JACKSONVILLE, Fla., Aug. 2 /PRNewswire-FirstCall/ -- Patriot Transportation Holding, Inc. (NASDAQ:PATR) announced today that its independent directors approved a 50-50 real estate joint venture between a subsidiary of the Company ("FRP") and Florida Rock Industries, Inc. ("Florida Rock") to develop approximately 4,300 acres of land near Brooksville, Florida. Under the terms of the joint venture, FRP will contribute its fee interest in 3,443 acres that it currently leases to Florida Rock under a long-term mining lease. FRP also will reimburse Florida Rock for one-half of the acquisition costs (approximately $3 million) of a 288 acre contiguous parcel recently acquired by Florida Rock from a third party. The 288 acre parcel will be contributed to the Joint Venture. Florida Rock will contribute 553 acres that it owns as well as its leasehold interest in the 3,443 acres that it leases from FRP. The joint venture will be jointly controlled by Florida Rock and FRP, and all future capital contributions and distributions will be made on a 50-50 basis. Management believes that the Company ultimately will realize greater value from development of the Brooksville property rather than continuing under the mining lease. The property does not yet have the necessary entitlements for real estate development. Approval to develop real property in Florida entails an extensive entitlements process involving multiple and overlapping regulatory jurisdictions and often requiring discretionary action by local governments. This process is time-consuming and often political, and the outcome is inherently uncertain. The Company currently expects that the entitlement process may take several years to complete. Investors are cautioned that any statements in this press release which relate to the future are, by their nature, subject to risks and uncertainties that could cause actual results and events to differ materially from those indicated in such forward-looking statements. These include general business conditions; competitive factors; political, economic, regulatory and climatic conditions; driver availability and cost; regulations regarding driver qualifications and hours of service; freight demand for petroleum products and for building and construction materials in the Company's markets; risk insurance markets; demand for flexible warehouse/office facilities; ability to obtain zoning and entitlements necessary for property development; interest rates; levels of mining activity; pricing; energy costs and technological changes. Additional information regarding these and other risk factors and uncertainties may be found in the Company's filings with the Securities and Exchange Commission Patriot Transportation Holding, Inc. is engaged in the transportation and real estate businesses. The Company's transportation business is conducted through two wholly owned subsidiaries. Florida Rock & Tank Lines, Inc. is a Southeastern transportation company concentrating in the hauling by motor carrier of liquid and dry bulk commodities. SunBelt Transport, Inc. serves the flatbed portion of the trucking industry in the Southeastern states, hauling primarily construction materials. The Company's real estate group, comprised of FRP Development Corp. and Florida Rock Properties, Inc., acquires, constructs, leases, operates and manages land and buildings to generate both current cash flows and long-term capital appreciation. The real estate group also owns real estate which is leased under mining royalty agreements or held for investment. DATASOURCE: Patriot Transportation Holding, Inc. CONTACT: John E. Anderson, Chief Executive Officer, Patriot Transportation Holding, +1-904-396-5733, ext. 101

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