Regency Centers Exercises Option to Increase Interest in MCW II Partnership

JACKSONVILLE, Fla.--(BUSINESS WIRE)-- Regency Centers Corporation (NYSE:REG) announced today it has notified Macquarie CountryWide (MCW) that the Company will exercise its options to increase its interest in Macquarie CountryWide-Regency II, LLC (MCW II), an existing co-investment partnership between Global Retail Investors LLC (GRI), Regency and MCW that currently owns 86 retail shopping centers across the country.

(Hap Stein, top right photo, is chairman of Regency Centers Corp.)

In July 2009, GRI, a joint venture between the California Public Employees' Retirement System (CalPERS) and an affiliate of First Washington Realty, Inc., agreed to purchase the majority of MCW's interest in MCW II.

 At that time, the partnership was valued at $1.73 billion for the transaction. The first phase of the transaction which involved the sale of 45% of the partnership to GRI closed July 31, 2009.

The second phase in which an additional 15% of the partnership will be sold by MCW to GRI is scheduled to close upon receipt of lender consents required under certain of the partnership's property-level loans.

 As part of the agreement, Regency acquired two options to purchase the remainder of MCW's interest (up to 15% in total) at a 7.7% discount.

Expected closing of the increased interest is December 1, 2009. With the closing, Regency's ownership in MCW II will increase to 40%. Regency will remain the managing member of the partnership and retain management and leasing responsibilities.

Contact: Regency Centers Corporatio,  Lisa Palmer, 904-598-7636,  www.RegencyCenters.com