Refurbishment Programme

Capital & Regional PLC
24 July 2000

                                                                              
            CAPITAL & REGIONAL GAINS EXCELLENT TENANT SUPPORT FOR             
                         SHOPPING CITY REFURBISHMENT                          

Capital & Regional plc, the specialist retail and leisure property company,
announces that the major £30 million refurbishment programme, to revitalise
its 600,000 sq ft Shopping City in Wood Green, London, which began in October
1998, is scheduled for completion by Christmas 2000.  There has been major
tenant demand for the centre with lettings comprising nearly 200,000 sq ft.

TK Maxx has signed a 15 year lease for 23,000 sq ft of retail space, at an
undisclosed rent.  Fashion retailer, Next, has increased its retail space and
will now occupy 8,324 sq ft on a 15 year lease, at a rental of £150,000 per
annum, when it moves from its present High Street location into Shopping City,
in August. 

HMV will be opening a 5,784 sq ft store and is currently being fitted out; the
base rent is £100,000 per annum with an additional short-term turnover
agreement on a 15 year lease.  The store is due to open in September and will
form part of the main east entrance of the centre, leading to 65,000 sq ft of
new catering and leisure facilities. 

Cine-UK Ltd will be operating a new 12 screen multiplex cinema of 45,000 sq
ft, seating approximately 2000 people, which is being built on two levels of
Shopping City.  It is due to open in mid August.  Wilkinsons has taken a
36,900 sq ft unit which opened in May.

Walk In, a local ladies' fashion retailer, has 1,200 sq ft on a 15 year lease,
at a rent of £35,000 per annum.  

Ken Ford, Executive Director of Capital & Regional commented: 'The tenant
response to the potential trade benefits created by the refurbishment
programme has been tremendous.  Our investment in anti-crime initiatives along
with the local authority, police and retailers has dramatically reduced crime
in Wood Green and also encouraged this tenant support.

'Shopping City is now a dominant retail force in North London and its success
underlines what can be achieved when working together in partnership with
retailers, residents and local authorities.'

Capital & Regional will also be providing 1,500 free car parking spaces for
cinema-goers and diners at the new restaurants after 6pm, seven days a week,
to complement the new leisure attractions at the Centre.

By mid August, Shopping City will also have London's largest illuminated glass
structure to have ever been used for branding.  The 128 ft (40 m) glass tower
is currently being erected above the centre and will be illuminated at night. 
It will be possible for it to be seen from Canary Wharf, some eight and half
miles away. 

The two year phased refurbishment programme has already brought the
significant upgrading of the ground floor mall which has included: new
flooring, new ceilings; coloured lighting; new shop fascias and signage; new
escalators; a customer service desk; and a 
120 x120 inch video screen. 

Ken concluded: 'The ongoing works are going extremely well, especially, the
major improvements to the market hall (previously on two floors), which has
now been modernised and reconfigured to provide 35,000 sq ft of space on the
ground floor.  External changes have included rebranding, clearer signage, and
new entrance canopies.'

 'We are also extremely grateful to Shopping City's tenants and local
residents for their continued support throughout the refurbishment programme
and we are all looking forward to enjoying the completed, new look centre,
which will be great for the shoppers of Wood Green and North London.' 


Notes to editors:
* Other anchor tenants include Ottakars, Boots, Argos and Pearsons.
* Lettings agent acting on behalf of Capital & Regional plc is Blair Kirkman.


For further information please contact:
Sarah Carrell, Head of Corporate Communications
Capital & Regional plc on 020 7932 8000.