American Community: Announces AFICA Bond

                               News Release


FOR IMMEDIATE RELEASE                                  CONTACT
January 8, 1999                                        Edwin L. Kelly
                                                       (301) 843-8600


               AMERICAN COMMUNITY PROPERTIES TRUST ANNOUNCES
                  ISSUANCE OF $26,225,000 AFICA BOND FOR
                       STATE INSURANCE FUND BUILDING


     St. Charles, Md. -- American Community Properties Trust (AMEX, PE:

APO) a diversified real estate organization, today announced the closing of

a $26,225,000 AFICA bond issue for the interim and permanent financing of a

150,000 square feet office building at its Parque Escorial master planned

community in Carolina, Puerto Rico to be leased to the State Insurance Fund

of Puerto Rico for 30 years.  AFICA is the acronym of the agency empowered

by the Government Development Bank of Puerto Rico to issue long-term bonds

for the financing of properties on which the government has a special

interest.

     ELI S.E., a Puerto Rico special partnership, is the developer and

owner of the building.  ACPT holds a 45.86% interest in ELI S.E.  This will

provide ACPT with land lease income and income from the building lease over

the next thirty years.

     "This major transaction marks the start of our new approach to

commercial land development.  We now seek to do ground leases or build-to-

suit facilities for credit worthy tenants as a way of stabilizing the flow

of revenues to the company.  This will significantly reduce the

fluctuations in income inherent in land development," said Francisco

Arrivi, head of ACPT's operations in Puerto Rico.

     ACPT is a spin-off from Interstate General Company L.P. (IGC) and

specializes in community development, investment apartment properties, and

asset management services.  It currently is listed on the American and

Pacific stock exchanges under the symbol AmCmntyProp (APO).

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