Capital Automotive Declares Third Quarter Dividend of $0.3775 -- 11th Consecutive Quarterly Increase

18 October 2000
Capital Automotive Declares Third Quarter Dividend of $0.3775 -- 11th Consecutive Quarterly Increase
    MCLEAN, Va., Oct. 18 Capital Automotive the
nation's leading specialty finance company for automotive retail real estate,
today announced that its Board of Trustees declared a quarterly cash dividend
of $0.3775 per share for the third quarter ending September 30, 2000.  The
dividend is payable on November 21, 2000 to shareholders of record as of
November 10, 2000.
    Thomas D. Eckert, President and Chief Executive Officer, stated, "The
third quarter dividend reflects the 11th consecutive increase in our quarterly
dividend and represents an annualized rate of $1.51 per share and a 10.7%
yield based upon Monday's closing stock price.  Our real estate portfolio
continues to perform at a very high level and is producing stable, predictable
cash flow.  Since the inception of our Company, we have not had a single
tenant miss a rental payment."
    Capital Automotive, headquartered in McLean, Virginia, is a self-
administered, self-managed real estate investment trust formed to acquire
the real property and improvements used by operators of multi-site,
multi-franchised automotive dealerships and related businesses.  Additional
information on Capital Automotive is available on the Company's web site at
http://www.capitalautomotive.com .
    To receive Capital Automotive's latest news and corporate developments via
fax at no cost, please call 1-800-PRO-INFO; use Company code CARS, or visit
The Financial Relations Board's web site at http://www.frbinc.com .
    Certain matters discussed within this press release are forward-looking
statements within the meaning of the federal securities laws.  Although the
Company believes that the expectations reflected in the forward-looking
statements are based upon reasonable assumptions, the Company's future
operations will depend on a number of factors that may differ, some
materially, from the Company's assumptions.  These factors, which could cause
the Company's actual results to differ materially from those set forth in the
forward-looking statements, include risks that the Company's tenants will not
pay rent or that the Company's operating costs may be higher than expected,
risks of interest rate fluctuations impacting future acquisitions, risks that
additional acquisitions may not be consummated, environmental and other risks
associated with the acquisition and leasing of automotive properties and those
risks detailed from time to time in the Company's SEC reports, including its
annual report on Form 10-K and its quarterly reports on Form 10-Q, and its
reports on Form 8-K.