Jan 16, 2003

Urban Retail Properties Co. Adds 3 More Market-Leading Shopping Centers to Roster of Managed Properties

The Blackstone Group Awards Chicago-based Urban the Management Contracts for Retail Centers in Cincinnati, Edina, Minn., and Minot, N.D./

Chicago, January 16, 2003 – Urban Retail Properties Co. today announced that Blackstone Real Estate Advisors (“Blackstone”), an affiliate of The Blackstone Group, has awarded Urban Retail the contracts to manage three regional shopping centers in Ohio, Minnesota and North Dakota.

By earning the management contracts for Southdale Center in Edina, Minn., Cincinnati’s Tri-County Mall and Dakota Square in Minot, N.D., Urban adds more than 3 million square feet of retail space to its third-party managed portfolio. As a result, Urban now manages and leases approximately 40 million square feet in 22 states and the District of Columbia.

“The Blackstone Group trusted us to perform due diligence on Southdale Center, Tri-County Mall and Dakota Square, and we are honored they selected us to manage these three retail centers, all of which are leaders in their respective markets,” said Ross Glickman, Chief Executive Officer of Urban Retail Properties Co. “Winning these management contracts is a terrific way for Urban Retail Properties Co. to begin the New Year, and we look forward to a healthy and robust 2003.”

Urban Retail Properties has a long-standing relationship with The Blackstone Group, widely acknowledged as one of the most successful and active investors in the global real estate market. In 1999 Blackstone awarded Urban the contract to manage Louis Joliet Mall (Joliet, Ill.). Since then, Urban has earned five additional management contracts from Blackstone, including Colonie Center (Albany, N.Y.), Southridge Mall (Greendale, WI) and the three most recent contracts for Southdale Center, Tri-County Mall and Dakota Square.

“The Blackstone Group greatly values its relationship with Urban Retail Properties Co., which we consider to be one of the nation’s premier regional mall property managers,” said Steve Galiotos, Managing Director of The Blackstone Group. “We are pleased to award these three management contracts to Urban, and we anticipate much continued success for both organizations in the years ahead.”

Southdale Center, in the Minneapolis suburb of Edina, is the area’s leading regional shopping center with 1.4 million square feet of retail space and more than 120 retail tenants.

In the northern Cincinnati suburb of Springdale, the 1.3-million-square-foot Tri-County Mall anchors the largest retail concentration in the Cincinnati metropolitan area. As the only major retail center within a 100-mile radius of Minot, N.D., the 666,000 square-foot Dakota Square offers shoppers the most extensive array of merchants, entertainment and dining options in the region.

“As we continue to aggressively grow our business, we are excited to add these three outstanding retail centers to our roster of managed properties,” Glickman said. “With our expertise and core focus in shopping center management, leasing and marketing, Urban plans to further strengthen the positions of Southdale Center, Tri-County Mall and Dakota Squares in each of their respective markets.”

About Urban Retail Properties Co.
Headquartered in Chicago, Illinois, Urban Retail Properties Co. is the nation’s largest third-party retail manager, managing and leasing approximately 40 million square feet in 24 states and the District of Columbia. Urban Retail’s portfolio includes assets owned by a diverse group of companies and institutions, including JP Morgan Investment Management, Wells Fargo Bank, Equity Office Properties, Hatfield Phillips, Lend Lease Real Estate Investments, Inc., Blackstone Real Estate Advisors and The City of St. Petersburg.

About The Blackstone Group
The Blackstone Group, a private investment bank with offices in New York and London, was founded in 1985. Blackstone’s Real Estate Group has raised four funds representing approximately $4 billion in total equity. The group has made over 100 separate investments in hotels, offices and other commercial properties with a total transaction value of about $13 billion. In addition to real estate, The Blackstone Group’s core businesses include Private Equity Investing, Corporate Debt Investing, Marketable Alternative Asset Management, Mergers and Acquisitions Advisory, and Restructuring and Reorganization Advisory.

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