Atlantic Gulf Communities reports second quarter profit.

MIAMI--(BUSINESS WIRE)--Aug. 14, 1996--Atlantic Gulf Communities Corp. (NASDAQ:AGLF) announced Wednesday that it recorded net income of $496,000, or $.05 per share, for the second quarter ended June 30, 1996 as compared to a loss of $4,953,000, or $.51 per share for the second quarter last year.

The company reported that net income for the six months ended June 30, 1996 was $3,861,000 as compared to a loss of $9,744,000 for the comparable period last year.

Atlantic Gulf's revenues were $51,729,000 for the second quarter ended June 30, 1996, up from $18,569,000 in the second quarter last year. Total revenues for the six months ended June 30, 1996 were $83,503,000 compared to $34,653,000 for the same period last year, an increase of over 140%.

Real estate sales accounted for over $46 million of revenue for the quarter just ended, as compared to just under $12 million of revenue for the second quarter last year. A large portion of this increase in revenues is attributable to the sale of the company's Julington Creek Plantation community in Jacksonville, Fla. Additional real estate revenues were provided by homesite sales in Broward County and Orlando, as well as sales at the company's ocean front condominium project.

"As the company continues its transaction to become a major provider of finished homesites in Florida's fastest growing markets, we expect to see this segment provide a greater portion of our revenue," said J. Larry Rutherford, president and CEO of Atlantic Gulf Communities. "The first half of 1996 has seen this happen."

Atlantic Gulf Communities Corp., with assets of approximately $280 million, is one of Florida's largest real estate developers. The company develops finished residential lots for builders in many of Florida's most active markets including South Florida, Tampa, Orlando and Jacksonville, in addition to owning 44,000 acres in other parts of Florida, and 5,500 acres in the Cumberland Plateau area of Tennessee. Headquartered in Miami, the company is a proven leader in professional development services, and is known for its leadership role in environmental quality. -0-

                    ATLANTIC GULF COMMUNITIES CORP.
                  FOR THE PERIOD ENDED JUNE 30, 1996
                        RESULTS OF OPERATIONS
                             (Unaudited)

                                   For The Three Months Ended
                                June 30, 1996      June 30, 1995

Total Revenues                  $ 51,729,000       $ 18,569,000

Net Income (Loss)               $    496,000       $ (4,953,000)

Net Income (Loss) per Share     $        .05       $       (.51)

Weighted Average common
  shares outstanding               9,699,000          9,675,000

                                    For The Six Months Ended
                                June 30, 1996      June 30, 1995

Total Revenues                  $ 83,503,000       $ 34,653,000

Net Income (Loss)               $  3,861,000       $ (9,744,000)

Net Income (Loss) per Share     $        .40       $      (1.01)-0-

NOTE TO EDITORS: In the World Wide Web address noted in this news release, there is a double slash between http: and www.atlanticgulf.com. These symbols may not appear properly in some systems.

CONTACT: Atlantic Gulf Communities Corp., Miami

Harry Rose, 305/859-4376

Internet Address: http://www.atlanticgulf.com