condominiums at Santana Row has resulted in special dividends in the fourth quarter of 2005 and the first quarter of 2006.

Federal Realty Investment Trust

Market Data

March 31, 2006


	March 31, 2006			March 31, 2005
	(in thousands, except per share data)
Market data
Common shares outstanding (1)		53,035			52,493
Market price per common share	$	75.20		$	48.35

Common equity market capitalization	$	3,988,232		$	2,538,037

Series B preferred shares outstanding		5,400			5,400
Market price per Series B preferred share	$	25.79		$	26.50

Preferred equity market capitalization	$	139,266		$	143,100

Equity market capitalization	$	4,127,498		$	2,681,137

Total debt (2)		1,391,993			1,359,485

Total market capitalization	$	5,519,491		$	4,040,622

Total debt to market capitalization at then current market price		25	%		34	%

Total debt to market capitalization at constant common share price of $48.35		34	%		34	%

Fixed rate debt ratio:
Fixed rate debt and capital lease obligations		85	%		83	%
Variable rate debt		15	%		17	%

		100	%		100	%

Notes:

(1)

Consists of 54,515,403 shares issued net of 1,480,798 shares held in Treasury as of March 31, 2006. As of March 31, 2005, consists of 53,972,962 shares issued net of 1,480,202 shares held in Treasury. Amounts do not include 420,426 and 449,325 Operating Partnership Units outstanding at March 31, 2006 and March 31, 2005, respectively.

(2)	Total debt includes capital leases and mortgages payable, notes payable, and senior notes and debentures. It does not include the $14.2 million which is the Trust’s 30% share of the total $47.2 million debt of the partnership with Clarion Lion Properties Fund.

Federal Realty Investment Trust

Components of Rental Income

March 31, 2006


	Three months ended March 31,
	2006		2005
	(in thousands)
Components of Rental Income

Minimum rents
Retail and commercial properties (1)	$	79,348	$	73,390
Residential (2)		2,494		1,675
Cost reimbursements		20,473		19,984
Percentage rents		1,934		1,796
Other rental income		1,239		1,462

Total rental income	$	105,488	$	98,307

Notes:

(1)

Minimum rents include $1.4 million and $1.6 million for the three months ended March 31, 2006 and 2005, respectively, to recognize minimum rents on a straight line basis as required by GAAP. Minimum rents include $0.5 million and $0.4 million for the three months ended March 31, 2006 and 2005, to recognize income attributable to market lease adjustments on acquired properties in accordance with SFAS 141.

(2)

Residential minimum rents consist of rents at Rollingwood Apartments, the Crest at Congressional Apartments and the residential units at Santana Row. In the third quarter of 2005, we commenced closing sales of the 219 units located in Buildings Three, Four, and Six which have been classified as discontinued operations. Accordingly, the rental income for all 219 units in Buildings Three, Four, and Six have been excluded for all periods presented to assure comparability of these periods.

Federal Realty Investment Trust

Summary of Outstanding Debt and Capital Lease Obligations

March 31, 2006


	Maturity Date	Interest Rate as of March 31, 2006		Balance as of March 31, 2006
				(in thousands)
Mortgage Loans (a)
*Secured Fixed Rate*
Leesburg Plaza	10/01/08	6.510	%	$	9,849
164 E Houston Street	10/06/08	7.500	%		133
Mercer Mall	04/01/09	8.375	%		4,561
Federal Plaza	06/01/11	6.750	%		34,550
Tysons Station	09/01/11	7.400	%		6,471
Crow Canyon	08/11/13	5.400	%		22,197
Barracks Road	11/01/15	7.950	%		43,052
Hauppauge	11/01/15	7.950	%		16,230
Lawrence Park	11/01/15	7.950	%		30,516
Wildwood	11/01/15	7.950	%		26,823
Wynnewood	11/01/15	7.950	%		31,099
Brick Plaza	11/01/15	7.415	%		31,985
Mount Vernon	04/15/28	5.660	% (b)		12,485

Total Mortgage Loans					269,951

Notes Payable
*Unsecured Fixed Rate*
Perring Plaza Renovation	01/31/13	10.000	%		1,765
Other	various	various			45
*Unsecured Variable Rate*
Revolving credit facility	10/08/06	LIBOR + .75	% (c)		99,000
Term note with banks	10/08/06	LIBOR + .95	%		100,000
Term note with banks	10/08/08	LIBOR + .95	% (d)		150,000
Escondido (Municipal bonds)	10/01/16	3.040	% (e)		9,400

Total Notes Payable					360,210

Senior Notes and Debentures
*Unsecured Fixed Rate*
6.125% Notes	11/15/07	6.325	% (f)		150,000
8.75% Notes	12/01/09	8.750	%		175,000
4.50% Notes	02/15/11	4.500	%		75,000
5.65% Notes	06/01/16	5.650	%		125,000
7.48% Debentures	08/15/26	7.480	% (g)		50,000
6.82% Medium Term Notes	08/01/27	6.820	% (h)		40,000

Subtotal					615,000
Unamortized Debt Discount					(1,684	)

Total Senior Notes and Debentures					613,316

Capital Lease Obligations
Various through 2077 (i)					148,516

Total Debt and Capital Lease Obligations				$	1,391,993


									Weighted Average Effective Rate at March 31, 2006 (j)
Total fixed rate debt and capital lease obligations				$	1,183,593		85	%	7.18	%
Total variable rate debt					208,400		15	%	5.63	%

Total Debt and Capital Leases Obligations				$	1,391,993		100	%	6.95	%


	Three months ended March 31,
	2006	2005
Operational Statistics
Ratio of EBITDA to combined fixed charges and preferred share dividends (k)	2.79x	2.60x
Ratio of Adjusted EBITDA to combined fixed charges and preferred share dividends (k)	2.48x	2.43x

Notes:

(a)	Mortgage loans do not include the Trust’s 30% share ($14.2 million) of the $47.2 million debt of the partnership with Clarion Lion Properties Fund.

(b)	The interest rate is fixed at 5.66% for the first ten years and then will be reset to a market rate. The lender has the option to call the loan on April 15, 2013 or anytime thereafter.

(c)	A $300 million three-year revolving credit facility, with a one-year extension option. The weighted average effective rate was 5.00% for the three months ended March 31, 2006.

(d)	In January 2004, the Trust purchased an interest rate swap on this note thereby locking in the LIBOR portion of the interest rate at 2.401% through October 2006.

(e)	The bonds bear interest at a variable rate determined weekly which would enable the bonds to be remarketed at 100% of their principal amount.

(f)	The Trust purchased an interest rate lock to hedge this note offering. A loss of $1.5 million associated with this hedge is being amortized into the note offering thereby increasing the effective interest rate on these notes to 6.325%.

(g)	Beginning on August 15, 2008, the debentures are redeemable by the holders thereof at the original purchase price of $1,000 per debenture.

(h)	Beginning on August 1, 2007, the notes are redeemable by the holders thereof at the original purchase price of $1,000 per note.

(i)	The average annualized interest rate on capital lease obligations as of March 31, 2006 is 9.09% on a basis of minimum rent and 12.97% including performance-based participation.

(j)	The weighted average effective interest rate includes the amortization of any deferred financing fees and discounts, if applicable, and excludes performance-based rent on capital lease obligations.

(k)

Fixed charges consist of interest on borrowed funds (including capitalized interest), amortization of debt discount and expense and the portion of rent expense representing an interest factor. Preferred share dividends consist of dividends paid on outstanding Series B preferred shares. Adjusted EBITDA is reconciled to net income in the Glossary of Terms.

Federal Realty Investment Trust

Summary of Debt Maturities

March 31, 2006

DEBT MATURITIES

(in thousands)


Year	Scheduled Amortization		Maturities		Total			Percent of Debt Maturing		Cumulative Percent of Debt Maturing
2006	$	3,773	$	199,000	$	202,773	(1)	14.5	%	14.5	%
2007		5,747		150,000		155,747		11.2	%	25.7	%
2008		6,150		159,542		165,692		11.9	%	37.6	%
2009		6,505		179,394		185,899		13.3	%	50.9	%
2010		6,996		—		6,996		0.5	%	51.4	%
2011		7,083		112,252		119,335		8.6	%	60.0	%
2012		7,195		—		7,195		0.5	%	60.5	%
2013		7,260		19,156		26,416		1.9	%	62.4	%
2014		7,454		—		7,454		0.5	%	62.9	%
2015		7,201		145,807		153,008		11.0	%	73.9	%
Thereafter		138,762		224,400		363,162		26.1	%	100.0	%

Total	$	204,126	$	1,189,551	$	1,393,677	(2)	100.0	%

Notes:

(1)	Maturities in 2006 include a $100 million term loan and $99 million drawn under the Trust’s $300 million three-year revolving credit facility.

(2)	The total debt maturities differs from the total reported on the consolidated balance sheet due to the unamortized discount on certain senior notes and debentures.

Federal Realty Investment Trust

Summary of Redevelopment Opportunities

March 31, 2006

Current Redevelopment Opportunities (1) ($ millions)


Property	Location	Opportunity	Projected ROI (2)		Projected Cost (1)		Cost to Date
Projects Anticipated to Stabilize in 2006 (3)

Santana Phase IV	San Jose, CA	Building 7 residential re-build	10	%	$	71	$	62
Mount Vernon / South Valley	Alexandria, VA	Grocer expansion, small shop re-tenanting, site improvements, addition of five pad site buildings and three anchors.	11	%	$	35	$	30
Leesburg Plaza	Leesburg, VA	Demolish, redevelop and re-tenant the former Kmart & Peebles.	10	%	$	14	$	13
Village of Shirlington - Phase II	Arlington, VA	Ground floor retail and parking garage as part of urban mixed-use development (by others)	12	%	$	7	$	4
Brick Plaza	Brick, NJ	Re-tenanting (electronics)	8	%	$	2	$	2
Hauppauge Shopping Center	Hauppauge, NY	Panera Café pad site	10	%	$	1	$	0
Barracks Road Shopping Center	Charlottesville, VA	Chipotle pad site	12	%	$	1	$	<1

Subtotal: Projects Anticipated to Stabilize in 2006 (3) (4)			11	%	$	131	$	112

Projects Anticipated to Stabilize in 2007 (3)

Rockville Town Square	Rockville, MD	Ground floor retail as part of urban mixed-use development (by others)	13	%	$	39	$	12
Mercer Mall	Lawrenceville, NJ	Demolish, redevelop and re-tenant	11	%	$	20	$	15
Willow Lawn	Richmond, VA	Anchor re-tenanting, small shop demolition, façade renovation, and site improvements	9	%	$	20	$	8
Loehmann’s Plaza	Falls Church, VA	Grocer expansion, anchor relocation, façade renovation and site improvements	13	%	$	12	$	4
Leesburg Plaza - Pads	Leesburg, VA	Two new retail buildings and a bank pad site will be added	13	%	$	5	$	<1

Subtotal: Projects Anticipated to Stabilize in 2007 (3) (4)			12	%	$	96	$	40

Total: Projects Anticipated to Stabilize in 2006 and 2007 (3) (4)			11	%	$	227	$	152

Redevelopments anticipated to stabilize in 2008 and 2009 include the next phase of Bethesda Row, the next phase of the Village at Shirlington, Galaxy Building and Flourtown representing approximately $100 million of redevelopment capital. The Trust has a pipeline of potential, future redevelopment projects including Pike 7 and Westgate Mall and future phases of Santana Row, Assembly Square and Bala Cynwyd. (3) (5)

Notes:

(1)

These current redevelopment opportunities are being pursued by the Trust. There is no guaranty that the Trust will ultimately complete any or all of these opportunities, that the Projected Return on Investment (ROI) or Projected Costs will be the amounts shown or that stabilization will occur as anticipated. The projected ROI and Projected Cost are management’s best estimate based on current information and may change over time.

(2)

Projected ROI reflects only the deal specific cash, unleveraged Incremental Property Operating Income (POI) generated by the redevelopment and is calculated as Incremental POI divided by cost. Incremental POI is the POI generated by the redevelopment after deducting rent being paid for the redevelopment space and any other space taken out of service to accomodate the redevelopment. Projected ROI does NOT include peripheral impacts, such as the impact on future lease rollovers at the property or the impact on the long-term value of the property. ROI for Mount Vernon/South Valley and Mercer Mall (properties acquired on the basis of redevelopment potential) are calculated as the increase in POI between acquisition and stabilization divided by the increase in cost basis between acquisition and stabilization.

(3)	Anticipated Stabilization is the year in which 95% occupancy of the redeveloped space is anticipated to be achieved.

(4)	All subtotals and totals reflect cost weighted-average ROIs.

(5)	These future redevelopment opportunities are being explored by the Trust. There is no guaranty that the Trust will ultimately pursue or complete any or all of these opportunities.

Federal Realty Investment Trust

Santana Row Summary (1)

March 31, 2006


Description		Comments
Operational - Phases I, II and III (2) (5)
Retail	563,000 sf	Retail was 94% leased as of March 31, 2006.

Residential	36 units	36 townhouse rental units in Building Eight were 83% leased on March 31, 2006, as we are allowing vacancy to occur to accommodate construction schedules of prospective buyers of residential entitlements.

In Progress (3) (5)
Residential - for rent Phase IV	259 units	259 rental units being built on the Building Seven podium. Initial occupancy commenced in April 2005 with lease-up expected to continue through 2006. As of March 31, 2006, 174 units (59 townhomes and 115 flats) have been leased at an average rental rate of $2.59 per square foot per month (prior to concessions). Projected cost of $71 million is expected to yield 10% upon stabilization in 2006.

Residential - for sale	219 units	Closings on the sale of loft and villa units commenced in August 2005. Projected gross sales proceeds remain approximately $150 million. (4)

Commitments/Closings: (as of May 1, 2006)		189 units have been closed, with associated gross sales proceeds of $131.3 million. 19 units are under binding contracts, with associated gross sales proceeds of $12.5 million.


	Units Closed	Units Under Contract	Units Remaining
Building Three (98 lofts)	76	13	9
Building Four (100 lofts)	93	6	1
Building Six (21 villas)	20	0	1

Total	189	19	11


Future (6)
Retail	125,000 sf	Currently being master planned.

Residential	687 units	Currently being master planned.

Hotel	191 rooms	Currently being master planned.

Notes:

(1)

All costs are projected final costs. Yield represents stabilized projected Property Operating Income divided by projected final costs.

(2)

The portions of the property currently open and operating which include luxury and lifestyle retail components, townhome residential units, and the 213-room Hotel Valencia Santana Row.

(3)

Developments and other significant activities being actively pursued at Santana Row.

(4)

Projected gross sales proceeds represent management’s current estimate of total sales prices for the 219 units expected to be sold without taking into account any costs of sale, including, without limitation, any income taxes that may be paid.

(5)

$432 million of projected costs at Santana Row is expected to yield 7% upon both of the following having occurred: (1) stabilization of Phases I - IV (net of insurance proceeds), and (2) completion of the sale of 219 condominiums expected in 2006. The projected cost includes $11 million invested in joint ventures at Santana Row.

(6)

Remaining entitlements for development or sale.

Federal Realty Investment Trust

2006 Significant Acquisitions and Dispositions

Through March 31, 2006

Federal Realty Investment Trust Acquisitions


Date	Property	City / State	GLA	Purchase price		Anchor tenants
				(in millions)
January 20, 2006	4900 Hampden Lane (1)	Bethesda, MD	35,000	$	12.0	Washington Sports Club
January 27, 2006	7770 Richmond Highway	Alexandria, VA	60,000		9.9	Gold’s Gym

	Total		95,000	$	21.9


Federal Realty Investment Trust Dispositions

Date	Property	City / State	GLA	Sales price
				(in millions)
January - March 2006	Santana Row condominiums	San Jose, CA	49 units	$	35.0

	Total			$	35.0

Notes:

(1)	4900 Hampden Lane is a fully-leased retail parcel adjacent to Betheseda Row and is included in Bethesda Row on the Real Estate Status Report.

Federal Realty Investment Trust

Real Estate Status Report

March 31, 2006


Property Name	MSA Description	Year Acquired	Total Investment		Mortgage or Capital Lease Obligation		GLA (1)	% Leased		% Occupied (2)		Average Rent PSF (3)		Grocery Anchor GLA (4)	Grocery Anchor (4)	Other Principal Tenants
			(in thousands)		(in thousands)
East Region
Washington Metropolitan Area
Bethesda Row (5)	Washington, DC-MD-VA	1993-2006	$	96,147	$	12,576	476,000	98	%	98	%	$	35.11	40,000	Giant Food	Barnes & Noble / Landmark Theater / Washington Sports Club
Congressional Plaza (6)	Washington, DC-MD-VA	1965		68,483			338,000	99	%	99	%		27.57	28,000	Whole Foods	Buy Buy Baby / Container Store / Tower Records
Courthouse Center (7)	Washington, DC-MD-VA	1997		4,596			38,000	97	%	97	%		15.65
Falls Plaza	Washington, DC-MD-VA	1967		8,165			73,000	100	%	100	%		23.64	51,000	Giant Food
Falls Plaza-East	Washington, DC-MD-VA	1972		3,386			71,000	100	%	100	%		24.19			CVS / Staples
Federal Plaza	Washington, DC-MD-VA	1989		62,231		34,550	247,000	100	%	100	%		26.32			TJ Maxx / CompUSA / Ross
Friendship Center	Washington, DC-MD-VA	2001		33,309			119,000	100	%	100	%		23.38			Borders / Linens ‘n Things / Maggiano’s
Gaithersburg Square	Washington, DC-MD-VA	1993		23,799			196,000	98	%	98	%		20.06			Bed, Bath & Beyond / Borders / Ross
Idylwood Plaza	Washington, DC-MD-VA	1994		15,088			73,000	100	%	100	%		34.58	30,000	Whole Foods
Laurel	Washington, DC-MD-VA	1986		46,060			387,000	98	%	98	%		16.26	61,000	Giant Food	Marshalls / Toys R Us
Leesburg Plaza (7)	Washington, DC-MD-VA	1998		29,997		9,849	236,000	92	%	89	%		17.55	55,000	Giant Food	Champion Billiards / Petsmart / Pier One / Office Depot
Loehmann’s Plaza	Washington, DC-MD-VA	1983		24,266			250,000	100	%	83	%		19.34			Bally’s / Loehmann’s
Mid-Pike Plaza (8)	Washington, DC-MD-VA	1982		17,786		10,041	309,000	100	%	100	%		21.41			Linens ’n Things / Toys R Us / Bally’s / AC Moore / Filene’s Basement

Mount Vernon (7)	Washington, DC-MD-VA	2003		42,707		12,485	279,000	100	%	97	%		17.82	54,000	Shoppers Food Warehouse	Bed, Bath & Beyond / Michaels
Old Keene Mill	Washington, DC-MD-VA	1976		5,356			92,000	100	%	100	%		24.13	24,000	Whole Foods
Pan Am	Washington, DC-MD-VA	1993		27,138			227,000	100	%	100	%		15.60	63,000	Safeway	Micro Center / Michaels
Pentagon Row	Washington, DC-MD-VA	1999		87,387			296,000	99	%	99	%		31.01	45,000	Harris Teeter	Bally’s / Bed, Bath & Beyond / DSW / Cost Plus
Pike 7	Washington, DC-MD-VA	1997		33,712			164,000	100	%	100	%		27.56			Staples / TJ Maxx / Tower Records
Quince Orchard	Washington, DC-MD-VA	1993		19,894			252,000	99	%	99	%		18.88	24,000	Magruders	Circuit City / Staples
Rockville Town Square (9)	Washington, DC-MD-VA	N/A		4,954			N/A	N/ A		N/ A			N/A
Rollingwood Apartments	Washington, DC-MD-VA	1971		6,805			N/A	93	%	93	%		N/A
Sam’s Park & Shop	Washington, DC-MD-VA	1995		12,170			49,000	100	%	100	%		34.15			Petco
South Valley (7)	Washington, DC-MD-VA	2003		21,678			221,000	95	%	92	%		8.53			Home Depot / TJ Maxx
Tower	Washington, DC-MD-VA	1998		18,988			109,000	90	%	90	%		20.41			Virginia Fine Wine / Talbots
Tyson’s Station	Washington, DC-MD-VA	1978		3,429		6,471	50,000	97	%	97	%		33.42			Trader Joes
Village at Shirlington	Washington, DC-MD-VA	1995		34,665			201,000	97	%	97	%		24.88			Cineplex Odeon / Carlyle Grand Café
Wildwood	Washington, DC-MD-VA	1969		17,504		26,823	85,000	100	%	100	%		62.99	20,000	Balducci’s	CVS
7770 Richmond Hwy	Washington, DC-MD-VA	2006		10,020			61,000	100	%	100	%		11.29			Gold’s Gym

	Total Washington Metropolitan Area			779,720			4,899,000	98	%	97	%		23.68

New York / New Jersey
Allwood (8)	Bergen-Passaic, NJ	1988		3,883		3,058	50,000	100	%	100	%		22.00	50,000	Stop & Shop
Blue Star (8)	Middlesex-Somerset-Hunterdon, NJ	1988		36,675		23,341	410,000	99	%	98	%		11.28	43,000	Shop Rite	Kohl’s / Michaels / Toys R Us / Marshalls
Brick Plaza	Monmouth-Ocean, NJ	1989		55,779		31,985	409,000	100	%	100	%		14.10	66,000	A&P	Loews Theatre / Barnes & Noble / Sports Authority
Brunswick (8)	Middlesex-Somerset-Hunterdon, NJ	1988		22,381		9,717	303,000	96	%	96	%		11.52	55,000	A&P	A.J. Wright / L.A. Fitness
Clifton (8)	Bergen-Passaic, NJ	1988		5,052		2,844	80,000	99	%	96	%		15.20			Drug Fair / Dollar Express
Forest Hills	New York, NY	1997		24,036			85,000	100	%	100	%		32.38			Midway Theatre / Duane Reade / Gap
Fresh Meadows	New York, NY	1997		66,094			403,000	95	%	95	%		22.54			Filene’s Basement / Kohl’s / Cineplex Odeon
Greenlawn Plaza	Nassau-Suffolk, NY	2000		11,981			102,000	100	%	100	%		14.69	46,000	Waldbaum’s
Hamilton (8)	Trenton, NJ	1988		7,733		4,216	190,000	94	%	94	%		8.72	53,000	Shop Rite	AC Moore / Stevens Furniture
Hauppauge	Nassau-Suffolk, NY	1998		26,774		16,230	131,000	99	%	98	%		21.15	61,000	Shop Rite	AC Moore
Huntington (8)	Nassau-Suffolk, NY	1988		21,072		12,478	279,000	100	%	100	%		17.85			Buy Buy Baby / Toys R Us / Bed, Bath & Beyond / Barnes & Noble

Mercer Mall (8)	Trenton, NJ	2003		98,038		58,644	499,000	91	%	89	%		18.23	75,000	Shop Rite	Bed, Bath & Beyond / DSW / TJ Maxx / Raymour & Flanigan
Rutgers (8)	Middlesex-Somerset-Hunterdon, NJ	1988		15,091		11,256	267,000	97	%	97	%		8.01	74,000	Stop & Shop	Kmart
Troy	Newark, NJ	1980		20,143			202,000	100	%	93	%		16.52	64,000	Pathmark	AC Moore / Comp USA / Toys R Us

	Total New York / New Jersey			414,732			3,410,000	97	%	96	%		15.72

Philadelphia Metropolitan Area
Andorra	Philadelphia, PA-NJ	1988		23,002			267,000	99	%	99	%		12.66	24,000	Acme Markets	Kohl’s / Staples / L.A. Fitness
Bala Cynwyd	Philadelphia, PA-NJ	1993		26,058			280,000	100	%	100	%		13.20	45,000	Acme Markets	Lord & Taylor / L.A. Fitness
Ellisburg Circle	Philadelphia, PA-NJ	1992		29,077			267,000	100	%	100	%		13.55	47,000	Genuardi’s	Bed, Bath & Beyond / Stein Mart
Feasterville	Philadelphia, PA-NJ	1980		11,634			111,000	97	%	97	%		12.80	53,000	Genuardi’s	OfficeMax
Flourtown	Philadelphia, PA-NJ	1980		9,238			187,000	52	%	52	%		17.90	42,000	Genuardi’s
Langhorne Square	Philadelphia, PA-NJ	1985		17,891			216,000	89	%	89	%		13.77	55,000	Redner’s Warehouse Mkts.	Marshalls
Lawrence Park	Philadelphia, PA-NJ	1980		28,406		30,516	354,000	99	%	99	%		16.24	53,000	Acme Markets	CHI / TJ Maxx / CVS
Northeast	Philadelphia, PA-NJ	1983		22,116			287,000	92	%	92	%		10.49			Burlington Coat / Marshalls / Tower Records
Willow Grove	Philadelphia, PA-NJ	1984		26,547			215,000	100	%	100	%		17.12			Barnes & Noble / Marshalls / Toys R Us
Wynnewood	Philadelphia, PA-NJ	1996		35,616		31,099	255,000	98	%	98	%		22.14	98,000	Genuardi’s	Bed, Bath & Beyond / Borders / Old Navy

	Total Philadelphia Metropolitan Area			229,585			2,439,000	94	%	94	%		14.90

Boston
Assembly Square/Sturtevant Street	Boston-Worcester-Lawrence-Lowell-Brockton, MA	2005-2006		106,806			552,000	100	%	100	%		13.29			AC Moore / Bed, Bath & Beyond / Christmas Tree Shops / Kmart / Staples / Sports Authority / TJ Maxx
Dedham Plaza	Boston-Worcester-Lawrence-Lowell-Brockton, MA	1993		29,887			241,000	95	%	93	%		14.94	80,000	Star Market	Pier One
Queen Anne Plaza	Boston-Worcester-Lawrence-Lowell-Brockton, MA	1994		15,000			149,000	100	%	100	%		14.47	50,000	Victory Supermarket	TJ Maxx
Saugus Plaza	Boston-Worcester-Lawrence-Lowell-Brockton, MA	1996		13,534			171,000	100	%	100	%		10.38	55,000	Super Stop & Shop	Kmart

	Total Boston			165,227			1,113,000	99	%	99	%		13.34

Federal

Realty Investment Trust

Real Estate Status Report

March 31, 2006


Property Name	MSA Description	Year Acquired	Total Investment		Mortgage or Capital Lease Obligation		GLA (1)	% Leased		% Occupied (2)		Average Rent PSF (3)		Grocery Anchor GLA (4)	Grocery Anchor (4)	Other Principal Tenants
			(in thousands)		(in thousands)
Chicago
Crossroads	Chicago, IL	1993		22,495			173,000	96	%	96	%		18.01			Comp USA / Golfsmith / Guitar Center
Finley Square	Chicago, IL	1995		28,936			315,000	98	%	98	%		9.03			Bed, Bath & Beyond / Sports Authority
Garden Market	Chicago, IL	1994		11,179			140,000	96	%	96	%		11.89	63,000	Dominick’s	Walgreens
North Lake Commons	Chicago, IL	1994		13,085			129,000	96	%	96	%		13.57	77,000	Dominick’s

	Total Chicago			75,695			757,000	97	%	97	%		12.39

East Region - Other
Barracks Road	Charlottesville, VA	1985		41,422		43,051	483,000	99	%	99	%		16.97	91,000	Harris Teeter / Kroger	Bed, Bath & Beyond / Barnes & Noble / Old Navy
Bristol Plaza	Hartford, CT	1995		23,664			277,000	96	%	95	%		10.46	74,000	Stop & Shop	TJ Maxx
Eastgate	Raleigh-Durham-Chapel Hill, NC	1986		17,129			157,000	88	%	87	%		15.19	23,000	Earth Fare	Stein Mart
Governor Plaza	Baltimore, MD	1985		18,466			268,000	86	%	78	%		13.67			Bally’s / Comp USA / Office Depot
Gratiot Plaza	Detroit, MI	1973		18,061			217,000	100	%	100	%		11.11	69,000	Farmer Jacks	Bed, Bath & Beyond / Best Buy / DSW
Greenwich Avenue	New Haven-Bridgeport-Stamford-Waterbury	1995		15,993			42,000	100	%	100	%		50.87			Saks Fifth Avenue
Lancaster (8)	Lancaster, PA	1980		10,819		4,907	107,000	100	%	100	%		13.01	39,000	Giant Food	Michaels
Perring Plaza	Baltimore, MD	1985		26,323			402,000	100	%	97	%		11.88	58,000	Shoppers Food Warehouse	Home Depot / Burlington Coat Factory / Jo-Ann Stores
Shops at Willow Lawn	Richmond-Petersburg, VA	1983		67,540			467,000	88	%	77	%		15.25	60,000	Kroger	Old Navy / Tower Records / Staples

	Total East Region - Other			239,417			2,420,000	95	%	91	%		14.46

	Total East Region			1,904,376			15,038,000	97	%	95	%		17.68

West Region California
Colorado Blvd	Los Angeles-Long Beach, CA	1996-1998		16,695			69,000	98	%	98	%		32.51			Pottery Barn / Banana Republic
Crow Canyon (10)	San Ramon, CA	2005		50,865		22,197	225,000	97	%	97	%		16.99	58,000	Albertson’s	Loehmann’s / Rite Aid
Escondido (11)	San Diego, CA	1996		25,945			222,000	100	%	100	%		20.40			Cost Plus / TJ Maxx / Toys R Us
Fifth Ave (12)	San Diego, CA	1996-1997		12,690			51,000	100	%	100	%		24.92			Urban Outfitters
Hermosa Ave (13)	Los Angeles-Long Beach, CA	1997		4,721			23,000	100	%	100	%		30.58
Hollywood Blvd (13)	Los Angeles-Long Beach, CA	1999		30,159			149,000	78	%	41	%		8.26			Hollywood Entertainment Museum
Kings Court (7)	San Jose, CA	1998		11,506			79,000	100	%	100	%		24.14	25,000	Lunardi’s Super Market	Longs Drug Store
Old Town Center	San Jose, CA	1997		33,360			95,000	99	%	99	%		27.26			Borders / Gap Kids / Banana Republic
Santana Row (Phase I, II & III)	San Jose, CA	1997		466,784			563,000	94	%	94	%		42.66			Crate & Barrel / Container Store / Best Buy / Borders / CineArts Theatre
Third St Promenade (14)	Los Angeles-Long Beach, CA	1996-2000		75,429			211,000	100	%	100	%		51.25			J. Crew / Banana Republic / Old Navy / Abercrombie & Fitch
Westgate	San Jose, CA	2004		114,992			646,000	97	%	97	%		11.82	38,000	Safeway	Target / Burlington Coat Factory / Barnes & Noble / Ross
150 Post Street	San Francisco, CA	1997		36,504			101,000	88	%	88	%		47.21			Brooks Brothers

	Total California			879,650			2,434,000	96	%	93	%		27.27

West Region - Other
Houston St	San Antonio, TX	1998		61,410		133	171,000	67	%	67	%		17.41			Hotel Valencia

	Total West Region			941,060			2,605,000	94	%	92	%		26.79

Grand Total			$	2,845,436	$	418,467	17,643,000	96	%	95	%	$	18.97

Notes:

(1)	Excludes newly created redevelopment square footage not yet in service, as well as residential and hotel square footage.

(2)	For purposes of this schedule, “occupied” refers to spaces where the lease term and obligation to pay rent have commenced.

(3)	Calculated as the aggregate, annualized in-place contractual (cash basis) minimum rent for all occupied spaces divided by the aggregate GLA of all occupied spaces.

(4)	Grocery anchor is defined as a grocery tenant leasing 15,000 square feet or more.

(5)	Portion of property subject to capital lease obligation.

(6)	Total investment includes dollars associated with the 146 units of The Crest at Congressional. The Trust has a 64.1% ownership interest in the property.

(7)	Property owned in a “downreit” partnership, of which a wholly owned subsidiary of the Trust is the sole general partner, with third party partners holding operating partnership units.

(8)	Property subject to capital lease obligation.

(9)	Currently under contract to acquire the retail square footage upon completion of development.

(10)	Property is currently parked with a Section 1031 exchange agent for a potential “reverse” exchange.

(11)	The Trust has a 70% ownership interest in the property.

(12)	Consists of four properties, three owned 100% by the Trust and one in which the Trust has a 90% ownership interest.

(13)	The Trust has a 90% ownership interest in the property.

(14)	Consists of nine properties, eight owned 100% by the Trust and one in which the Trust has a 90% ownership interest.

Federal Realty Investment Trust

Retail Leasing Summary (1)

March 31, 2006

Renewal Lease Summary - Comparable (2) (7)


Quarter	Number of Leases Signed	% of Comparable Leases Signed		GLA Signed	Contractual Rent (3) Per Sq. Ft.		Prior Rent (4) Per Sq. Ft.		Annual Increase in Rent		Cash Basis % Increase Over Prior Rent		Straight-lined Basis % Increase Over Prior Rent		Weighted Average Lease Term (5)	Tenant Improvements & Incentives (6)		Tenant Improvements & Incentives Per Sq. Ft.
1st Quarter 2006	48	75	%	208,579	$	24.28	$	21.72	$	533,573	12	%	22	%	5.4	$	462,906	$	2.22
4th Quarter 2005	55	66	%	266,018	$	19.78	$	18.31	$	389,590	8	%	18	%	5.2	$	2,522,399	$	9.48
3rd Quarter 2005	49	61	%	197,246	$	24.64	$	23.10	$	303,787	7	%	17	%	6.0	$	469,514	$	2.38
2nd Quarter 2005	47	66	%	121,201	$	28.51	$	26.12	$	289,432	9	%	18	%	4.9	$	267,390	$	2.21

Total - 12 months	199	67	%	793,044	$	23.50	$	21.59	$	1,516,382	9	%	19	%	5.4	$	3,722,209	$	4.69


New Lease Summary - Comparable (2)

Quarter	Number of Leases Signed	% of Comparable Leases Signed		GLA Signed	Contractual Rent (3) Per Sq. Ft.		Prior Rent (4) Per Sq. Ft.		Annual Increase in Rent		Cash Basis % Increase Over Prior Rent		Straight-lined Basis % Increase Over Prior Rent		Weighted Average Lease Term (5)	Tenant Improvements & Incentives (6)		Tenant Improvements & Incentives Per Sq. Ft.
1st Quarter 2006	16	25	%	77,625	$	19.76	$	14.85	$	380,698	33	%	43	%	7.1	$	1,084,565	$	13.97
4th Quarter 2005	28	34	%	187,935	$	24.40	$	17.98	$	1,206,955	36	%	50	%	12.7	$	3,764,025	$	20.03
3rd Quarter 2005	31	39	%	197,380	$	23.86	$	17.27	$	1,300,320	38	%	52	%	13.6	$	5,405,665	$	27.39
2nd Quarter 2005	24	34	%	120,207	$	32.37	$	19.10	$	1,594,789	69	%	95	%	12.8	$	1,775,952	$	14.77

Total - 12 months	99	33	%	583,147	$	25.24	$	17.55	$	4,482,762	44	%	60	%	12.4	$	12,030,207	$	20.63


Total Lease Summary - Comparable (2)

Quarter	Number of Leases Signed	% of Comparable Leases Signed		GLA Signed	Contractual Rent (3) Per Sq. Ft.		Prior Rent (4) Per Sq. Ft.		Annual Increase in Rent		Cash Basis % Increase Over Prior Rent		Straight-lined Basis % Increase Over Prior Rent		Weighted Average Lease Term (5)	Tenant Improvements & Incentives (6)		Tenant Improvements & Incentives Per Sq. Ft.
1st Quarter 2006	64	100	%	286,204	$	23.05	$	19.85	$	914,271	16	%	27	%	5.8	$	1,547,471	$	5.41
4th Quarter 2005	83	100	%	453,953	$	21.69	$	18.17	$	1,596,545	19	%	31	%	8.7	$	6,286,424	$	13.85
3rd Quarter 2005	80	100	%	394,626	$	24.25	$	20.19	$	1,604,107	20	%	32	%	9.7	$	5,875,179	$	14.89
2nd Quarter 2005	71	100	%	241,408	$	30.43	$	22.63	$	1,884,221	34	%	51	%	9.0	$	2,043,342	$	8.46

Total - 12 months	298	100	%	1,376,191	$	24.24	$	19.88	$	5,999,144	22	%	35	%	8.5	$	15,752,416	$	11.45

Total Lease Summary - Comparable and Non-comparable (2)


Quarter	Number of Leases Signed	GLA Signed	Contractual Rent (3) Per Sq. Ft.		Weighted Average Lease Term (5)	Tenant Improvements & Incentives (6)		Tenant Improvements & Incentives Per Sq. Ft.
1st Quarter 2006	82	349,369	$	25.08	7.2	$	5,204,611	$	14.90
4th Quarter 2005	107	532,500	$	23.64	9.4	$	8,738,711	$	16.41
3rd Quarter 2005	93	441,018	$	24.70	9.8	$	7,049,748	$	15.99
2nd Quarter 2005	84	268,926	$	30.78	9.1	$	2,965,405	$	11.03

Total - 12 months	366	1,591,813	$	25.46	8.9	$	23,958,475	$	15.05

Notes:

(1)	Leases on this report represent retail activity only; office and residential leases are not included.

(2)	Comparable leases represent those leases signed on spaces for which there was a former tenant. Non-comparable leases represent those leases signed on spaces for which there was no former tenant, or expansion square footage for leases rolling over for which there was no former tenant.

(3)	Contractual Rent represents contractual Minimum Rent under the new lease for the first 12 months of the term.

(4)	Prior Rent represents Minimum Rent and Percentage Rent paid by the prior tenant in the final 12 months of the term.

(5)	Weighted average is determined on the basis of square footage.

(6)	See Glossary of Terms.

(7)	Renewal leases represent expiring leases rolling over with the same tenant. All other leases are categorized as new.

Federal Realty Investment Trust

Lease Expirations

March 31, 2006

Assumes no exercise of lease options


	Anchor Tenants (1)					Small Shop Tenants					Total
Year	Expiring SF	% of Anchor SF		Minimum Rent PSF (2)		Expiring SF	% of Small Shop SF		Minimum Rent PSF (2)		Expiring SF	% of Total SF		Minimum Rent PSF (2)
2006	151,000	2	%	$	9.19	484,000	7	%	$	23.25	635,000	4	%	$	19.90
2007	852,000	9	%	$	8.43	955,000	14	%	$	24.99	1,808,000	11	%	$	17.18
2008	878,000	9	%	$	11.20	966,000	14	%	$	23.19	1,844,000	11	%	$	17.48
2009	1,153,000	12	%	$	11.70	1,004,000	15	%	$	26.25	2,157,000	13	%	$	18.47
2010	677,000	7	%	$	12.52	891,000	13	%	$	25.56	1,568,000	9	%	$	19.93
2011	620,000	6	%	$	15.79	827,000	12	%	$	28.79	1,447,000	9	%	$	23.22
2012	758,000	8	%	$	11.58	463,000	7	%	$	31.45	1,220,000	7	%	$	19.12
2013	563,000	6	%	$	14.93	284,000	4	%	$	32.83	847,000	5	%	$	20.93
2014	651,000	7	%	$	18.56	275,000	4	%	$	35.41	927,000	6	%	$	23.57
2015	542,000	6	%	$	14.13	291,000	4	%	$	29.69	833,000	5	%	$	19.57
Thereafter	2,910,000	30	%	$	14.89	467,000	7	%	$	27.83	3,376,000	20	%	$	16.68

Total (3)	9,755,000	100	%	$	13.37	6,907,000	100	%	$	26.89	16,662,000	100	%	$	18.97


Assumes lease options are exercised

	Anchor Tenants (1)					Small Shop Tenants					Total
Year	Expiring SF	% of Anchor SF		Minimum Rent PSF (2)		Expiring SF	% of Small Shop SF		Minimum Rent PSF (2)		Expiring SF	% of Total SF		Minimum Rent PSF (2)
2006	34,000	0	%	$	1.79	342,000	5	%	$	24.83	375,000	2	%	$	22.77
2007	229,000	2	%	$	9.05	532,000	8	%	$	25.35	760,000	5	%	$	20.45
2008	240,000	2	%	$	11.63	609,000	9	%	$	23.66	849,000	5	%	$	20.26
2009	231,000	2	%	$	11.53	578,000	8	%	$	27.74	809,000	5	%	$	23.11
2010	126,000	1	%	$	12.69	492,000	7	%	$	26.76	618,000	4	%	$	23.90
2011	61,000	1	%	$	14.86	586,000	8	%	$	26.07	646,000	4	%	$	25.01
2012	235,000	2	%	$	13.39	477,000	7	%	$	27.64	712,000	4	%	$	22.94
2013	155,000	2	%	$	13.08	319,000	5	%	$	27.24	474,000	3	%	$	22.62
2014	304,000	3	%	$	13.11	417,000	6	%	$	29.94	721,000	4	%	$	22.84
2015	216,000	2	%	$	15.31	450,000	7	%	$	25.60	666,000	4	%	$	22.27
Thereafter	7,924,000	81	%	$	13.61	2,106,000	30	%	$	28.02	10,032,000	60	%	$	16.63

Total (3)	9,755,000	100	%	$	13.37	6,908,000	100	%	$	26.89	16,662,000	100	%	$	18.97

Notes:

(1)	Anchor is defined as a tenant leasing 15,000 square feet or more.

(2)	Minimum Rent reflects in-place contractual (cash-basis) rent as of March 31, 2006.

(3)	Represents occupied square footage as of March 31, 2006.

Federal Realty Investment Trust

Portfolio Leased Statistics

March 31, 2006


Overall Portfolio Statistics (1)

	At March 31, 2006				At March 31, 2005
Type	Size	Leased	Leased %		Size	Leased	Leased %
Retail Properties (2) (sf)	17,643,000	16,975,000	96.2	%	17,418,000	16,558,000	95.1	%
Residential Properties (3) (units)	464	427	92.0	%	683	641	93.9	%

Same Center Statistics (1)

	At March 31, 2006				At March 31, 2005
Type	Size	Leased	Leased %		Size	Leased	Leased %
Retail Properties (2) (4) (sf)	13,342,000	12,977,000	97.3	%	13,365,000	12,906,000	96.6	%
Residential Properties (3) (units)	428	397	92.8	%	428	406	94.9	%

Notes:

(1)	See Glossary of Terms.

(2)	Leasable square feet; excludes redevelopment square footage not yet placed in service.

(3)

Overall portfolio statistics at March 31, 2006 include Rollingwood, The Crest at Congressional and the residential units in Building Eight (36 units) at Santana Row. Residential units in Buildings Three, Four, Six and Seven at Santana Row are excluded from overall portfolio statistics as we have either commenced closing sales of the units (Buildings Three, Four and Six - 219 units) or the units are still under development and have not reached stabilization (Building Seven - 256 units). Overall portfolio statistics at March 31, 2005 included Rollingwood, The Crest at Congressional and the residential units in Buildings Three, Four, Six and Eight (255 units) at Santana Row. Same center statistics at March 31, 2006 and 2005 include only Rollingwood and The Crest at Congressional.

(4)	Excludes properties purchased, sold or under redevelopment.

Federal Realty Investment Trust

Summary of Top 25 Tenants

March 31, 2006


Rank	Tenant Name	Annualized Base Rent			Percentage of Total Annualized Base Rent		Tenant GLA		Percentage of Total GLA		Number of Stores Leased
1	Bed, Bath & Beyond, Inc.	$	7,997,000		2.53	%	509,000		2.88	%	12
2	Ahold USA, Inc.	$	7,463,000		2.36	%	601,000		3.41	%	10
3	Safeway, Inc.	$	6,609,000		2.09	%	481,000		2.73	%	8
4	Gap, Inc.	$	6,321,000		2.00	%	224,000		1.27	%	11
5	TJX Companies	$	5,709,000		1.81	%	536,000		3.04	%	16
6	CVS Corporation	$	3,840,000		1.21	%	142,000		0.80	%	13
7	Barnes & Noble, Inc.	$	3,703,000		1.17	%	174,000		0.99	%	7
8	Best Buy Stores, L.P.	$	3,394,000		1.07	%	97,000		0.55	%	2
9	Wakefern Food Corporation	$	3,077,000		0.97	%	232,000		1.32	%	4
10	Retail Ventures (DSW/Filene’s Basement)	$	2,994,000		0.95	%	155,000		0.88	%	5
11	Michaels Stores, Inc.	$	2,858,000		0.90	%	189,000		1.07	%	9
12	Staples, Inc.	$	2,760,000		0.87	%	148,000		0.84	%	8
13	Borders Group, Inc.	$	2,736,000		0.87	%	129,000		0.73	%	5
14	OPNET Technologies, Inc.	$	2,637,000		0.83	%	61,000		0.35	%	1
15	MTS, Inc. (Tower Records)	$	2,485,000		0.79	%	91,000		0.52	%	5
16	Great Atlantic & Pacific Tea Co.	$	2,408,000		0.76	%	236,000		1.34	%	4
17	CompUSA, Inc.	$	2,378,000		0.75	%	134,000		0.76	%	5
18	The Container Store, Inc.	$	2,354,000		0.74	%	52,000		0.30	%	2
19	L.A. Fitness International LLC	$	2,306,000		0.73	%	148,000		0.84	%	3
20	Dress Barn, Inc.	$	2,227,000		0.70	%	106,000		0.60	%	14
21	Home Depot, Inc.	$	2,207,000		0.70	%	218,000		1.24	%	3
22	Albertsons, Inc.	$	2,198,000		0.70	%	260,000		1.47	%	5
23	Dollar Tree Stores, Inc.	$	2,155,000		0.68	%	158,000		0.89	%	15
24	Office Depot, Inc.	$	2,108,000		0.67	%	142,000		0.80	%	6
25	Bally’s Health & Tennis	$	2,104,000		0.67	%	156,000		0.88	%	5

	Totals - Top 25 Tenants	$	87,027,000		27.52	%	5,379,000		30.49	%	178

	Total:	$	316,227,000	(1)			17,643,000	(2)			2,257

Notes:

(1)	Reflects annual in-place contractual (cash-basis) rent as of March 31, 2006.

(2)	Excludes redevelopment square footage not yet placed in service.

Federal Realty Investment Trust

Reconciliation of Net Income to FFO Guidance

March 31, 2006


	2006 Guidance
	($ millions except per share amounts) (1)
Net income	$	102		to	$	105
Gain on sale of real estate		(9	)			(9	)
Depreciation and amortization of real estate & partnership assets		88				88
Amortization of initial direct costs of leases		7				7

Funds from operations		189				191
Income attributable to operating partnership units		1				1
Dividends on preferred stock		(11	)			(11	)

Funds from operations available for common shareholders		178		to		180

Weighted Average Shares (diluted)		53.9

Funds from operations available for common shareholders per diluted share	$	3.30		to	$	3.35

Note:

(1)	Individual items may not add up to total due to rounding.

Federal Realty Investment Trust

Joint Venture Disclosure

March 31, 2006

Clarion Lion Properties Fund

Federal Realty Investment Trust

Summarized Operating Results and Balance Sheets – Joint Venture

March 31, 2006

Financial Highlights

(in thousands)


	Three months ended March 31, 2006			Three months ended March 31, 2005
CONSOLIDATED OPERATING RESULTS
Revenues
Rental income	$	1,986		$	2,036
Other property income		22			14

		2,008			2,050

Expenses
Rental		395			511
Real estate taxes		186			161
Depreciation and amortization		548			521

		1,129			1,193

Operating income		879			857

Interest expense		(615	)		(620	)

Net Income	$	264		$	237


	As of March 31, 2006			As of December 31, 2005
CONSOLIDATED BALANCE SHEETS
ASSETS
Real estate, at cost	$	81,650		$	81,768
Less accumulated depreciation and amortization		(3,263	)		(2,718	)

Net real estate investments		78,387			79,050

Cash and cash equivalents		1,894			1,452
Accounts receivable and other assets		2,877			3,599

TOTAL ASSETS	$	83,158		$	84,101

LIABILITIES AND PARTNERS’ CAPITAL

Liabilities
Mortgages	$	47,225		$	47,225
Other liabilities		4,853			5,506

Total liabilities		52,078			52,731

Partners’ Capital		31,080			31,370

TOTAL LIABILITIES AND PARTNERS’ CAPITAL	$	83,158		$	84,101

Federal Realty Investment Trust

Summary of Outstanding Debt and Debt Maturities - Joint Venture

March 31, 2006

OUTSTANDING DEBT


	Maturity	Interest Rate as of March 31, 2005		Balance
				(in thousands)
Mortgage Loans
*Secured Fixed Rate*

Campus Plaza	12/01/09	4.530	% (a)	$	11,000
Pleasant Shops	12/01/09	4.530	% (a)		12,400
Plaza del Mercado	07/05/14	5.770	% (b)		13,325
Atlantic Plaza	12/01/14	5.120	% (a)		10,500

Total Fixed Rate Debt				$	47,225

DEBT MATURITIES

(in thousands)


Year	Scheduled Amortization		Maturities		Total		Percent of Debt Maturing		Cumulative Percent of Debt Maturing
2006		—		—		—	—		—
2007		70		—		70	0.2	%	0.2	%
2008		175		—		175	0.4	%	0.6	%
2009		185		23,400		23,585	49.9	%	50.5	%
2010		196		—		196	0.4	%	50.9	%
2011		208		—		208	0.4	%	51.3	%
2012		220		—		220	0.5	%	51.8	%
2013		233		—		233	0.5	%	52.3	%
2014		142		22,396		22,538	47.7	%	100.0	%

Total	$	1,429	$	45,796	$	47,225	100.0	%

Notes:

(a)	Interest only until maturity.

(b)	Loan is interest only until July 5, 2007, after which principal and interest payments are due based on a 30-year amortization schedule.

Federal Realty Investment Trust

Real Estate Status Report - Joint Venture

March 31, 2006


Property Name	MSA Description	Year Acquired	Total Investment		Mortgage or Capital Lease Obligation		GLA	% Leased		% Occupied		Average Rent PSF		Grocery Anchor GLA (1)	Grocery Anchor (1)	Other Principal Tenants
			(in thousands)		(in thousands)
East Region

Washington Metropolitan Area
Plaza del Mercado	Washington, DC-MD-VA	2004	$	20,783	$	13,325	96,000	98	%	98	%	$	16.80	25,000	Giant Food	CVS

	Total Washington Metropolitan Area			20,783			96,000	98	%	98	%		16.80

New England
Atlantic Plaza	Boston-Worcester-Lawrence-Lowell-Brockton, MA	2004		16,317		10,500	123,000	97	%	97	%		12.50	63,000	Shaw’s Supermarket	Sears
Campus Plaza	Boston-Worcester-Lawrence-Lowell-Brockton, MA	2004		21,929		11,000	117,000	99	%	99	%		11.37	46,000	Roche Brothers	Burlington Coat Factory
Pleasant Shops	Boston-Worcester-Lawrence-Lowell-Brockton, MA	2004		22,621		12,400	130,000	97	%	97	%		11.40	38,000	Foodmaster	Marshalls

	Total New England			60,867			370,000	98	%	98	%		11.75

	Total East Region			81,650			466,000	98	%	98	%		12.73

Grand Totals			$	81,650	$	47,225	466,000	98	%	98	%	$	12.73

Note:

(1)	Grocery anchor is defined as a grocery tenant leasing 15,000 square feet or more.

Glossary of Terms

Adjusted EBITDA: Adjusted EBITDA is a non-GAAP measure that means net income or loss plus interest expense, income taxes, depreciation and amortization; adjusted for gain or loss on sale of assets, impairment provisions and non-recurring items. Adjusted EBITDA is presented because we believe that it provides useful information to investors regarding our ability to service debt and because it approximates a key covenant in material notes. Adjusted EBITDA should not be considered an alternative measure of operating results or cash flow from operations as determined in accordance with GAAP. The reconciliation of Adjusted EBITDA, to net income for the three months ended March 31, 2006 and 2005 is as follows:


	For the Three Months Ended March 31,
	(in thousands)
	2006			2005
Net income	$	31,031		$	23,997
Depreciation and amortization		24,037			22,595
Interest expense		24,280			22,063
Other interest income		(276	)		(392	)

EBITDA		79,072			68,263
(Gain) on sale of real estate		(8,737	)		(4,282	)

Adjusted EBITDA	$	70,335		$	63,981

Funds From Operations (FFO): FFO is a supplemental measure of real estate companies’ operating performances. The National Association of Real Estate Investment Trusts (“NAREIT”) defines FFO as follows: income available for common shareholders before depreciation and amortization of real estate assets and excluding extraordinary items and gains and losses on sale of real estate. NAREIT developed FFO as a relative measure of performance and liquidity of an equity REIT in order to recognize that the value of income-producing real estate historically has not depreciated on the basis determined under GAAP. However, FFO does not represent cash flows from operating activities in accordance with GAAP (which, unlike FFO, generally reflects all cash effects of transactions and other events in the determination of net income); should not be considered an alternative to net income as an indication of our performance; and is not necessarily indicative of cash flow as a measure of liquidity or ability to pay dividends. We consider FFO a meaningful, additional measure of operating performance because it primarily excludes the assumption that the value of real estate assets diminishes predictably over time, and because industry analysts have accepted it as a performance measure. Comparison of our presentation of FFO to similarly titled measures for other REITs may not necessarily be meaningful due to possible differences in the application of the NAREIT definition used by such REITs.

Property Operating Income: Rental income, other property income and mortgage interest income, less rental expenses and real estate taxes and excluding operating results from discontinued operations.

Overall Portfolio: Includes all operating properties owned in reporting period.

Same Center: Information provided on a same center basis is provided for only those properties that were owned and operated for the entirety of both periods being compared, excludes properties that were redeveloped, expanded or under development and properties purchased or sold at any time during the periods being compared.

Tenant Improvements and Incentives: Represents not only the total dollars committed for the improvement (fit-out) of a space as it relates to a specific lease but may also include base building costs (i.e. expansion, escalators or new entrances) which are required to make the space leasable. Incentives include amounts paid to tenants as an inducement to sign a lease that do not represent building improvements.