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The Prudential report found that inventory had fallen 18.3 percent since the third quarter of 2009 and 24.6 percent since the fourth quarter of last year.
The Prudential report followed downgrades from the Moody's and Standard & Poor's debt-rating agencies, which have questioned Kmart's ability to pay off its debt.
Jonathan J. Miller, a real estate appraiser and president of the Manhattan-based Miller Samuel Inc., is the author of the Prudential report.
Paul Marenbloom, a former senior analyst at Prudential Securities who recently joined CMGI, the Internet investment company, circulated a Prudential report that called the PeoplePC's corporate deals "large-scale, transnational opportunities".
The Prudential report showed that the median sale price in Manhattan was $810,000 in the fourth quarter of 2009, a 10 percent drop over the same period in 2008 and a 4.7 percent decline over the third quarter of 2009.
In Manhattan, 53.4 percent of sales in the first quarter were condos, and in Chelsea, a neighborhood that has also seen a lot of new development recently, that number was 63.5 percent, according to Jonathan Miller, the president of Miller Samuel, which prepares the Prudential report, and a partner at Condominium Recovery, which invests in real estate.
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Prudential, due to report tomorrow and which reportedly considered a $3bn US acquisition a little while ago, added 33.5p to 683.5p.
"Handcuffing regulators to GAAP or distorting GAAP to always fit the needs of regulators is inconsistent with the different purposes of financial reporting and prudential regulation," Mr. Herz said in the prepared text.
Prudential noted that Altria reported first-quarter operating earnings of $1.16 per share, compared with the research firm's forecast of $1.17.
Joyce Oberdorf, a spokeswoman for Aetna, said she could not disclose the latest Prudential results before the company reported fourth-quarter earnings next Tuesday.
Operating profit in Asia for life insurance and asset management rose 17% to £632m In the US, Prudential's Jackson Life business reported an 11% profit increase to £834m.
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