Citycon Oyj          Stock Exchange Release 29.12.2003 1.30pm

CITYCON HAS
ACQUIRED THE KOSKIKESKUS AND KOSKIKARA SHOPPING 
CENTRES

Citycon Oyj, which
specialises in commercial premises for the 
retail trade, has acquired Polar
Real Estate Corporation's 
holdings in Tampereen Koskikeskus and Valkeakosken
Koskikara. 
Citycon also made a preliminary contract for the acquisition of

Seinäjoen Torikeskus. If the terms of the preliminary contract are

fulfilled, the transaction will be effected on 27 February 2004. 
The
acquisitions will underpin Citycon's strong position on the 
Finnish market
for retail premises and reinforce the Shopping 
Centres Division, which is
part of the company's core competence.

The combined price for Tampereen
Koskikeskus and Valkeakosken 
Koskikara is 49.3 million euros. The net yield
of the properties 
on their purchase price at the date of the transaction is
roughly 
7.9 per cent. To finance the transactions, Citycon Oyj is taking a

45 million euro long-term loan. The period and terms of the loan 
correspond
to those of the loan made in November 2002. The main 
arranger of the
syndicated loan is Nordea Bank Finland Plc, with 
Svenska Handelsbanken AB,
Eurohypo AG and HSH Nordbank AG as the 
other arrangers.

The transaction
will make 191 current tenants in the properties 
customers of Citycon. Citycon
estimates that the deal will boost 
the Shopping Centres Division's net rental
income by roughly 3.9 
million euros annually or roughly 13.2 per
cent.

Koskikeskus is the most varied shopping centre in the Tampere

economic zone and it is located in the city centre. The 
transaction makes
Citycon the owner of all the retail facilities 
in the property. The total
sales of Koskikeskus have grown at 8-11 
per cent per year over the past four
years, which is twice the 
overall trend in this business. An extension
amounting to roughly 
15,000 square metres of commercial space has been
planned for 
Koskikeskus. Work has been started on the planning permission

required for the project.

Valkeakosken Koskikara is in the Tampere market
area, in the heart 
of the city of Valkeakoski. Koskikara is a vigorous
shopping 
centre in an excellent business location with good
access.

Summary of the newly acquired holding

                         
Koskikeskus              Koskikara

Retail space, sq.m.       13,444         
         5,671
Rental occupancy rate 
of retail premises, %     100%         
           100%
Number of tenants         158                      33
Average
length of
leases, year              3.3                      1.5

Summary,
entire shopping centre

                         Koskikeskus              
Koskikara

Number of visitors,
million*                 6.3                 
     2.5
Total sales, €m*         111.0                     35.0
Catchment
area,
Population               306,000                   34,000
Year of
completion       1988                      1993
Citycon's floor area in
the
shopping centre after
the transaction, sq.m.   28,000                   
5,800
Citycon's holding in
the shopping centre after
the
transaction
(before in brackets)     88%(27%)                 
55%(0%)
*Estimate for 2002

"The new acquisitions will underpin Citycon's
core competencies. 
The substantial increase in our holdings in Koskikeskus
and 
Koskikara will strengthen Citycon, but above all they will give 
the
properties themselves a boost. By owning a number of shopping 
centres we are
able to enhance their business and strengthen their 
market position more
effectively than before. Once completed, the 
major extension planned for
Koskikeskus will further improve its 
position as the biggest and most
competitive retail unit in the 
city centre," says Citycon's CEO Petri
Olkinuora.

Seinäjoen Torikeskus is one of the leading shopping centres in
the 
large market area of Southern Ostrobothnia. The shopping centre 
was
visited by an estimated 1.8 million customers in 2002 and its 
total sales
were roughly 16.0 million euros. The purchase price of 
Seinäjoen Torikeskus
is 7.0 million euros. The net yield of the 
property on its purchase price at
the date of the transaction is 
roughly 8.6 per cent.

Citycon is the
Finnish market leader for shopping centre business.
After the transaction, the
company owns a total of 15 shopping 
centres in the Helsinki Metropolitan Area
and other regional 
centres in Finland. The estimated total sales of the
shopping 
centres after the transaction are 721 million euros a year and the

leasable area owned by Citycon totals 203,000 sq.m. 

In addition to
shopping centres, Citycon also owns 133 
supermarkets and shops. The balance
sheet value of the company's 
entire property portfolio after the transaction
now effected is 
722.8 million euros, of which shopping centres account for
58.0 
per cent and supermarket and shops for 42.0 per cent.

Citycon
Oyj
Board of Directors

Further information: 
CEO Petri Olkinuora
Tel.
+358 9 680 36 738 or +358 400 333 256

www.citycon.fi
Distribution: Helsinki
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