PREIT Announces Quarterly Dividend for Common and Preferred Shares.

PHILADELPHIA -- Pennsylvania Real Estate Investment Trust (NYSE:PEI) announced today that its Board of Trustees has declared a quarterly cash dividend of $0.57 per common share. The dividend will be paid on December 15, 2006 to common shareholders of record on December 1, 2006. The December 15, 2006 dividend payment will be PREIT's 119th consecutive distribution since its initial dividend paid in August of 1962. Throughout its history, the Company has never omitted or reduced a shareholder dividend.

PREIT also announced today that its Board of Trustees has declared a regular quarterly dividend of $1.375 per share on its 11% senior preferred shares. The dividend will be paid on December 15, 2006 to holders of record on December 1, 2006.

About Pennsylvania Real Estate Investment Trust

Pennsylvania Real Estate Investment Trust, founded in 1960 and one of the first equity REITs in the U.S., has a primary investment focus on retail shopping malls and power centers (approximately 34.4 million square feet) located in the Mid-Atlantic region and the eastern United States. PREIT's portfolio currently consists of 51 properties in 13 states, including 39 shopping malls, 11 strip and power centers and one office property. PREIT is headquartered in Philadelphia, Pennsylvania and its website can be found at www.preit.com.

This press release contains certain "forward-looking statements" within the meaning of Section 21E of the Securities Exchange Act of 1934 and the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and other matters that are not historical facts. These forward-looking statements reflect PREIT's current views about future events and are subject to risks, uncertainties, assumptions and changes in circumstances that may cause future events, achievements or results to differ materially from those expressed by the forward-looking statements. Additionally, there can be no assurance that PREIT's actual results will not differ significantly from the estimates made by PREIT. PREIT's business is subject to uncertainties regarding the revenues, operating expenses, leasing activities, occupancy rates, and other competitive factors relating to PREIT's portfolio and changes in local market conditions, as well as general economic, financial and political conditions, including the possibility of outbreak or escalation of war or terrorist attacks, any of which may cause future events, achievements or results to differ materially from those expressed by the forward-looking statements. In particular, if PREIT elects to undertake the development or redevelopment of a property, any such development or redevelopment of a property is subject to a number of risks, including, among others, that PREIT's development or redevelopment plans might change, its development or redevelopment activities might be delayed and anticipated project costs might increase. Unanticipated expenses or delays would also adversely affect PREIT's investment returns on a development or redevelopment project. PREIT does not intend to update or revise any forward-looking statements set forth in this press release to reflect new information, future events or otherwise. Investors are also directed to consider the risks and uncertainties discussed in documents PREIT has filed with the Securities and Exchange Commission and, in particular, PREIT's Annual Report on Form 10-K for the year ended December 31, 2005.

Additional information about PREIT is available on www.preit.com