SOURCE: City Capital Corp.

August 23, 2006 19:00 ET

First Sales Take Place in Kansas City Historic Jazz District Development Project, Within One Week After Acquisition by City Capital Corporation

MENDOTA HEIGHTS, MN -- (MARKET WIRE) -- August 23, 2006 -- City Capital Corporation (OTCBB: CCCN) today announced that it has generated the first revenues on the sale of property in its Kansas City Historic Jazz District Development Project. The company announced that four parcels of property have been contracted for purchase by buyers at a sales price of $100,000. The contracts were signed on August 14, 2006 with the buyer funds escrowed. The company expects to close and finalize the transaction by September 15, 2006.

"These first round of sales in the district validates the marketability of the area, as well as our model for bringing new value to urban areas. It also marks a milestone for City Capital, by bringing in the first new revenues and sparking the growth of our company," says CEO Ephren Taylor.

On June 23rd the majority of shareholders of common stock for City Capital Corporation (OTCBB: CCCN) approved a transaction with ECC Vine Street Real Estate Acquisitions, LLC ("ECC Jazz"), becoming one of the largest landholders in the Kansas City Historic Jazz District. This major urban redevelopment project is a wholly owned subsidiary of City Capital Corporation.

The Kansas City Historic Jazz District is home to the American Jazz Museum and the Negro Leagues Baseball Museum. The area is widely considered to be the cradle of modern jazz in America. This action will allow City Capital to move forward on the redevelopment initiatives already begun by ECC Jazz.

"We are proving it is possible to invest in our urban landscapes, creating new markets in forgotten communities, and still leave plenty of room for shareholders to earn strong returns so they continue to invest in the process."

About City Capital

City Capital is a Business Development Company (BDC) authorized by Section 54(a) of the Investment Company Act of 1940 to make loans and equity investments in developing business enterprises. This release contains "forward-looking statements" based on current expectations but involving known and unknown risks and uncertainties, including those described in the Company's annual report on Form 10-QSB for the year ended December 31, 2005, that could cause actual events or results to differ materially from the events or results described in the forward-looking statements, whether as a result of new information, future events or otherwise. The company's plans and objectives are based on assumptions involving judgments with respect to future economic, competitive and market conditions, its ability to consummate, and the timing of, acquisitions and future business decisions, all of which are difficult or impossible to predict accurately and many of which are beyond the Company's control. Therefore, there can be no assurance that any forward-looking statement will prove to be accurate. The Company makes no undertaking to update such forward-looking statements.

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