Preferred Bidder Status

CareCapital Group plc
04 September 2006


For immediate release, 4 September 2006

                             CareCapital Group Plc
                         ("CareCapital" or "the Group")

                 Joint-Venture Awarded Preferred Bidder Status

CareCapital (AIM: CARE), a healthcare real estate developer and owner that was
admitted to AIM on 4 August 2006, today announces that a joint-venture has been
awarded preferred bidder status for a new primary care centre in Flintshire,
Wales. This will be CareCapital's first development in Wales.

The Healthcare Property Company Wales Limited ("HPC Wales") has been selected as
preferred bidder for a major new primary care centre for the Flintshire Health
Board in the town of Buckley. The new primary care centre will bring together
under one roof existing GP practices and community health services in a purpose
built 4,000 sq.m. facility comprising a range of clinical and other patient
support services including a pharmacy. The building has been designed to allow
for future flexibility and expansion to meet the changing healthcare needs of
the local community.

The total development cost of the facility will be approximately £6.5 million.
It is anticipated construction works will commence in mid-March 2007 and the
Centre opened to patients in early April 2008. The completed facility will be
leased for an initial period of 20 years to the GP partnerships and the
Flintshire Health Board at an initial rent of approximately £425,000 per annum.

HPC Wales is a strategic joint venture between CareCapital (50%) and Gaufron
Healthcare Limited ("Gaufron") (50%). Gaufron is a well-established medical
centre developer in Wales, based in Llandrindod Wells.

Commenting, Paul Stacey - CareCapital's Managing Director - said "I am extremely
pleased that we have been successful in being selected to develop this important
healthcare facility in North Wales. We look forward to the opportunity to work
with the Flintshire Health Board and Welsh Health Estates to take this scheme
through to completion. I congratulate the bid team, including our colleagues
from Gaufron and the architects, Austin-Smith: Lord on the win against
significant competition. The Board hopes that our joint-venture with Gaufron
will be able to build on this success to become a leading developer of
healthcare related properties in Wales."

For further information please visit www.carecapital.co.uk or contact:

Paul Stacey, Managing Director
Shareen Courtney, Marketing
CareCapital Group Plc
Tel: [phone]
[e-mail]
[e-mail]                                  

Simon Hudson, Richard Sunderland
Tavistock Communications
Tel: [phone]
[e-mail]/[e-mail]

Lindsay Mair, Director - Corporate Finance
Daniel Stewart & Co. Plc
Tel: [phone]
[e-mail]


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