Real Estate Central

ST. CHARLES, Md., May 15 /PRNewswire-FirstCall/ — American Community
Properties Trust (ACPT) (AMEX:APO) a diversified real estate organization,
today announced results for the three months ended March 31, 2008.

For the three months ended March 31, 2008, the Company reported a net
loss of $1,193,000, or $0.23 per basic and diluted share, on operating
revenue of $19,258,000. This compares to net income of

4,000, or $0.00
per basic and diluted share, on operating revenue of

1,987,000 for the
same period in 2007.

Edwin L. Kelly, Vice Chairman, President and Chief Operating Officer,
attributed the loss to a decline in revenues from community development
land sales in St. Charles, and in revenues from homebuilding sales in
Puerto Rico. “Clearly, the performance of the national economy,
particularly in regard to the availability of credit, has impacted the sale
of residential homes in St. Charles and Parque Escorial. The Company
continues to make prudent investments in land development so that it will
be well-positioned when the new-home market improves,” said Mr. Kelly.

Cynthia L. Hedrick, Executive Vice President and Chief Financial
Officer, noted that the decline in land development revenues was partially
offset by an increase in rental property revenues, which increased $989,000
for the first quarter of 2008, compared to the same period in 2007. Ms.
Hedrick primarily attributed the increase to the Company’s completion of
Sheffield Greens, a 252-unit apartment property in the planned community of
St. Charles, which was only partially occupied in the first quarter of
2007. Ms. Hedrick also noted overall rent increases for comparable
properties of four percent at United States properties and two percent at
Puerto Rico properties.

Sales of Commercial parcels in St. Charles decreased

,352,000, to
$184,000, in the first quarter of 2008, compared to

,536,000 during the
same period in 2007. Also in the first quarter of 2008, the Company
delivered eight townhome lots and three single family lots in St. Charles’
Sheffield neighborhood to Lennar, generating revenue of $778,000. In the
same period of 2007, the Company delivered seven townhome lots, generating
$595,000 in revenue.

In Parque Escorial, homebuilding sales decreased $844,000 for the three
months ended March 31, 2008, compared to the same period in 2007. During
the first quarter of 2008, nine units were sold in Torres del Escorial at
an average selling price of

49,000 per unit; in the same period of 2007,
the Company sold 12 units at an average price of

57,000 per unit.

“We would also note that prices for new condominiums in Parque Escorial
remain steady,” added Mr. Kelly. “In addition, the Company started
development work on the hilltop section of Parque Escorial in the first
quarter of 2008.”

Ms. Hedrick also noted that in the first quarter of 2007 the Company
benefited from the collection of a note receivable related to the sale of
El Monte in 2004. As a result of this non-recurring item, net income for
the quarter ended March 31, 2007 increased by $921,000. The Company had
previously deferred revenue recognition on this note until the cash was
received, which occurred in January 2007. The Company also reported
$378,000 in expenditures in the first quarter of 2008 related to its
previously disclosed efforts to explore strategic alternatives for the
Company. The Company did not report any similar expenditures in the period
ending March 31, 2007.

ACPT’s operating results should be evaluated over an extended period of
time due to the cyclical nature of its business.

Company Information

ACPT (AMEX:APO) is a diversified real estate organization with
operations in Maryland and Puerto Rico that specializes in community
development, homebuilding, investment in rental properties, and asset
management services. ACPT is currently listed on the American Stock
Exchange under the symbol AmCmntyProp (APO). When filed, ACPT’s Form 10-Q
will be available via the Internet at http://www.acptrust.com.

Certain matters within this press release may be deemed to be
forward-looking statements within the meaning of the federal securities
laws. Investors are cautioned that all forward-looking statements involve
risks, uncertainties, and other factors that could cause actual results to
differ materially from those in the forward-looking statement.
Forward-looking statements relate to anticipated revenues, gross margins,
earnings, and the growth of the market for our products. Numerous factors
could cause results to differ, including but not limited to, changes in
market demand and acceptance of the Company products, impact of competitive
products and pricing, dependence on third-party customers (specifically
Lennar Corp.), dependence on third-party suppliers, changes in government
regulations, general economic conditions, the current slowdown in the U.S.
economy, our ability to find suitable financing for our development
activities, the normal cyclical nature of the real estate industry and
development economy and changes in our tax status. Although the Company
believes the expectations reflected in such forward-looking statements are
based on reasonable assumptions, it can give no assurance that its
expectations will be attained. For more information on the risks that may
affect the Company’s operations, business and prospects, please refer to
the Company’s Annual Report on Form 10-K for the year ended December 31,
2007, which is on file with the Security and Exchange Commission as well
as, when filed, the quarterly report on Form 10-Q for the three-month
period ended March 31, 2008.

AMERICAN COMMUNITY PROPERTIES TRUST

Unaudited Financial Highlights



For the three months ended
March 31, 2008 March 31, 2007

Revenues $19,258,000

1,987,000
Expenses 15,806,000 17,676,000
Operating Income 3,452,000 4,311,000
Other Income and (Expenses) (5,049,000) (3,764,000)
(Loss)/Income before (benefit)/
provision for income taxes (1,597,000) 547,000
(Benefit)/provision for income taxes (404,000) 523,000
Net (loss) income $(1,193,000)

4,000
Earnings per share
Basic and Diluted $(0.23) $–
Weighted average shares outstanding
Basic and Diluted 5,211 5,208
Quarterly cash dividend per share $– $0.10


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Source: Real Estate Newswire