Campus Crest Communities, Inc. Announces Exercise Of Underwriters' Option And Subsequent Closing Of Common Stock Offering

Campus Crest Communities, Inc. (NYSE:CCG) (the “Company”) today announced it closed an underwritten public offering of 7,475,000 shares of its common stock, including 975,000 shares issued and sold pursuant to the full exercise of the underwriters’ option to purchase additional shares. The shares were issued at a public offering price of $10.10 per share, for net proceeds of approximately $72.2 million, after deducting the underwriting discount and other net estimated offering costs.

The Company intends to use the net proceeds from this offering to: (1) acquire the remaining 50.1% ownership interest in The Grove at Moscow, Idaho and the remaining 80.0% ownership interest in The Grove at Valdosta, Georgia that the Company does not already own, for an aggregate purchase price of $16.2 million and to repay approximately $27.3 million of mortgage debt secured by these properties; and (2) to reduce borrowings outstanding under the Company’s revolving credit facility, and any remaining net proceeds will be used for general corporate purposes.

Raymond James, Citigroup and Barclays served as joint book-running managers for the offering. RBC Capital Markets served as lead manager. Baird and Janney Montgomery Scott served as co-managers.

A registration statement relating to these securities has been declared effective by the Securities and Exchange Commission. This press release shall not constitute an offer to sell or the solicitation of an offer to buy any of these securities, nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of such state or other jurisdiction.

Copies of the final prospectus supplement and the related base prospectus may be obtained by contacting: (a) Raymond James, 880 Carillon Parkway, St. Petersburg, Florida 33716, or by calling toll-free at 1-800-248-8863, or emailing prospectus@raymondjames.com; (b) Citigroup, Attention: Prospectus Department, Brooklyn Army Terminal, 140 58th Street, Brooklyn, New York 11220, or by calling 1-800-831-9146, or emailing batprospectusdept@citi.com; (c) Barclays, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, New York 11717, or by calling 1-888-603-5847 or emailing barclaysprospectus@broadridge.com; or (d) or the Internet site of the Securities and Exchange Commission at www.sec.gov.

About Campus Crest Communities, Inc.

Campus Crest Communities, Inc. is a leading developer, builder, owner and manager of high-quality, purpose-built student housing properties located close to college campuses in targeted U.S. markets. The Company is a self-managed, self-administered and vertically-integrated real estate investment trust which operates all of its properties under The Grove® brand. The Company owns interests in 33 operating student housing properties containing approximately 6,324 apartment units and 17,064 beds. Since its inception, the Company has focused on customer service, privacy, on-site amenities and its proprietary residence life programs to provide college students across the United States with a higher quality of living.

Forward-Looking Statements

This press release and other statements and information publicly disseminated by the Company contain certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The Company intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 and includes this statement for purposes of complying with these safe harbor provisions. Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. In some cases, you can identify forward-looking statements by the use of forward-looking terminology such as “may,” “will,” “should,” “expects,” “intends,” “plans,” “anticipates,” “believes,” “estimates,” “predicts” or “potential” or the negative of these words and phrases or similar words or phrases which are predictions of or indicate future events or trends and which do not relate solely to historical matters. Forward-looking statements in this press release include, among others, statements about the use of proceeds from the offering. You should not rely on forward-looking statements since they involve known and unknown risks, uncertainties, assumptions and contingencies, many of which are beyond the Company’s control that may cause actual results to differ significantly from those expressed in any forward-looking statement. All forward-looking statements reflect the Company’s good faith beliefs, assumptions and expectations, but they are not guarantees of future performance. Furthermore, except as otherwise required by federal securities laws, the Company disclaims any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, new information, data or methods, future events or other changes. For a further discussion of these and other factors that could cause the Company’s future results to differ materially from any forward-looking statements, see the risk factors discussed in the Company’s most recent Annual Report on Form 10-K and in the prospectus supplement relating to the offering referred to in this press release.

Copyright Business Wire 2010

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