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Chelsea Property Group, a Simon Subsidiary, Opens Premium Outlets Punta Norte (mr)

ROSELAND, N.J., Dec. 10 /PRNewswire-FirstCall/ -- Simon Property Group, Inc. (NYSE: SPG) announced today that its wholly-owned subsidiary, Chelsea Property Group, has opened the first Premium Outlet center in Mexico, Premium Outlets Punta Norte. The center is owned by Premium Outlets de Mexico, a joint venture company led by Chelsea Property Group and Sordo Madaleno & Associates. Premium Outlets Punta Norte is located approximately 28 kilometers (17 miles) northwest of Mexico City in the state of Mexico at the intersection of the Periferico North, an eight lane north-south highway, and Chamapa La Venta toll road.

The official grand opening weekend commenced yesterday with a dedication ceremony attended by State of Mexico Governor, Lic. Arturo Montiel Rojas, Presidente Constitucional del Estado de Mexico, the mayor, L.A.E. Alfredo Duran Reveles, Presidente Constitucional de Cautitlan Izcalli and officials from the joint venture partners, Sordo Madaleno & Associates and Chelsea Property Group. The grand opening celebration continues through December 12, 2004.

The 231,000 square-foot (21,000 sq. meters) first phase of Premium Outlets Punta Norte is leased to over 50 tenants including Adidas, Christian Dior, Catimini, Dockers, Ermenegildo Zegna, Levi's, Puma, Nautica, Nike Factory Store, Nine West, Palacio Outlet, Reebok, Samsonite, Sexy Jeans, Sony Outlet, Starbucks and more. Every outlet store offers manufacturer direct savings of 25% to 65% every day. The center also features a 9,396 square-foot, 350 seat, 12-tenant Food Court with Dunkin Donuts, Domino's Pizza, McDonalds, Taco Inn and more. Premium Outlets Punta Norte is expected to expand in subsequent phases to a total of more than 390,000 square feet.

The Punta Norte project was designed, built and leased in keeping with Chelsea's Premium Outlets concept in the United States. This is best exemplified by properties like Woodbury Common Premium Outlets (near New York City), Desert Hills Premium Outlets (near Palm Springs, California), Orlando Premium Outlets and Las Vegas Premium Outlets, each of which features striking outdoor shopping environments and are popular destinations for both local consumers and visitors. In addition, Premium Outlets Punta Norte receives excellent visibility and accessibility from the heavily traveled Periferico North, the main highway artery connecting Downtown Mexico City and Queretaro. Significant roadway infrastructure has been completed providing direct access to the outlet project.

Premium Outlets Punta Norte's design features wide open-air corridors, a unique mix of natural elements and is painted with a contemporary interpretation of traditional Mexican craft style. Mr. Javier Sordo, President of Sordo Madaleno & Associates and the architect for the center said, "We have taken the best of the outlet concept in the U.S. and adapted that model for the Mexican consumer by providing a uniquely designed outdoor shopping mall with modern edge."

Speaking on behalf of Premium Outlets de Mexico, Leslie Chao, President of Chelsea Property Group, said "Premium Outlets Punta Norte is the result of a strong collaboration in development, leasing, marketing, construction and management. We are very pleased to bring this entirely new shopping experience to the country. We are delighted to be here and hope to expand our Premium Outlets concept in Mexico."

For more information and to register to be a VIP Shoppers Club member visit http://www.premiumoutlets.com.mx .

Chelsea Property Group is the world's largest owner and operator of manufacturers' outlet centers and operates as a wholly-owned subsidiary of Simon Property Group, Inc. ("Simon"). Simon, headquartered in Indianapolis, Indiana, is a real estate investment trust engaged in the ownership, development and management of retail real estate, primarily regional malls, Premium Outlet(R) centers and community shopping centers. Simon is the largest publicly traded real estate company in the U.S. with a total market capitalization of approximately $36 billion. Through its subsidiary partnerships, it currently owns or has an interest in 301 properties in North America containing an aggregate of 204 million square feet of gross leasable area in 39 states plus Puerto Rico, Canada and Mexico. Simon also holds interests in 49 European shopping centers in France, Italy, Poland and Portugal and 4 Premium Outlet centers in Japan. Additional Simon Property Group information is available at http://www.simon.com .

Founded in 1937, Sordo Madaleno & Associates is one of the most recognized firms in Mexico within the following areas: urban development, architecture and interior design. Its project scope includes the design and development of an extensive variety of projects, among which include prominent hotels and shopping centers including Plaza Universidad, Plaza Satelite and Angelopolis.

SOURCE Simon Property Group, Inc.

CONTACT: In the USA: Karen Fluharty of Chelsea Property Group, +1-973-228-6111, kfluharty@cpgi.com ; or In Mexico: Jorge Resendiz of Premium Outlets de Mexico, 2167-3088, JResendiz@cpgi.com ; Lourdes Garcia, 5250-1545, Lourdes.Garcia@edelman.com , or Susana Jaramillo, 5250-1514, susana.jarmillo@edelman.com , both of Edelman Mexico/