Acquisition

Capital & Regional plc
01 April 2005

                                                                    1 April 2005





                             CAPITAL & REGIONAL PLC:

         THE JUNCTION COMPLETES £180 MILLION OF RETAIL PARK ACQUISITIONS



Capital & Regional plc, the co-investing property asset manager, today announces
that The Junction, the retail park owner and operator, in which it has a 27.3%
interest, has purchased Telford Forge Retail Park and Slough Retail Park for a
total consideration of £180 million.  The Junction now owns 19 retail parks
bringing total assets to £1.2 billion and more than 3.9 million sq ft of
floorspace.



The Junction has exchanged contracts with Stadium Retail Investments to purchase
Telford Forge Retail Park for £105 million, reflecting a net initial yield of
4.1% and an equivalent yield of 5%.  Tenants on the 315,000 sq ft park, which
benefits from Open A1 planning consent, include Sainsbury's, Next, TK Maxx,
Arcadia, Boots and JJB.



Slough Retail Park was purchased from Land Securities for £75 million, which
reflects a net initial yield of 5.8%.  The retail park, which has a bulky good
planning consent, comprises 150,000 sq ft and is occupied by DFS, Homebase,
Wickes, MFI, Harveys, Furniture Land and Land of Leather.



Commenting on the deals Andrew Lewis-Pratt, CEO of The Junction said, "These
acquisitions complement our already strong portfolio of prime retail parks
throughout the UK.  The purchase of Telford Forge Shopping Park is a
particularly significant addition as it reflects our intention to create a more
balanced portfolio of Open A1 and Bulky Goods parks.  We will continue to invest
in destination retail parks with high development and asset management
potential, particularly those dominant within their catchments."

About The Junction

The Junction owns and operates a £1.2 billion destination retail park portfolio,
which includes 19 prime retail parks located throughout the UK.  Capital &
Regional and Morley Fund Management set up The Junction in 2002.

For further information visit:  www.thejunction-uk.com


About Capital & Regional plc

Capital & Regional is the co-investing asset manager which specialises in town
centre shopping centres, out of town retail parks, and urban entertainment
complexes.

Capital & Regional founded the Mall and Junction Funds in conjunction with
Morley Fund Management.  It also founded the X-Leisure fund with Hermes
Investment Management Limited, and has a number of other joint ventures and
developments.  Its shares are quoted on the London Stock Exchange.

For further information see www.capreg.com


About Morley Fund Management

Morley Fund Management ('Morley') is a London based, asset management business
with over £128 billion under management. The property team manages in excess of
£15 billion of UK and European property assets, making Morley one of the largest
property fund managers in the UK. Winners of the high profile Property Week Fund
Manager of the Year Award 2004, the team consists of 60 investment professionals
and manages a range of funds on behalf of institutional, pension and retail
clients. Morley has been at the forefront of innovation in property fund
management and has launched eleven specialist sector based funds with partners,
including the Jersey-based Unit Trusts: Ashtenne Industrial Fund, Quercus
Healthcare Property, The Junction and The Mall.



www.morleyproperty.com

                                    - ENDS -

For further information:

Capital & Regional:
Martin Barber, Chief Executive                     Tel. [phone]
William Sunnucks, Group Finance Director           Tel. [phone]


Redwood Consulting
Kate Hewson                                        Tel: [phone]

gcg hudson sandler
Michael Sandler / James Benjamin                   Tel:  [phone]




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