ElderTrust Announces Company Has Fallen Below New York Stock Exchange Continued Listing Criteria.

Business Editors

KENNETT SQUARE, Pa.--(BUSINESS WIRE)--Sept. 22, 2000

ElderTrust (NYSE:ETT), an equity healthcare REIT, today announced that it has been notified by the New York Stock Exchange (NYSE) that it has fallen below the continued listing criteria relating to total market capitalization and minimum share value.

Under the market capitalization requirement, the Company's market capitalization must equal or exceed $15 million. Under the NYSE rules, the NYSE may grant a period of up to 18 months ending February 10, 2002 during which the Company would need to meet the requirement.

The Company has formally requested that this time period be granted and has submitted a business plan to the NYSE to demonstrate its ability to achieve compliance with this standard. The NYSE has 45 days to accept the Company's plan. If the plan is accepted, the Company will be subject to quarterly monitoring by the NYSE in the interim period.

Under the minimum share value requirement, the Company's shares must trade at a value exceeding $1 for thirty consecutive trading days. As a result of this notification, the Company must meet this requirement by the later of either its next annual meeting, currently scheduled for May 2001, or March 20, 2001 to retain its listing.

ElderTrust is a real estate investment trust that invests in real estate properties used in the healthcare services industry, principally along the East Coast of the United States.

Since commencing operations in January 1998, the Company has acquired direct and indirect interests in 31 buildings and has loans outstanding of $31 million, net of allowance, in construction and term financing on eight additional healthcare facilities.

Certain matters discussed within this press release may be deemed to be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Although ElderTrust believes the expectations reflected in such forward-looking statements are reasonable assumptions, it can give no assurance that its expectations will be attained.

Factors that could cause actual results to differ materially from ElderTrust's expectations include the extent to which Genesis and Multicare continue to make lease and loan payments to the Company, the outcome of the Genesis and Multicare bankruptcy proceedings, real estate conditions, the Company's ability to refinance its existing bank credit facility when it matures in June 2001, changes in the economic conditions and other risks detailed from time to time in the Company's SEC reports and filings.

The Company assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.

For more information on ElderTrust visit ElderTrust's Web site at www.eldertrust.com