"The second quarter of 2005 was rewarding to the company and its shareholders on a number of fronts," Bob Parks, president and chief executive officer said during Thursday's earnings call. "The first the quarter marked the one-year anniversary of the listing and the public trading of Inland Real Estate Corp. shares on the NYSE, commenced on June 9 of last year. In one-year's time investment and IRC shares produced an impressive 42%."

Parks went on to report a 10.6% increase in the company's Q2 funds from operations to $22.6 million, while FFO per common share increased to 34 cents, a 9.7% increase compared to the same period last year. Net income rang in at $10.7 million for the three-month period, marking a 4.8% decrease compared to a year ago, while net income per common share slipped 5.9% to 16 cents. In response to the decrease, Parks faulted the net-income effect of including additional properties previously held for sale, but now reclassified as held and used.

Same-store net operating income increased 6% to $28.2 million compared to $26.6 million last year, which the company says is the result of reduced non-recoverable operating expenses and positive occupancy and leasing spreads. Total revenues fell 2% to $45.2 million for the quarter from $46.1 million, which the company attributed to the contribution of properties to the Nystrs joint venture late last year. This was partially offset by the new acquisitions in the second quarter.