According to estimates released by the Census Bureau of the Department of Commerce, total retail sales grew 3.2 percent (±0.7%) in the first quarter of 2007 versus the first quarter of 2006. At the same time, e-commerce sales grew 18.4 percent (±4.5%) versus the previous year’s quarter. Estimates are adjusted for seasonal variation and holiday and trading-day differences, but not for price changes.

Net Gain’s forecast begins with a look forward to the year 2099: Two archaeologists are scooping dirt at a dig in the northwest part of the United States. Suddenly an arm freezes. One of the archaeologists has hit a solid impasse. Excitedly they both clear the dirt away and uncover what looks like a part of a cinder block wall. One of the archaeologists is puzzled. He asks, ''What do you think it is?'' His partner carefully examines the exposed cinder block. Then he responds "I'm not sure. It looks like part of a regional shopping mall." The complete essay describing the demise of regional malls in America can be found in the Essays section of www.netgainrealestate.com.

Net Gain Real Estate is a wholly owned subsidiary of NetGainR.E.Inc. In addition to bi-monthly essays, investors may also find a comprehensive due diligence checklist, capitalization rate recommendations, an extensive question and answer section, and a composite index of REIT data at www.netgainrealestate.com.