Arvida Realty Services, A Business Unit of The St. Joe Company -NYSE:JOE-, Posts Record Breaking Sales for 1st Quarter 2000 with a 41% Increase over Same Period Last Year

Company Press Release
May 9, 2000
CLEARWATER, FL -- Arvida Realty Services, a business unit of The St. Joe Company (NYSE:JOE), posted record breaking sales for 1st quarter 2000 with $2.2 billion in gross sales and 10,114 transactions. This reflects a 41% increase over the same period last year at which time the company recorded $1.57 billion and 8,489 transactions.

``We attribute this phenomenal gain to two very important factors,'' stated Richard W. Cope, Chief Executive Officer. ``First of all, the real estate market in Florida remains relatively stable and historically 1st quarter has always been one of the most active times of the year for real estate. The second reason has to do with the growth of our company. Last year 1st quarter, Arvida Realty Services was an 80 office firm. Today we have 101 offices statewide. We opened new markets in Northeast and Northwest Florida, which attributed 7% to the overall gain in addition to completing several acquisitions. Also, with the company closing its first 12 months independent of a franchise, we have benefited from our membership in RELO, the largest broker-to-broker network in the country. Our expanded corporate relocation services enable us to perform additional relocation services for our corporate clients that heretofore were managed by our former franchise's third party company. This has proven to be a real win-win for our corporate clients and us.''

The average sales price of real property handled by the company during 1st quarter was $219,000 as opposed to $185,000 for the same period last year. This represents an 18.2% increase. The number of listings secured was 6,965, a 15.7% increase over 1999 1st quarter total of 6,020.

``The increase in listing inventories does indicate a shift toward a more normal listings to sales ratio mostly because of the increase in mortgage rates. The last two years have been a booming sellers' market thanks to the lowest interest rates in over 25 years,'' Cope added. ``The higher sales price reflects strong sales in the executive and luxury home markets as well as the fact that sellers have been able to command higher prices for their properties.''

Headquartered in Clearwater, Arvida Realty Services is the state's largest independent real estate brokerage and the 5th largest in the nation with more than 100 offices located throughout the state and 3,100 licensed sales professionals and 700 employees affiliated with the company. It offers residential and commercial real estate sales, relocation services, asset and property management, title and mortgage services, annual and seasonal rentals, resort management and international real estate marketing.

The St. Joe Company, a publicly held company based in Jacksonville, is Florida's largest real estate company. It is engaged in community, commercial, industrial, hospitality, leisure, and resort development, along with residential and commercial real estate services. The company also has significant interests in timber.

For more information about Arvida Realty Services, see the company's web site at www.ArvidaRealty.com. More information about St. Joe can be found at the St. Joe web site, www.joe.com.

The above discussion contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Exchange Act of 1934, as amended. Such statements are based on current expectations and are subject to certain risks, uncertainties and assumptions. Should one or more of these risks or uncertainties materialize or should the underlying assumptions prove incorrect, the company's actual performance may differ materially from that indicated or suggested by any forward-looking statement contained herein.

``Arvida'' is a registered trademark. ``Arvida, a St. Joe Company'' and the ``taking flight'' logo are service marks of The St. Joe Company.


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Contact:

Arvida Realty Services, Clearwater
Linda Burger, Exec. VP - Marketing & Communications
727/723-6004
LBurger@arvidaservices.com