Speakers: KAREN LITTON, SCMD, CSM Senior Manager and Property Manager Biltmore Fashion Park

KATE CAVALIERE BIRCHLER, Senior Manager and Marketing for the Biltmore Fashion Park

Subject: BILTMORE FASHION PARK UPDATE

We have a lot of activity going on at the Biltmore Fashion Park. New stores, events, new operations issues, what kind of community support we are involved with right now.

We will go through the new stores from A to Z.

Brooks Brothers recently moved from the Scottsdale Fashion Square to the Biltmore Fashion Park. It is a two story showcase. Because we have over ½ million office workers within a 5 mile radius, it has really worked out very well for them-a lot of the men who work across the street still continue to wear shirts and ties so this is a good fit for them.

Golden Barrel just opened on Saturday the 24th. It is contemporary jewelry. It has gold and silver, the tension mounted diamonds, the diamond rings where the diamonds slide back and forth. It is very contemporary and they have European silversmiths.

Lululemon is the store that has very edgy, fun, comedic windows. Not only do they have a store but they do Yoga in the park every Sunday at 11am and it is free. They have over 40 people who come each week for the Yoga, and now they also have Variety Saturday at 10:30am. It is free and they do the workout session for an hour and then they invite people back into the store and they have little munchies and beverages, and you can shop in the store. This store appeals to the yoga enthusiast and brings in the 25 to 34 year olds to shop at the Biltmore

Mojo Yogurt has been a major hit. They are very involved with the center and this past weekend at an event they gave away samples.

Parnian which is very contemporary furniture opened in the spot that was formerly the Apple space. It has been a very good addition to the center.

Petique-AZ Humane Society just put up their sign the other day. Their grand opening will be Saturday, November 14, and they will be having a pet boutique as well as an adoption center. It is important to note that this is an adoption center not a someplace to drop off animals. This ties into the Biltmore's pet friendly nature.

Sting Ray Sushi is opening this winter in the spot that was formerly Champs.

True Food Kitchen has been a major hit. Recently we went to an International Conference of Shopping Centers event and Sam Fox was one of the panelists. When he was asked "What was the biggest surprise of your entire career?," he said how successful, well received True Food was. True Food is a partnership with Dr. Andrew Weil.

Urban Living will open also in the fall and it is contemporary and there is one at Kierland right now and they will be having both locations. The store is eclectic and it will also have accessories.

Z is Zinburger Wine and Burger Bar. It is also a Sam Fox concept and there is one in Tucson and it will be in the space that was formerly Haagan Dazs and the back of Brookstone. It will be facing Camelback and have an outdoor patio, and is scheduled to open in the spring of 2010.

The Events at Biltmore Fashion Park
Movies in the Park is one of our most successful events that we host in the spring and the fall. We have had between 300 to 600 people come out to the center lawn, and they bring the picnic baskets, blankets, chairs, their husbands, their friends. It is a great adult outing. Last week to celebrate Westcor's 40th anniversary, we showed When Harry Met Sally and served complimentary Mojo Yogurt served 40 different ways. People come out as early as 5pm for the 7:30 movie just to stake their spot. It is free and all our restaurants do something fun. You can do food boxes, a pizza from California Pizza Kitchen, bring a Mojo Yogurt out to the lawn. Movies every Friday through the second Friday in December. December 14 we are showing White Christmas and we are going to be serving hot cocoa and we will be having carolers and on 12/11 we are showing Elf.

Another event coming up is New Moon, which is the second movie with the Twilight series. We are doing a prescreening on 11/19 and it opens to the public on 11/20. On the 19th at the Biltmore, you can have and enjoy a 3 course prix fixe menu at one of five restaurants. It is a $45.00 package and you can purchase it online at shopbiltmore.com and we will take all your information and then you come to the concierge desk and get a gift card for dinner and the tickets for the movie. You have to make your dinner reservation yourself.

For the Holiday Season, we just wanted to say thanks to our loyal Biltmore Fashion Park shoppers this year as it has been a tremendously difficult year for everyone. We are doing a series of events. On Friday during the holiday season starting the Friday after Thanksgiving until the Friday before Christmas, from 3 to 5 pm we will host an event called Freebies Friday and a Free for All. At 3pm people will be able to get into line and get a wrist band and 3 lucky winners will be chosen to be in a free for all unwrapping event. At 4pm you will be able to unwrap 50 gifts in which 10 of them will have a $25 Westcor gift card, and at 5pm we will do a drawing for a $1,000 Westcor gift card. At lunch we are going to be out and around thanking our loyal Biltmore shoppers with a series of random acts of kindness. It is a surprise so we can't tell you what they are. We will also do a holiday essential guide which will have special incentives and offers from participating stores.

We are also on Facebook and Twitter and it is updated everyday to tell you what is going on in the stores and what kind of events are happening or coming up and special offers.

Operational issues
About four years ago we started evaluating the parking situation specifically on the south side. We hired an international parking company and they did a parking study and we found out, what we already knew that the major concern was the amount of parking that was available on the South side. For some reason people were not parking on the North side where the covered parking is. You would see them every day going around and around trying to find a parking space on the South side when we really have ¾ of our parking on the North side. Our number 1 priority was to protect and preserve those parking spots for our loyal customers. We wanted to come up with some sort of solution. What we found out also in the survey also was that there was an arge amount of area businesses employees and in some cases our employees that were parking there 8 hours a day. At first we chained off the whole area at 10am, but we couldn't chain off the entire parking lot because Paradise Bakery opens at 6am and Borders opens at 9am. Then we had all those cars parking there and in fact it also became a Park and Ride area. We realized we had to come up with a more aggressive plan. As much as we love the underpass and it is a benefit to both sides, we found people parking on our side all day and walking across. We realized this was creating a very negative parking situation. So we have come up with a solution. I don't have they total specifics right now, but those of you who come to the center often will see that we already have the infrastructure set up. We are implementing a gated program starting in December. There will be a certain amounts free and then there is a fee involved after that certain time that will be comparable to the other three corners. This has been a major discussion on a corporate level and we should have a decision in the next couple of weeks. We are doing this to protect the parking for those who are bon fide customers and it is only the south side as the north side is still going to be complimentary.

Community Support
We do a lot to partner with the community and give back to those we can help. We the support of Westcor, we really want to benefit women, children and education. You will see everything from theatre and arts to the major organizations like the Arizona Heart Association and Fresh Start Woman's Foundation. We just completed the Board of Visitors Care Card which took place the last ten days and that gave people a chance to shop at 20% off at participating stores. We worked with Saks on Keep the Cure about cancer awareness. We actually painted the Park pink for that entire week. That was a good way to celebrate breast cancer awareness. On Feb. 18 we are having a Taste of Hope for the City of Hope. It will be in the center lawn and many of the Biltmore area restaurants-about 15 chefs will do a taste event to benefit the City of Hope. On Feb. 6 we are supporting and sponsoring the Fresh Start Fashion show which is held during Gala and will feature some of our stores.

Tourism Initiative
I had head up the Tourism and Marketing Dept. We have a very aggressive tourism program. We offer shopping packages with our shopping and dining visitor rewards that have a savings of up to $750 at participating stores at Biltmore Fashion Park, Scottsdale Fashion Square, Borgata, and Kierland Commons. We have a visitor link on our Biltmore website and it lists all of our partners and the details of their shopping packages and it goes directly to your site or links to your reservation site. We work very closely with the Phoenix and the Scottsdale Convention and Visitors Bureaus as well as the State Office of Tourism. We do meet and greet, we conduct tours, etc. and anything we can do to make your guests trips more enjoyable we are here to do.

Question
What is going to happen to the building closer to Embassy Suites?
We know that we have had our entitlements for some time for retail and either residential or hotel or office or a hybrid for quite some time. The current plan is that those two buildings will be demoed in the future. We will probably pave it and do a parking lot until the market gets better and then we will rebuild.