Acquisition

Capital & Regional plc
11 November 2005


                                                                11 November 2005


                             CAPITAL & REGIONAL PLC:

                      THE MALL BUYS FOUR SHOPPING CENTRES
                      FROM PRUDENTIAL IN £537M ACQUISITION


The Mall Fund, the Capital & Regional and Morley managed specialist shopping
centre fund, has exchanged conditional contracts to acquire four shopping
centres from Prudential for a total sum of £537 million.  This transaction
reflects a net initial yield of 5.1%, nominal equivalent yield of 5.65%.
Completion is scheduled for January 2006.


On completion The Mall will own 25 shopping centres bringing total assets to
£2.78 billion at current valuation and more than 9m sq ft of retail floorspace.
The new acquisitions mean that The Mall will welcome over approximately 5.3m
customers a week throughout the UK.


Ken Ford, Chief Executive of The Mall comments:

"We are delighted to have been selected by Prudential to work with them in this
off-market transaction.  This purchase continues the growth of The Mall
business, further enhancing our relationships with our shoppers, retailers,
investors and other business and media partners."


Philip Nell, Fund Manager for The Mall Fund at Morley Fund Management comments:

"When this acquisition completes, The Mall Fund will account for almost 12.5% of
the IPD All Shopping Centre Series, and the significant diversification benefits
that this scale brings makes us attractive to smaller investors looking for
specific sector exposure."



Chris Taylor, Director Portfolio Management at Prudential Property Investment
Managers comments:

"From our perspective we are delighted at the timing of these sales which are a
further significant step towards rebalancing the Prudential Life Fund's
significant overweight position to the shopping centre sector.  Through a number
of our other funds, we remain invested in The Mall Fund."


The four shopping centres are located in Luton, Uxbridge, Redhill and Bradford.


The Arndale Centre in Luton comprises 69,675 sq m (750,000 sq ft) over two
floors and includes an indoor market.  The centre has over 130 stores including
Debenhams, Marks & Spencer, Bhs, Next, New Look, Woolworths, River Island,
Ottakar's and Boots and over 2,300 parking spaces.


The 35,116 sq m (378,000 sq ft) Kirkgate Centre in Bradford has 65 stores on
three levels including Littlewoods, Boots, New Look, WH Smith and River Island,
an indoor market and a 550 space car park.


The Belfry Shopping centre in Redhill, Surrey comprises 23,039 sq m (248,000 sq
ft) over two floors with over 50 shops including major national retailers such
as Marks & Spencer, Ottakar's, Top Shop, WH Smith, Mark One and New Look and 776
car parking spaces.


The Pavilions Shopping centre in Uxbridge totals some 27,870 sq m (300,000 sq
ft) on a single level with over 90 stores including Marks & Spencer, Peacocks,
TK Maxx and Tesco and a 1,100 space car park.


Chris Geaves at Strutt & Parker advised The Mall.  Stewart Colderick of CBRE
represented Prudential.


Notes to editors:


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 The Mall

The Mall is the leading owner and operator of community shopping centres in the
UK.  The Mall currently has assets of £2.24 billion* in 21 shopping centres*,
establishing The Mall as the UK's community shopping centre brand.  The Mall
Fund is a specialist property fund managed by Capital & Regional and Morley Fund
Management.

* pre-completion.

For further information see www.themall.co.uk


About Prudential

Prudential Property Investment Managers Ltd ("PruPIM") is a part of M&G, the
investment arm of Prudential plc in the UK.  As such, it is responsible for
investing in and managing property investment portfolios on behalf of
Prudential.  It has £14.8 billion of funds under management (as at 31/12/04) and
is one of the largest property investment managers in the UK.

PruPIM manages a UK retail portfolio comprising in excess of £3 billion of
shopping centres, almost £2 billion of high street retail outlets and more than
£1 billion of retail warehousing.  This comprehensive exposure gives the company
an unrivalled insight into retail markets.


About Morley Fund Management

Morley Fund Management ('Morley') is a London-based asset management business
with over £134 billion* under management. The property team manages in excess of
£17 billion* of UK and European property assets, making Morley one of the
largest property fund manager in Europe. Winners of the high profile Property
Week Fund Manager of the Year Award 2004 and the UK Pensions Awards Property
Fund Manager of the Year 2005, the team consists of 70 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: Igloo Regeneration Fund, Quercus
Healthcare Property, The Junction and The Mall.

For further information see:  www.morleyproperty.com

*Not including mortgage assets, as at 30/06/05


                                    - ENDS -


For further information:

Capital & Regional:

Martin Barber, Chief Executive              Tel. [phone]


Redwood Consulting:

Liz D'Oliveira                              Tel:  [phone]

Paul Haines                                 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