Pan Pacific Retail Properties Announces Tax Treatment of 2005 Dividends

Pan Pacific Retail Properties, Inc. (NYSE:PNP), the
largest neighborhood shopping center real estate investment trust
(REIT) on the West Coast, today announced the tax treatment of its
2005 dividends.
   The 2005 distributions paid with respect to Pan Pacific Retail
Properties, Inc. (CUSIP #69806L104) are as follows:
-0-
*T
                                             Total
      Record              Payable          Distribution    Ordinary
       Date                Date            Per Share       Dividends
----------------------------------------------------------------------
      02/25/05            03/15/05           $0.59           $0.59
----------------------------------------------------------------------
      05/27/05            06/15/05            0.59            0.59
----------------------------------------------------------------------
      08/26/05            09/15/05            0.59            0.59
----------------------------------------------------------------------
      11/23/05            12/15/05            0.59            0.59
----------------------------------------------------------------------
                      Totals for 2005:       $2.36           $2.36
----------------------------------------------------------------------
*T

   Note: In addition to the dividends distributed as shown above, the
Company has apportioned as a differently treated item under section
59(d) of the Internal Revenue Code, attributable to a net operating
loss carryover, an amount equal to 0.5% of the total dividend
distributed.
   For more detailed information on the 2005 dividends please refer
to the Investor Relations page of the Company website to view the
complete 1099 document which is located at:
http://www.pprp.com/investor-relations/pdf/sec_filings/
2005DividendAllocation.pdf (Due to its length, this URL may need to be
copied/pasted into your Internet browser's address field. Remove the
extra space if one exists.)
   Amounts reported to PNP Direct Share Purchase and Dividend
Reinvestment Plan participants could differ due to administrative
costs. Participants should refer to their Form 1099 which will be
mailed in late January and contact The Bank of New York at (877)
664-5601 for further information.

   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 138 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 implementing 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.