Bluegreen Corporation Announces Extension of Consent Solicitation.

Business Editors

BOCA RATON, Fla.--(BUSINESS WIRE)--Oct. 11, 2001

Bluegreen Corporation (NYSE:BXG) (the "Company") announced today that it has extended the date of the expiration of its solicitation of consents (the "Consent Solicitation") to certain proposed amendments to the Indenture (the "Indenture"), by and among the Company, certain of the Company's subsidiaries, as guarantors, and SunTrust Bank (formerly SunTrust Bank, Central Florida, National Association), as notes trustee, governing the Company's 10 1/2% Senior Secured Notes due 2008 (the "Notes").

The Consent Solicitation, which had been scheduled to expire at 5:00 p.m., New York City time, on Friday, October 5, 2001, is now being extended until 5:00 p.m., New York City time, on Friday, November 16, 2001.

The Company is seeking consents to the proposed amendments described below in order to provide the Company with greater flexibility in the operational activity of Bluegreen/Big Cedar Vacations LLC, a majority-owned joint venture, which the Company entered into in 2000. In addition, the proposed amendments will provide the Company with greater flexibility in structuring future asset securitization transactions pursuant to which it sells its timeshare receivables and related assets to third parties. Although the Indenture currently permits joint venture arrangements and asset securitizations, the Company believes that the proposed amendments will enable it to structure these arrangements in a manner which maximizes the benefit of these transactions to the Company.

Adoption of the proposed amendments would amend the Indenture to:

- provide that the Company's Big Cedar Joint Venture will not be required to
guarantee the Notes:

- provide that any Receivables Subsidiary (as defined in the Indenture) may
incur debt arising in connection with any receivables securitization or
financing transactions; and

- permit certain arm's-length transactions between the Company and the Big
Cedar Joint Venture to proceed without the expensive and time-consuming
requirement that the Company obtain a written fairness opinion from an
independent investment banking, accounting or appraisal firm.

Located in Boca Raton, FL, the Company is a leading marketer of vacation and residential life-style choices through its' resorts and residential land businesses. The Company's resorts business strategically acquires, develops and markets timeshare interests in resorts generally located in popular high-volume, "drive-to" vacation destinations. The Company's residential land business strategically acquires, develops and subdivides property and markets the subdivided residential lots to retail customers seeking to build a home in a high-quality residential setting.

This press release does not constitute a solicitation of consents to amend the Indenture. The consent solicitation is made solely by the Company's Request for Consent to Certain Amendments to Indenture dated July 2, 2001, and related documents. Copies of these documents can be obtained by contacting the Notes Trustee, Lisa Derryberry of SunTrust Bank at [phone].

Any statements contained herein that are not statements of historical fact may be deemed forward-looking statements, and the Company desires to take advantage of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995 in connection with those statements. Such forward-looking statements are made based on current expectations and assumptions and are subject to risks and uncertainties, many of which are beyond the Company's control, that could cause the actual results, performance or achievements of the Company, or industry trends, to differ materially from those expressed or implied by such forward-looking statements. Given these risks and uncertainties, investors are cautioned not to place undue reliance on such forward-looking statements, and no assurance can be given that such forward-looking statements will be achieved. All subsequent written and oral forward-looking statements concerning the proposed transaction or other matters and attributable to the Company or any person acting on its behalf are expressly qualified in their entirety by the cautionary statements referenced above. The Company does not undertake, and specifically disclaims any obligation, to update forward-looking statements, even if the Company's situation may change in the future.