Citycon Oyj - Company Announcement

Citycon to Redevelop Shopping Centre Koskikeskus in Tampere

CITYCON OYJ      Stock Exchange Release     4 May 2011 at 9:05 hrs

Citycon Oyj begins a redevelopment of shopping centre Koskikeskus in downtown
Tampere, Finland. The shopping centre's redevelopment project covers all retail
premises owned by Citycon. 

The shopping centre's gross leasable area will increase by 1,500 square metres
due to the alteration work in the interior premises. The total leasable retail
area of Koskikeskus will be approximately 28,600 square metres after the
project. The redevelopment starts immediately and the completely redeveloped
Koskikeskus will open in November 2012. Koskikeskus will remain open during the
entire duration of the project. Citycon will invest EUR 37.9 million in the
redevelopment project. 

The interior of the shopping centre, the entrances, facades and all the
technical systems will be thoroughly renewed. This includes the installation of
an environmentally friendly cooling system, which is based on the cooling power
of the nearby Tammerkoski rapids. 

The retail offering of Koskikeskus will be significantly diversified and
following the redevelopment the shopping centre will better meet the
expectations of the demanding downtown customer. The retail mix of Koskikeskus
will focus more on fashion and versatile restaurant services. 

“Koskikeskus has an excellent location right in the city centre of Tampere. Our
project is a prime example of our commitment to the future of city centres as
destinations for leisure and shopping. We aim to further strengthen
Koskikeskus' position as the leading shopping centre in Tampere and increase
its value. The Tampere region is, just like the Helsinki Metropolitan Area, an
area of strong growth. Its growing population of 350,000 has high purchasing
power which generates significant retail demand”, says EVP, Finnish Operations,
Michael Schönach, and continues: “After the redevelopment project, Koskikeskus
will offer several retail brands that are new to Tampere, or even to Finland.” 

Koskikeskus is Citycon´s fourth largest shopping centre in Finland and it
offers over 80 different retail stores and services. The shopping centre was
built in 1988 and it was previously partly refurbished in 1995. In 2010,
Koskikeskus generated sales of EUR 115.7 million from a footfall of 5.8 million
visitors. Both numbers are expected to increase after the completion of the
redevelopment. 

Helsinki, 3 May 2011

CITYCON OYJ
Marcel Kokkeel
Chief Executive Officer

Further information:
Michael Schönach, Executive VP, Finnish Operations
Tel. +358 20 766 4519 or +358 40 356 0909
michael.schonach@citycon.fi

Marcel Kokkeel, CEO
Tel. +358 20 766 4521 or +358 40 154 6760
marcel.kokkeel@citycon.fi

Distribution:
NASDAQ OMX Helsinki
Major media
www.citycon.com