AEGIS REALTY, INC. PROVIDES GUIDANCE ON PREVIOUSLY ANNOUNCED MERGER
                                  TRANSACTION



NEW YORK, NY - March 17, 2003 - Aegis Realty Inc., ("Aegis"), (AMEX:AER) today
provided guidance to stockholders regarding the anticipated timing and other
matters with respect to the previously announced merger transaction with a
subsidiary of Phillips Edison, LTD.

If the merger transaction is approved at the previously scheduled special
stockholders on March 21, 2003, Aegis anticipates that the merger will become
effective during the week of March 24, 2003. Trading of the stock will continue
through the close of business on the day the merger transaction is effective.
Upon consummation of the merger Stockholders will receive the cash merger
consideration which is currently anticipated to be $11.52 per share (subject to
adjustment) plus, if the closing occurs prior to March 31, 2003, an additional
amount equal to a pro-rata portion of Aegis' first quarter dividend not to
exceed approximately two-thirds of such dividend. Until the closing, Aegis has
agreed to operate in accordance with certain budgets. Depending upon actual
operations and expenses, as well as conformity to other terms of the merger, the
$11.52 per share merger consideration may be adjusted up or down.

Certain items in this press release may constitute forward-looking statements
within the meaning of the Private Litigation Reform Act of 1995 and as such may
involve known and unknown risks, trends, uncertainties and other factors which
may cause the actual results, performance or achievements to differ materially
from those expressed or implied by such forward-looking statements. With respect
to the proposed merger, there is the risk that PECO will not obtain the
financing necessary to consummate the merger notwithstanding the fact that it
has obtained commitments for such financing as described in the merger agreement
and the proxy statement which has been delivered to stockholders as part of the
approval process. Additional risks relating to the Company can be found in the
Company's filings with the Securities and Exchange Commission, including the
2001 Annual Report on Form 10-K and the proxy statement. The Company expressly
disclaims any obligation or undertaking to release publicly any updates or
revisions to any forward-looking statements contained herein to reflect any
changes in the Company's expectations with regard thereto or change in events,
conditions or circumstances on which any such statement is based.

Important additional information is filed with the SEC
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Aegis filed a proxy statement with the SEC in connection with the merger
transaction. Investors and security holders are urged to read the proxy
statement because it contains







important information. The proxy statement and other documents filed by Aegis
with the SEC may be obtained free of charge at the SEC's website
(http://www.sec.gov).

Aegis, and its directors and officers, and the advisor, and the directors and
officers of its sole general partner, may be deemed to be "participants" in the
solicitation of proxies from Aegis stockholders in connection with the
transaction. These potential participants have interest in the transaction, some
of which could differ from those of Aegis stockholders generally. Information
about the directors and officers of Aegis and the general partner of the
advisor, including such individuals' ownership of Aegis shares, is set forth in
the proxy statement for Aegis' 2002 annual meeting of stockholders (and is
available at the SEC website listed above). Investors and security holders may
obtain additional information regarding the interests of such potential
participants by reading the proxy statement.