CAPREIT acquires 30th property.

ROCKVILLE, Md.--(BUSINESS WIRE)--May 7, 1996--Capital Apartment Properties Inc. (CAPREIT) today announced the acquisition of the 158-unit Fountain Place II Apartments in Eden Prairie, Minn.

The purchase price for the luxury midrise apartment community was in excess of $7.4 million. CAPREIT currently manages Phase I of the Fountain Place Apartments.

CAPREIT now manages over 16,500 units in 62 properties throughout the United States. CAPREIT owns 30 properties, with 7,512 units in 10 states in the Midwest and Southeast, a property increase of nearly 50 percent since CAPREIT's formation.

Richard L. Kadish, president and CEO of CAPREIT, said, "We are extremely pleased to acquire this high-end apartment complex in the Twin Cities market. The acquisition of Fountain Place II represents CAPREIT's 10th property in Minnesota."

Capital Apartment Properties Inc., based in Rockville, is a self-administered, self-managed, privately-owned real estate investment trust (REIT) founded in 1992. It is owned by an affiliate of the Apollo Real Estate Investment Fund, L.P. The company owns and manages multifamily apartment communities throughout the Midwest, Mid-Atlantic, Northwest and Southeast.

CONTACT: CAPREIT

Richard L. Kadish, 301/231-8700

or

KCSA 

Janette Funke/Daisy Okas, 212/682-6565 ext. 220/216

Fax: [phone]

E-Mail: [e-mail]