Exhibit 99.1

						Pennsylvania Real Estate Investment Trust
						200 South Broad Street
						Philadelphia, PA 19102
						www.preit.com
						Phone:		215-875-0700
						Fax:		215-546-7311
						Toll Free:		866-875-0700

CONTACT: AT THE COMPANY

Robert McCadden

EVP & CFO

(215) 875-0735

Nurit Yaron

VP, Investor Relations

(215) 875-0735

PREIT Reports Third Quarter 2011 Results

Philadelphia, PA, October 27, 2011 – Pennsylvania Real Estate Investment Trust (NYSE: PEI) today reported results for the quarter and nine months ended September 30, 2011.

“We are pleased that the portfolio experienced its 7th consecutive quarter of same store sales growth, with improvement at 33 of our 38 malls, and we look forward to a solid holiday season,” said Ronald Rubin, Chairman and Chief Executive Officer. “The Company is performing in line with our expectations, with stable performance during a period of general economic uncertainty.”

Funds From Operations (“FFO”), as adjusted to exclude asset impairments and charges related to debt repayment, was $29.0 million, or $0.51 per diluted share, for the quarter ended September 30, 2011. FFO as so adjusted for the quarter ended September 30, 2010 was $23.2 million, or $0.41 per diluted share. For the nine months ended September 30, 2011, FFO as adjusted was $69.6 million, or $1.22 per diluted share. FFO as adjusted for the nine months ended September 30, 2010 was $70.7 million, or $1.35 per diluted share.

The adjustments referred to above include impairment charges of $52.1 million, or $0.91 per diluted share of FFO, and $52.3 million, or $0.91 per diluted share of FFO, for the quarter and nine months ended September 30, 2011, respectively. The adjustments for the quarter and nine months ended September 30, 2010 include accelerated amortization of deferred financing costs of $1.4 million, or $0.03 per diluted share, and $3.7 million, or $0.07 per diluted share, respectively.

Without the above adjustments, FFO for the quarter ended September 30, 2011 was $(23.1) million, or $(0.40) per diluted share, compared to $21.8 million, or $0.38 per diluted share, for the quarter ended September 30, 2010. For the nine month period ended September 30, 2011, FFO was $17.2 million, or $0.30 per diluted share, compared to $67.0 million, or $1.28 per diluted share, for the nine months ended September 30, 2010.

Net Operating Income (“NOI”) for the quarter ended September 30, 2011 was $68.6 million, compared to $68.5 million for the quarter ended September 30, 2010. NOI for the nine months ended September 30, 2011 was $201.7 million, compared to $209.8 million for the nine months ended September 30, 2010.

Same store NOI excluding lease termination revenue for the quarter ended September 30, 2011 was $68.4 million, compared to $65.6 million for the quarter ended September 30, 2010. Lease termination revenue for the quarters ended September 30, 2011 and September 30, 2010 was $0.2 million and $0.4 million, respectively. Same store NOI excluding lease termination revenue for the nine months ended September 30,

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2011 was $200.7 million, compared to $199.2 million for the nine months ended September 30, 2010. Lease termination revenue for the nine month periods ended September 30, 2011 and September 30, 2010 was $0.9 million and $2.8 million, respectively. Same store results represent results of retail properties owned for the full periods presented. A description of each non-GAAP financial measure and the related reconciliation to the comparable GAAP measure are located at the end of this press release.

Net loss attributable to PREIT was $57.0 million, or $1.05 per diluted share, for the quarter ended September 30, 2011, compared to a net loss attributable to PREIT of $3.6 million, or $0.07 per diluted share, for the quarter ended September 30, 2010. For the nine months ended September 30, 2011, net loss attributable to PREIT was $89.6 million, or $1.65 per diluted share, compared to a net loss attributable to PREIT of $43.9 million, or $0.90 per diluted share, for the nine months ended September 30, 2010. See below for a description of the primary factors affecting financial results.

Primary Factors Affecting Financial Results

Results for the quarter ended September 30, 2011 included:

Results for the nine months ended September 30, 2011 included:

Results for the quarter ended September 30, 2010 included:

Results for the nine months ended September 30, 2010 included:

Financing Activities

As previously announced, in July 2011, the Company closed on a $27.7 million mortgage loan on 801 Market Street in Philadelphia, Pennsylvania. The five-year loan has two one-year extension options and a variable interest rate of 2.1% over LIBOR.

In September 2011, the partnership in which PREIT owns a 50% interest refinanced the mortgage loan on Metroplex Shopping Center in Plymouth Meeting, Pennsylvania. The 12-year, non-recourse, $87.5 million mortgage loan carries a 5.00% fixed interest rate. The partnership used a portion of the proceeds to repay the previous $57.8 million mortgage loan that carried a 7.25% fixed interest rate. PREIT’s share of the excess proceeds was $16.3 million.

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Retail Operations

The following tables set forth information regarding sales per square foot and occupancy in the Company’s retail portfolio, including properties owned by partnerships in which the Company owns a 50% interest:

2011 Outlook

The Company is adjusting its estimates for net loss per diluted share and FFO per diluted share for 2011. The adjusted estimates are as follows:

Conference Call Information

Management has scheduled a conference call for 11:00 a.m. Eastern Time today, to review the Company’s third quarter results and future outlook. To listen to the call, please dial (877) 941-4774 (domestic) or (480) 629-9760 (international), at least five minutes before the scheduled start time, and provide conference ID number 4478181. Investors can also access the call in a “listen only” mode via the Internet at the Company website, www.preit.com. Please allow extra time prior to the call to visit the site and download the necessary software to listen to the Internet broadcast. Financial and statistical information expected to be discussed on the call will also be available on the Company’s website.

For interested individuals unable to join the conference call, a replay of the call will be available through November 10, 2011 at (877) 870-5176 (domestic) or (858) 384-5517 (international), (Replay reservation code: 4478181). The online archive of the webcast will be available for 14 days following the call.

About Pennsylvania Real Estate Investment Trust

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Pennsylvania Real Estate Investment Trust, founded in 1960 and one of the first equity REITs in the U.S., has a primary investment focus on retail shopping malls. Currently, the Company’s portfolio consists of 49 properties, including 38 shopping malls, eight community and power centers, and three development properties. The Company’s properties are located in 13 states in the eastern half of the United States, primarily in the Mid-Atlantic region. The operating retail properties have approximately 33 million total square feet of space. PREIT is headquartered in Philadelphia, Pennsylvania. The Company’s website can be found at www.preit.com. PREIT is publicly traded on the NYSE under the symbol PEI.

Definitions

The National Association of Real Estate Investment Trusts (“NAREIT”) defines Funds From Operations (“FFO”), which is a non-GAAP measure commonly used by REITs, as income before gains (losses) on sales of operating properties and extraordinary items (computed in accordance with GAAP); plus real estate depreciation; plus or minus adjustments for unconsolidated partnerships to reflect funds from operations on the same basis. Similarly, FFO per diluted share and OP Unit is a measure that is useful because it reflects the dilutive impact of outstanding convertible securities.

The Company uses FFO and FFO per diluted share and OP Unit in measuring its performance against peers and as one of the performance measures for determining incentive compensation amounts earned under certain of our performance-based executive compensation programs. The Company computes FFO in accordance with standards established by NAREIT, which may not be comparable to FFO reported by other REITs that do not define the term in accordance with the current NAREIT definition, or that interpret the current NAREIT definition differently than the Company.

FFO does not include gains or losses on the sale of operating real estate assets, which are included in the determination of net income in accordance with GAAP. Accordingly, FFO is not a comprehensive measure of our operating cash flows. In addition, since FFO does not include depreciation on real estate assets, FFO may not be a useful performance measure when comparing our operating performance to that of other non-real estate commercial enterprises. We compensate for these limitations by using FFO in conjunction with other GAAP financial performance measures, such as net income and net cash provided by operating activities, and other non-GAAP financial performance measures, such as net operating income. FFO does not represent cash generated from operating activities in accordance with GAAP and should not be considered to be an alternative to net income (determined in accordance with GAAP) as an indication of the Company’s financial performance, or to be an alternative to cash flow from operating activities (determined in accordance with GAAP) as a measure of the Company’s liquidity, nor is it indicative of funds available for the Company’s cash needs, including its ability to make cash distributions.

The Company also presents Funds From Operations, as adjusted, and Funds From Operations per diluted share and OP Unit, as adjusted, which are non-GAAP measures, for the three and nine months ended September 30, 2011 to show separately the effects of impairment of assets and accelerated amortization of deferred financing costs, which are items that had a significant effect on results of operations, but are not, in the Company’s opinion, indicative of operating performance.

The Company believes that net income is the most directly comparable GAAP measurement to FFO. The Company believes that FFO is helpful to management and investors as a measure of operating performance because it excludes various items included in net income that do not relate to or are not indicative of operating performance, such as various non-recurring items that are considered extraordinary under GAAP, gains on sales of operating real estate and depreciation and amortization of real estate.

Net operating income (“NOI”), which is a non-GAAP measure, is derived from real estate revenue (determined in accordance with GAAP, and including lease termination revenue) minus operating expenses (determined in accordance with GAAP). It does not represent cash generated from operating

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activities in accordance with GAAP and should not be considered to be an alternative to net income (determined in accordance with GAAP) as an indication of the Company’s financial performance or to be an alternative to cash flow from operating activities (determined in accordance with GAAP) as a measure of the Company’s liquidity; nor is it indicative of funds available for the Company’s cash needs, including its ability to make cash distributions. The Company believes that net income is the most directly comparable GAAP measurement to net operating income.

The Company believes that net operating income is helpful to management and investors as a measure of operating performance because it is an indicator of the return on property investment, and provides a method of comparing property performance over time. Net operating income excludes general and administrative expenses, interest and other income, interest expense, depreciation and amortization, gains on sales of interests in real estate, gains on sales of discontinued operations, impairment losses, project costs, other expenses and gain on extinguishment of debt.

Forward Looking Statements

This press release contains certain “forward-looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements relate to expectations, beliefs, projections, future plans, strategies, anticipated events, trends and other matters that are not historical facts. These forward-looking statements reflect our current views about future events, achievements or results and are subject to risks, uncertainties and changes in circumstances that might cause future events, achievements or results to differ materially from those expressed or implied by the forward-looking statements. In particular, our business might be materially and adversely affected by uncertainties affecting real estate businesses generally as well as the following, among other factors: our substantial debt and our high leverage ratio; constraining leverage, interest and tangible net worth covenants under our 2010 Credit Facility, as amended; our ability to refinance our existing indebtedness when it matures, on favorable terms, or at all; our ability to raise capital, including through the issuance of equity or equity-related securities if market conditions are favorable, through joint ventures or other partnerships, through sales of properties or interests in properties, or through other actions; our short- and long-term liquidity position; the effects on us of dislocations and liquidity disruptions in the capital and credit markets; current economic conditions and their effect on employment, consumer confidence and spending; tenant business performance, prospects, solvency and leasing decisions; the value and potential impairment of our properties; increases in operating costs that cannot be passed on to tenants; our ability to maintain and increase property occupancy, sales and rental rates, including at our redeveloped properties; risks relating to development and redevelopment activities; changes in the retail industry, including consolidation and store closings; the effects of online shopping and other uses of technology on our retail tenants; general economic, financial and political conditions, including credit market conditions, changes in interest rates or unemployment; concentration of our properties in the Mid-Atlantic region; changes in local market conditions, such as the supply of or demand for retail space, or other competitive factors; potential dilution from any capital raising transactions; possible environmental liabilities; our ability to obtain insurance at a reasonable cost; and the existence of complex regulations, including those relating to our status as a REIT, and the adverse consequences if we were to fail to qualify as a REIT. Additional factors that might cause future events, achievements or results to differ materially from those expressed or implied by our forward-looking statements include those discussed in our Annual Report on Form 10-K for the year ended December 31, 2010 in the section entitled “Item 1A. Risk Factors.” We do not intend to update or revise any forward-looking statements to reflect new information, future events or otherwise.

Additional information about PREIT is available on www.preit.com.

CONSOLIDATED BALANCE SHEETS

RECONCILIATION OF NOI AND FFO TO NET LOSS

SAME STORE RECONCILIATION

RECONCILIATION OF NOI AND FFO TO NET LOSS

SAME STORE RECONCILIATION

STATEMENTS OF OPERATIONS