Acadia Realty Trust Receives Cash Distribution from Albertson's Investment.

Increases Earnings Guidance

NEW YORK -- Acadia Realty Trust (NYSE: AKR - "Acadia" or the "Company"), a real estate investment trust ("REIT"), announced today that it has received a cash distribution totaling approximately $8.5 million from its investment interest in Albertson's LLC. The distribution represents the Company's share of the approximately $42.5 million distribution made with respect to Acadia and its subsidiaries' investment in its Retailer Controlled Property Venture ("RCP Venture"). The distribution resulted from cash proceeds obtained by Albertson's LLC in connection with its disposition of certain operating stores and a refinancing of the remaining assets held in the entity.

As a result of this transaction, the Company is increasing its previously provided 2007 full-year funds from operations ("FFO") guidance to a range of $1.30 to $1.35 per share from the previously announced range of $1.24 to $1.32 per share. The Company is also revising its previously provided 2007 earnings per share guidance to a range of $0.65 to $0.70 from the previous range of $0.59 to $0.67.

The following is a reconciliation of the calculation of FFO per share and earnings per share:

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Acadia Realty Trust, headquartered in White Plains, NY, is a fully integrated, self-managed and self-administered equity REIT focused primarily on the ownership, acquisition, redevelopment and management of retail properties, including neighborhood/community shopping centers and mixed-use properties with retail components.

Certain matters in this press release may constitute forward-looking statements within the meaning of federal securities law and as such may involve known and unknown risk, uncertainties and other factors which may cause the actual results, performances or achievements of Acadia to be materially different from any future results, performances or achievements expressed or implied by such forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, those discussed under the headings "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Risk Factors" in the Company's most recent annual report on Form 10-K filed with the SEC on March 16, 2006, as amended and retrospectively adjusted, (the "Form 10-K") and other periodic reports filed with the SEC, including risks related to: (i) the Company's reliance on revenues derived from major tenants; (ii) the Company's limited control over joint venture investments; (iii) the Company's partnership structure; (iv) real estate and the geographic concentration of our properties; (v) market interest rates; (vi) leverage; (vii) liability for environmental matters;(viii) the Company's growth strategy; (ix) the Company's status as a REIT (x) uninsured losses and (xi) the loss of key executives. Copies of the Form 10-K and the other periodic reports Acadia files with the SEC are available on the Company's website at www.acadiarealty.com. Any forward-looking statements in this press release speak only as of the date hereof. Acadia expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in Acadia's expectations with regard thereto or change in events, conditions or circumstances on which any such statement is based.

For more information visit Acadia Realty Trust's Web site at www.acadiarealty.com, which is not to be deemed a part of this press release.