Acquisition

Capital & Regional plc
20 January 2006



                                                                 20 January 2006


                              CAPITAL & REGIONAL PLC:

                  ANNOUNCEMENT OF FURTHER GERMAN ACQUISITIONS


Capital & Regional plc, the co-investing property asset manager, today announces
further acquisitions in its joint venture in Germany.


A further six 'big box' out of town retail properties have been acquired for
€115 million producing a net initial yield of approximately 7% after
non-recoverable costs.  The properties have 87,100 sq m of lettable area and
tenants include Real (Metro), Wal Mart, Toom (REWE), and Plaza (CoOp).


The acquisitions have increased the portfolio to a total of 14 properties with a
total floor area of 156,000 sq m and a total investment of €226 million.  The
portfolio is being managed by the Hahn Group which has a 10% share in the joint
venture.


Xavier Pullen, Deputy Chief Executive of Capital & Regional plc, said "When we
announced the joint venture in July 2005, we indicated that we were going to
expand the portfolio by investing in the right properties.  We are pleased that
we have now achieved a critical mass that will allow us to achieve attractive
equity investment returns.  We are currently investigating a number of exciting
opportunities with the Hahn group and we hope to expand the joint venture in
2006."

                                    - ends -


For further information:


Capital & Regional

Xavier Pullen, Deputy Chief Executive                        Tel:  [phone]

William Sunnucks, Group Finance Director                      Tel: [phone]

Hudson Sandler

Michael Sandler / James Benjamin                             Tel:  [phone]


                      This information is provided by RNS
            The company news service from the London Stock Exchange