Citycon will develop a new shopping centre in Hervanta, Tampere

Citycon Oyj Stock Exchange Release 3 June 2005 at 3:30 pm Citycon will develop a new shopping centre in Hervanta, Tampere Citycon will develop a new shopping centre in Hervanta, a district of the city of Tampere. Hervannan Liikekeskus Oy, a company in which Citycon now has a holding of 75 per cent, will be a part of the new shopping centre. Gross leasable area of the new building will be about 8,300 square metres. The total gross area of the shopping centre will be about 31,400 square metres with a total gross leasable area of roughly 15,500 square metres. About 450 parking spaces will be built under and on the street level to serve the customers of the shopping centre. The owner of the new building will be a real estate company called Kiinteistö Oy Kauppakeskus Tampereen Hermanni, which is a wholly-owned subsidiary of Citycon. The shopping centre will house three grocery stores, numerous specialty stores, service businesses as well as restaurants and cafes. The new shopping centre will after its completion serve approx. 35 000 inhabitants in its catchment area and the people working in the numerous offices in the neighboring area. The new city district of Vuores to be established next to Hervanta will also utilize the commercial services of the future shopping centre. Change in the city plan required by the project became legally binding in May 2005 and an application for building permit is expected to be submitted during June. Citycon has today signed an agreement on the purchase of the land required for the expansion from the city of Tampere for a purchase price of EUR 1.75 million. The final execution of the deal requires that the decisions made by the city of Tampere will become legally valid. The total investment in the project is estimated to amount to approx. EUR 25.3 million and the net yield of the shopping centre is estimated to exceed 8 per cent. The expansion is planned to be opened in spring 2007. The total gross leasable area of the current Hervanta commercial centre amounts to approx. 7,200 square metres, of which Citycon holds roughly 5,000 square metres. Citycon's main lessees in the current premises are Kesko, Spar and Nordea. The centre will continue operating during the whole construction period uninterrupted. Citycon is the market leader for shopping centre business in Finland. Citycon owns a total of 16 shopping centres in the Helsinki Metropolitan Area and in other regional centres in Finland and, as planned, as of 1 July 2005 Åkersberga Shopping Centre located in the Stockholm Metropolitan Area in Sweden. In addition to shopping centres, Citycon owns 128 supermarkets and shops in Finland. The fair value of the company's entire property portfolio on 31 March 2005 was EUR 736.4 million, of which shopping centres account for 60.8 per cent and supermarkets and shops for 39.2 per cent. Helsinki 3 June 2005 Citycon Oyj Board of Directors For more information, please contact: Petri Olkinuora, CEO tel. +358 400 333 256 petri.olkinuora@citycon.fi Carl Slätis, Head of Property Development Division tel. +358 40 560 7522 carl.slatis@citycon.fi Distribution: Helsinki Stock Exchange Main news media www.citycon.fi

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