Re Joint Venture

Capital & Regional PLC
15 March 2001

Capital & Regional plc

                                                                             
    CAPITAL & REGIONAL AND STANNIFER FORM JOINT VENTURE TO OWN AND DEVELOP    
                         SAUCHIEHALL CENTRE, GLASGOW                          

Capital & Regional plc, the specialist retail and leisure property investment
company, has entered into a 50:50 joint venture with Stannifer, the investment
and development group, to re-develop the 16,722 sq m (180,000 sq ft)
Sauchiehall Centre on Sauchiehall Street in Glasgow.

The initial value of the property to the joint venture, Sauchiehall Centre
Ltd, is £31 million and the whole project is part financed jointly by the Bank
of Scotland and Bank of Ireland.

The re-development will create an increase in the centre's retail space by
10%, to approximately 18,580 sq m (200,000 sq ft).  This will be achieved by
removing all the malls and converting the space to form large retail units. 
Each store will have entrances directly on to the prime retail pitch of
Sauchiehall Street, directly opposite Marks & Spencer/Boots and diagonally
across from the recently opened Dunnes department store.  New retailers and
record rents achieved in Buchanan Street have enhanced further this
pedestrianised section of Sauchiehall Street.

The majority of newly created space will be taken by Primark, as part of a
major new 6,308 sq m (67,566 sq ft) store.  This will be the fashion
retailer's first store in Glasgow City centre and is planned to open in April
2002.

Sauchiehall Centre Ltd will be working with TK Maxx to reconfigure its current
trading area, which will be increased to 3,639 sq m (39,171 sq ft).  Access to
the store will be through a new high profile entrance on to Sauchiehall
Street.

The remaining space will be used to create a series of store extensions for
existing retailers, including Superdrug, which will be trading from an
extended store of 836 sq m (9,000 sq ft).  

WH Smith has signed a new 15 year lease for a 1,563 sq m (16,829 sq ft) store,
which will incorporate a new store format and will be consolidated on to one
floor (previously on two levels).

WH Smith, TK Maxx, Superdrug and other existing tenants will continue to trade
throughout the redevelopment programme.

Ken Ford, Managing Director of Shopping Centres, Capital & Regional's said:
'This is a very exciting project for us and we welcome Stannifer as our joint
venture partner.  The re-development is planned to regenerate the centre
converting unoccupied space to income generating retail area, in contemporary
formats required by our retailers.'

Ron Barrott, Chairman and Chief Executive of Stannifer, commented: 'We
recognise the commercial opportunity created by the strong footfall of this
prime retail pitch.  This will undoubtedly improve further with the opening of
retailers introduced to the new format of the scheme. This is a high quality
development that will benefit from the combined expertise of Stannifer and
Capital & Regional.'

Brian Johnston, Head of Corporate Banking for Bank of Scotland and Stephen
Kirkpatrick, Head of Corporate Banking for Bank of Ireland have said: 'We are
delighted to be a part of this project, which will revitalise an important
shopping destination within the heart of Glasgow.'


Notes to editors:

1. Capital & Regional plc has a current UK retail and leisure portfolio valued
at over £800m, totalling over 650,558 sq m (7 million sq ft).  The Company
acquired the Sauchiehall Centre in June 1997.  Other tenants at the centre
include Clinton Cards, Vodafone, Ocho Pub, Supasnaps, Royal Bank of Scotland,
JJB Sports, Millets and Healthland Partnership.
2. Agent acting on behalf of Capital & Regional plc was Montagu Evans.

For further information about Capital & Regional plc please contact:
Ken Ford, Managing Director, Shopping Centres on 0207 932 8000
Sarah Carrell, Head of Corporate Communications on 020 7932 8000 

Stannifer's  £1 billion development programme totals over 350,000 sq m 
(3.8 million sq ft).  Schemes include:

* Abbey Retail Park, Newtownabbey, 18,580 sq m (200,000 sq ft)
* The Brewery, Romford, 46,450 sq m (500,000 sq ft)
* Union Square, Aberdeen,  51,095 sq m (550,000 sq ft)
* Sprucefield, Lisburn, 21,367 sq m (230,000 sq ft)
* Centre West, East Kilbride, 23,225 sq m (250,000 sq ft)
* Rushmere, Craigavon, Northern Ireland, 27,870 sq m (300,000 sq ft)

For further information about Stannifer please contact:
Mark Simmons or Linda Welch at Cadenza Communications on 020 7436 4466.