FOR IMMEDIATE RELEASE

Contact:
Anne Monson, APR,
505-244-8479;
Melanie J. Majors, APR,
505-266-5637

MESA DEL SOL SELECTED AS NEW SITE FOR FIDELITY INVESTMENTS
Expects to create new 1,250 jobs in Albuquerque

Albuquerque, NM – January 17, 2008 – Fidelity Investments, one of the world's largest providers of financial services, has chosen Albuquerque’s Mesa del Sol as the site of its new 210,000 square foot operations center. The company is expected to create 1,250 jobs in Albuquerque. The announcement was made today in Santa Fe by Gov. Bill Richardson.

Fidelity will begin its operations in Albuquerque this year and occupy its facility at Mesa del Sol site later in 2008. The new campus will house the expansion of Fidelity’s Human Resource Services business, which provides corporate clients with payroll, health and welfare, and human resources services.

“Fidelity represents a major commitment from a leading financial services company that demonstrates great confidence in New Mexico's workforce and the quality of life provided at Mesa del Sol,” said Michael Daly, president of Forest City Covington, developer of Mesa del Sol. “Fidelity is an asset to any community and will now be an important part of the future for Albuquerque and New Mexico.”

“I am happy to welcome Mesa del Sol’s latest tenant, Fidelity HR Services, which is creating jobs at Mesa del Sol that will benefit the entire state. The announcement by Fidelity has the potential to change the City of Albuquerque and the economy of New Mexico forever. This means that there will be good paying jobs for New Mexico’s college graduates. It’s going to have a positive and far-reaching effect on Mesa del Sol, the city and the state.”

Daly said, “Fidelity found a state, a county, a city, a major research university and a master-planned community developer working together. This collaborative effort is positioning the region to not only sustain itself, but also grow and thrive. Everyday our team asks ‘How can we create even more jobs at Mesa del Sol?’ The answer is by working together and remembering that economic development is the linchpin to improving New Mexico and moving it forward.”

“Mesa del Sol’s vision and the quality of the people in New Mexico create a very powerful environment to operate in and grow our business,” said Pat Goepel, president, Fidelity HR Services. We look forward to modeling a great work-life partnership with our employees in this community that will help us expand our strong position in the HR outsourcing business.”

Fidelity will initially move into the Lockheed Martin building at 1155 University Boulevard. Mesa del Sol will build and then lease a two-story structure to Fidelity. The building will be constructed in two phases with Phase I ready for tenant occupancy in December 2008 and Phase II ready for the tenant in March 2009.

Daly said the announcement “is another step in what is becoming an amazing journey at Mesa del Sol. Today’s event is also a great opportunity to congratulate our economic development team and our strategic partners for bringing Fidelity here.”

He said the long-term strategic effort and financial investment made by Forest City Covington for Mesa del Sol’s economic development was a major contributor in attracting Fidelity to Albuquerque as their choice location. In 2005, Forest City Covington created an in-house economic development department and initiated an aggressive plan to create awareness of Mesa del Sol and Albuquerque with 100 key site selectors (individuals responsible for finding, assessing and selecting potential locations for businesses) nationwide. This significant investment by a real estate development company is unusual in the economic development marketplace.

During the announcement in Gov. Richardson’s cabinet room, several of the public-private partners who contributed to attracting Fidelity welcomed the company.

“I’m pleased that the State’s economic development team and its allies at the City of Albuquerque, Bernalillo County, the University of New Mexico, Mesa del Sol, and Albuquerque Economic Development collaborated to attract this superb corporation to our state,” Gov. Richardson said.

U.S. Sen. Pete Domenici (R-NM) said, “This has been a very good week for New Mexico and the prospects of Mesa del Sol becoming a center of economic vitality. This week's Schott Solar decision is expected to bring about 1,500 workers to Mesa del Sol, and today we learn that another firm wants to create a home there for the financial sector, adding 1,250 more employees. Al Ratner's business philosophy is working to expand our economic base in New Mexico, and that is important as the rest of the nation is encountering tough times.

“This is another major coup for New Mexico and Mesa del Sol. Fidelity is one of the nation's top financial services companies, and its presence in our state will give us an opportunity to further diversify into the financial sector,” U.S. Sen. Jeff Bingaman (D-NM) said.

“The partnership between the State Land Office and Forest City Covington has created hundreds of jobs in Albuquerque, and made millions for public education which is the beneficiary of any revenues generated through land leases at Mesa del Sol,” said Commissioner of Public Lands Patrick Lyons. “I welcome Fidelity HR Services to Albuquerque and thank them for investing in New Mexico.”

“This is welcome news and I look forward to welcoming Fidelity Investments to Mesa del Sol,” said U.S. Rep. Heather Wilson (R-NM), who was key in securing nearly $10 million to build a new I-25 interchange near Mesa del Sol. “We focused on securing money for a new access point to Mesa del Sol because, understandably, companies want to know that the infrastructure will be there. I think this has made a big impact as companies like Fidelity and SCHOTT Solar have made substantial commitments to Mesa del Sol.”

“Fidelity's decision to locate their operations center in New Mexico is great news for job growth and speaks volumes about the enticing business climate that has been developed in our state,” U.S. Rep. Tom Udall (D-NM) said. “We look forward to seeing this project come to fruition in the Mesa del Sol development.”

Mayor Martin J. Chávez stated, “Albuquerque's recruitment of a global financial services leader like Fidelity speaks volumes about the continued strength of our community's work force and our economic viability overall.”

“The investment in the community that is making at the outset is a strong indicator of the kind of commitment the company has made to being a community partner for the long-term,” said University of New Mexico (UNM) President David Schmidly. “Their presence means more jobs for UNM graduates, which will help us keep our best and brightest right here in New Mexico.”

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Mesa del Sol is a 12,900-acre mixed-use district located on Albuquerque’s south mesa. By combining job creation and sustainable urban community planning, Mesa del Sol will reflect a balance of environmental resources, economic objectives and social amenities in a community that is forward-looking with a highly defined sense of place.

Mesa del Sol is a true public/private partnership. In addition to Forest City Covington, NM, LLC, Mesa del Sol is being developed in conjunction with other partners, including the New Mexico State Land Office, the University of New Mexico, with the support of the City of Albuquerque, Bernalillo County and the State of New Mexico.

About Forest City Covington

Forest City Covington NM, LLC is a joint venture between Forest City NM. LLC and Covington NM, LLC. Forest City NM, LLC is a subsidiary of Forest City Enterprises, Inc., a $10 billion NYSE-listed national real estate company. The Company is principally engaged in the ownership, development, management and acquisition of commercial and residential real estate and land throughout the United States. Covington NM, LLC is an affiliate company of Covington Capital Corporate, a major real estate development and investment company. Covington Capital and its affiliate companies currently own more than 13 million square feet of commercial/industrial space and are actively developing more than 17,000 acres of land in the Western United States.

Safe Harbor Language

Statements made in this news release that state the Company’s or management's intentions, hopes, beliefs, expectations or predictions of the future are forward-looking statements. The Company's actual results could differ materially from those expressed or implied in such forward-looking statements due to various risks, uncertainties and other factors. Real estate development risks and factors that could cause actual results to differ materially from those in the forward-looking statements include, but are not limited to, the inability to secure sufficient financing on favorable terms, construction risks, increases in commodity costs, the inability to obtain required governmental permits and authorizations, the inability to secure tenants or anchors for the project, the withdrawal of a prospective anchor or project partner, opposition from third parties, competition in the target market, economic conditions in the target market, the adverse impact of environmental matters, softening of the housing market, and other risk factors as disclosed from time to time in the Company’s SEC filings, including but not limited to, the Company’s annual and quarterly reports.