Belz Enterprises Announces Cornerstone to
The Peabody Place Urban Retail and Entertainment Center

MEMPHIS, Tenn. (April 17, 1997) – Belz Enterprises announced today its newest component of Peabody Place. Muvico Theaters will build a state-of-the-art movie megaplex that will feature 23 movie auditoriums plus an IMAX® 3D with IMAX® PSE (Personal Sound Environment) Theater. This addition will be the cornerstone for the planned Peabody Place Urban Retail and Entertainment Center making it the largest center of this type in the region.

The theater will accommodate approximately 4,500 moviegoers including a 400-500 seat IMAX® Theater. Muvico Peabody Place will feature auditoriums ranging from 100 to 500 seats and amenities such as: stadium-style seating, superior viewing sightlines, digital sound systems, wall-to-wall curved screens, gourmet concessions and specially designed seats created for Muvico Theaters featuring moveable armrests and lumbar support for added comfort.

Muvico IMAX® 3D Theater will house a screen soaring 65 feet high and extending 98 feet wide (the equivalent of a six-and-a-half story building). The IMAX® adventure will incorporate the largest film frame in motion picture history - ten times the equivalent of conventional 35mm frames.

Sight and sound is taken a step further with the state-of-the-art Muvico IMAX® Theater. The giant screen is so large that the movie extends into the viewers peripheral vision creating 3D images without having to wear paper 3D glasses. Headsets will be given out to IMAX viewers to experience the superb six-channel multi-sound system.

The images and sounds created seem so real that viewers might find themselves in the movie. The 3D objects pass out of sight and beyond the viewers peripheral vision and the sounds become even more intensified as they literally surround the viewer. The experience becomes so real that a viewer might even have to check behind his or her back to make sure that the movie piranha that just swam by is not still lurking behind them.

"The theater is extraordinary and must be experienced to believe it," says Hamid Hashemi, President of Muvico Theaters. "The Peabody Place Project is guaranteed to take moviegoers into a magical place separate from this world."

"With the opening of Muvico at Peabody Place, Memphis will earn a place on the map as an entertainment capital," says Andrew J. Groveman, senior vice president of marketing and administration, Belz Enterprises. "The Peabody Place Urban Retail and Entertainment Center will become a favorite for locals as well as visitors from around the world. This project is guaranteed to lead Memphis entertainment into the 21^st Century."

Memphis shares this incredible theater concept with only six other theaters located in five states. These theaters are located in Ft. Lauderdale, Orlando, New York City, Chicago, Ontario, Calif. and Irvine, Calif. Moviegoers from all across the region will flock to this entertainment destination. It is the only one of its kind located in a 500 mile radius.

Not only will Muvico Peabody Place offer an extraordinary movie experience but Muvico, long known for their "themed" theaters, also promises a fabulous theme for their newest addition in Memphis. Upon arrival, a distinctive theme unfolds and is carried throughout the complex with exacting detail. Whether it is a Mediterranean Courtyard, the center of Times Square or the inside of a giant space craft, these themed theaters are so authentic that an imagination is completely carried into the movies.

Muvico Peabody Place will begin construction this fall and is scheduled to open in late 1998.

Anchored by the 90,000 sq. ft. Muvico movie megaplex and IMAX® theater, the Peabody Place Urban Retail and Entertainment Center will be the largest offering of its type in the region. Totaling 250,000 sq. ft. of entertainment-oriented venues, retail stores and specialty shops, the center will feature category-leading retail anchors, dozens of fashion-forward specialty retailers and a number of nationally recognized themed restaurants. Peabody Place Urban Retail and Entertainment Center, located directly behind the world renowned Peabody Hotel, will also be fully supported with 1,500 new parking spaces for the center.

Peabody Place is the largest mixed-use development currently underway in the country. The first residential component of Peabody Place, the Gasyso House Apartments, opened in March 1995, and has since remained 100 percent leased. Other substantially completed components include 50 Peabody Place, which houses office space and street-level retail shops, Pembroke Square, with space available for office and retail, and the Grand Lobby of The Gayoso House. Next door to the Grand Lobby is Ciao Baby Cucina, an Italian Mediterranean Trattoria, which has enjoyed great success since its opening in February 1996. The Tower at Peabody Place is currently under construction and is on target for a June 1997 opening. Breckenridge Brewery and Restaurant will open this spring in the former Majestic Theater. The Flying Saucer, a beer emporium, will open May1st and City Grocery, a specialty grocery store, will also open in Peabody Place in summer of 1997.

Upon completion, Peabody Place will resemble a city within a city, providing a large urban retail and entertainment center, apartments, office space, boutiques, gift shops, restaurants, a hotel and business services.

Belz Enterprises is a leading innovator in real estate development with interests throughout the South and much of the country. Belz develops, owns and manages over 25 million square feet of industrial/warehouse/distribution centers, shopping centers,office buildings, mixed-use centers and corporate campuses. The company also owns a group of premier hotels including the Peabody Hotels in Memphis and Orlando and various suburban communities.

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