May 15, 2008, Woodbridge, Virginia – The Mills®, a Simon Property Group, Inc. (www.simon.com) (NYSE: SPG) company, announced today expansion plans for Potomac Mills including 50,000 square feet of new restaurant and retail space and the addition of a new Neiman Marcus Last Call Clearance Center.

This multi-million dollar project will feature approximately 30,000 square feet of restaurant space, 20,000 square feet of retail and a redesigned main entrance and exterior facade. Located on the south side of the property, the expansion will begin at AMC Theatres and extend towards Costco.

“The expansion is part of a long-term vision and commitment by The Mills to further enhance Potomac Mills. The new area will provide us with a platform to add several upscale restaurants and exciting retail brands to Potomac Mills.” commented Gregg Goodman, executive vice president, development. “We are in active discussions with a number of restaurants and there is a great deal of interest in the property.”

“AMC Theatres at Potomac Mills is one of the top producing theaters in the country. It is a natural fit to add complementary restaurants and retail to create a lifestyle addition where customers can enjoy shopping, dining and a movie all in one centrally located area of the mall” said David Gott, general manager, Potomac Mills.

The new expansion is designed to complement and update the existing building through a vibrant combination of traditional and contemporary elements including red brick and white exterior. Customers will be able to access the new restaurants and stores from both inside and outside the mall. The projected grand opening for the project is targeted for 2010.

Neiman Marcus Last Call Clearance Center will open a new location at Potomac Mills in existing retail space. The 34,000 square foot store will be located in Neighborhood 1 between Off Broadway Shoe Warehouse and AMC Theatres and feature a signature Neiman Marcus Last Call exterior façade and entrance. Construction will commence fall 2008 with the grand opening scheduled for spring 2009.

Inside, fashion-savvy bargain hunters will find marked-down merchandise including women's, men's and children's apparel, shoes, jewelry, handbags, furniture, luggage, gifts and home accessories from Neiman Marcus stores, Neiman Marcus Direct, and Bergdorf Goodman stores.

“Neiman Marcus Last Call is the ideal addition to Potomac Mills, providing our customers with a value-oriented yet high-end designer brand merchandise selection,” remarked Gott. Currently, there are only 21 Last Call Clearance Centers in the US.

Today Potomac Mills boasts more than 1.6 million square feet of diverse shopping, dining and entertainment choices with 22 anchor stores, more than 220 full, outlet and value-priced retail shops, plus a wide array of dining and entertainment options all under one roof making it the 2nd largest mall in the Washington, DC metro area and a very popular tourism site according to the Virginia Tourism Corporation.

About Potomac Mills:
Potomac Mills is conveniently located immediately off of I-95, and is 30 miles from Washington, DC. With more than 200 outlet and value-oriented stores, the mall is a bargain hunter's mecca and is also one of Virginia's top tourist attractions. Potomac Mills is managed The Mills, a subsidiary of Simon Property Group headquartered in Indianapolis, IN. The mall's website is www.potomacmills.com.

About Neiman Marcus:
The Neiman Marcus Group, Inc. operations include the Specialty Retail Stores segment and the Direct Marketing segment. The Specialty Retail Stores segment consists primarily of Neiman Marcus and Bergdorf Goodman stores. The Direct Marketing segment conducts both print catalog and online operations under the Neiman Marcus, and Bergdorf Goodman brand names. Information about the Company can be found at www.neimanmarcusgroup.com.

About Mills:
The Mills is one of Simon Property Group's five real estate platforms. With 17 properties totaling over 24 million square feet, The Mills properties are large retail venues focused on delivering value to the consumer. The Mills brand offers a broad and unique mix of full-price, value and outlet retail and family-oriented dining and entertainment options, featuring the most popular consumer brands and concepts. Mills projects are well-located in major metropolitan markets. Notable properties include Arundel Mills (Baltimore), Grapevine Mills (Dallas), Opry Mills (Nashville) and Sawgrass Mills (Ft.Lauderdale/Miami).

About Simon Property Group:
Simon Property Group, Inc. is an S&P 500 company and the largest public U.S. real estate company. Simon is a fully integrated real estate company which operates from five retail real estate platforms: regional malls, Premium Outlet Centers®, The Mills®, community/lifestyle centers and international properties. It currently owns or has an interest in 382 properties comprising 260 million square feet of gross leasable area in North America, Europe and Asia. The Company is headquartered in Indianapolis, Indiana and employs more than 5,000 people worldwide. Simon Property Group, Inc. is publicly traded on the NYSE under the symbol SPG. For further information, visit the Company's website at www.simon.com.

MEDIA CONTACT:
Stephanie Orton Lynch, MJ Marketing
(703) 683-9631 / stephanie@mjmarketingpr.com

Caroline Barry Green, Director of Mall Marketing, Potomac Mills
(703) 496-9350 / cbarry@simon.com