2016 CORPORATE RESPONSIBILITY REPORTSUSTAINABLE GROWTH2016 CORPORATE RESPONSIBILITY REPORT<img alt="" src="/SiteCollectionImages/CSR/sustainable_growth.jpg" style="BORDER:0px solid;" />



Sustainable Growth<div class="restrictInterior generalContent"><div class="ms-rtestate-read ms-rte-embedcode ms-rte-embedil ms-rtestate-notify s4-wpActive" unselectable="on"><div class="restrictInterior generalContent" unselectable="on"><h1 unselectable="on">Sustainable Growth</h1><div unselectable="on">Sustainable Growth is our disciplined and strategic approach to making decisions, allocating capital and managing future growth.</div><div unselectable="on">Our ability to bring exceptional office, apartments and mixed-use communities to life—and successfully own and manage them for the long term—makes Forest City unique in our industry. Our work is focused in seven core markets, where we have approximately 20 million square feet of entitled future development opportunities. These markets are also home to an impressive operating portfolio, from which we generate approximately 90 percent of our net operating income.</div><div unselectable="on">While we believe our future opportunities, properties currently under construction and operating portfolio set us apart, we also know that our key to growth is strategically allocating capital to the highest and best uses and continuing to strengthen our balance sheet by driving margin improvement and meeting our financial targets.</div><div unselectable="on">Our capital allocation plan follows a centralized process that utilizes a rigorous, data-driven approach, analyzing opportunities in regard to our overall strategy, our financial targets, expected return and market conditions. This allows us to effectively manage our entitled opportunities, maintain the high quality of our operating portfolio and ensure that we realize our strategy of focusing on urban placemaking in our core markets.</div><div unselectable="on">In alignment with our core value of integrity and openness, these efforts to create value are communicated to shareholders with transparency and effective governance top-of-mind. To maintain our stakeholders’ confidence in us, we cultivate diverse perspectives at the highest levels of governance of the company. We implement protocols to protect our residents and tenants, our partners, and our own physical and virtual security. We build strong programs for ethics and compliance so that our stakeholders understand that our values are reflected in everything we do.</div><div unselectable="on">Overall, our principle of sustainable growth is our platform for maximizing our opportunities to create value, empower our associates and have a positive impact on the people, businesses and communities we serve.</div></div></div></div> <div class="masthead-tags"> <a href="/corporate-responsibility/sustainable-growth/ethics-and-anti-corruption" class="masthead-tag sg-eac"></a> <a href="/corporate-responsibility/sustainable-growth/materiality-and-stakeholder-engagement" class="masthead-tag sg-mse"></a> <a href="/corporate-responsibility/sustainable-growth/corporate-responsibility-governance" class="masthead-tag sg-crg"></a> <a href="/corporate-responsibility/sustainable-growth/revenue" class="masthead-tag sg-r"></a> <a href="/corporate-responsibility/sustainable-growth/board-diversity" class="masthead-tag sg-bd"></a> <a href="/corporate-responsibility/sustainable-growth/cybersecurity" class="masthead-tag sg-c"></a> </div>Sustainable GrowthSustainable Growth



Forest City Recognized as Fit-Friendly Worksite by AHAForest City Recognized as Fit-Friendly Worksite by AHA<img alt="" src="/SiteCollectionImages/CSR/hs_fitfriendly.jpg" style="BORDER:0px solid;" />https://crawl.forestcity.net/corporate-responsibility/exceptional-performance/health-and-wellness#forest-city-recognized-as-fit-friendly-worksite-by-aha01
Forest City Exceeds Diversity Targets at the YardsForest City Exceeds Diversity Targets at the Yards<img alt="" src="/SiteCollectionImages/CSR/hs_theyards.jpg" style="BORDER:0px solid;" />https://crawl.forestcity.net/corporate-responsibility/focused-placemaking/supplier-diversity#forest-city-exceeds-diversity-targets-at-the-yards01
Hispanic Heritage ScholarshipsHispanic Heritage Scholarships<img alt="" src="/SiteCollectionImages/CSR/hs_hispanicheritage.jpg" style="BORDER:0px solid;" />https://crawl.forestcity.net/corporate-responsibility/focused-placemaking/community-giving-and-volunteerism#hispanic-heritage-scholarships01