Pan Pacific Retail Properties Announces Buyback of Non-Managing Member Units

Pan Pacific Retail Properties, Inc. (NYSE:PNP) today
announced the buyback of 314,587 outstanding non-managing member
limited liability company (LLC) units pursuant to an existing buyback
right. The Company bought back the LLC units at a price of $66.61 per
LLC unit. The LLC units were originally issued in 1999 in connection
with the Company's acquisition of a grocery-anchored shopping center.
The Company financed the buyback through a draw on its unsecured
credit facility.
   Stuart A. Tanz, President and Chief Executive Officer of Pan
Pacific, stated, "We are pleased to complete this transaction which
further simplifies the Company's capital structure."

   ABOUT PAN PACIFIC RETAIL PROPERTIES

   Pan Pacific Retail Properties, Inc. is an equity real estate
investment trust (REIT) traded on the New York Stock Exchange under
the symbol PNP. The Company is the largest neighborhood shopping
center REIT focused exclusively on the West Coast. Pan Pacific's
portfolio currently totals 139 properties, encompassing approximately
22.7 million square feet of retail space. The portfolio is principally
diversified across five distinct regions in the Western United States:
Northern California, Southern California, Washington, Oregon and
Nevada.
   Pan Pacific specializes in the acquisition, ownership and
management of community and neighborhood shopping centers for everyday
essentials. The Company's strategy is aimed at generating long-term
stable cash flow through maintaining a diverse portfolio and tenant
base, balanced with consistent growth through its acquisition and
property management programs.
   Pan Pacific is headquartered in Vista (San Diego), California, and
has regional offices located in Sacramento, California; Kent,
Washington; Portland, Oregon; and Las Vegas, Nevada.
   Additional information on Pan Pacific is available on the
Company's web site at www.pprp.com.

   (Note: Certain matters discussed within this press release,
including, without limitation, our earnings guidance, are
forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995 which reflect management's
current views with respect to future events and financial performance.
Forward-looking statements are subject to risks and uncertainties.
Factors that could cause actual results to differ materially from
expectations include market valuations of our stock, financial
performance and operations of our shopping centers, real estate market
conditions, execution of shopping center development programs,
successful completion of renovations, completion of pending
acquisitions and dispositions, including the completion of customary
due diligence and closing conditions, the Company's ability to
successfully integrate acquired assets, changes in the availability of
additional acquisition and disposition opportunities, changes in local
or national economic conditions, changes in tax laws, acts of
terrorism or war and other risks detailed from time to time in reports
filed with the Securities and Exchange Commission including the
Company's Annual Report on Form 10-K for the year ended December 31,
2005.)