<DOCUMENT>
<TYPE>EX-99
<SEQUENCE>2
<FILENAME>pressrelease.txt
<DESCRIPTION>EXHIBIT 99.1
<TEXT>
                                                                    Exhibit 99.1
FOR MORE INFORMATION, CONTACT:
David H. Hoster II, President and Chief Executive Officer
N. Keith McKey, Chief Financial Officer
(601) 354-3555


                         EASTGROUP PROPERTIES ANNOUNCES
                           THIRD QUARTER 2004 RESULTS

o    Net Income  Available  to Common  Stockholders  of $6.8 Million or $.32 Per
     Share
o    Funds from  Operations of $13.6  Million or $.64 Per Share,  an Increase of
     21%
o    Percentage Leased 93.5%, Occupancy 92.1%
o    Same  Property   Growth  of  5.8%  on  a  Cash  Basis  and  4.5%  Including
     Straight-Line Rent Adjustments
o    Paid  99th  Consecutive  Quarterly  Dividend  - $.48  Per  Share -  Twelfth
     Consecutive Year of Dividend Growth
o    Development Projects of $29.7 Million Under Construction or In Lease-Up
o    Debt-to-Total Market Capitalization of 33.1% at Quarter End
o    Interest Coverage of 3.8x and Fixed Charge Coverage of 3.4x

JACKSON,  MISSISSIPPI,  October 18, 2004 - EastGroup Properties, Inc. (NYSE-EGP)
announced  today the  results of its  operations  for the three and nine  months
ended September 30, 2004.

FUNDS FROM OPERATIONS

For the quarter ended September 30, 2004,  funds from operations (FFO) available
to common stockholders was $.64 per share compared with $.53 for the same period
of 2003,  an increase of 20.8%.  FFO per share for the third quarter of 2003 was
reduced by $.09 per share due to the write-off of the original issuance costs of
the Series A Preferred Stock, which was redeemed on July 7, 2003.

For the nine months ended  September 30, 2004,  FFO was $1.84 per share compared
with  $1.74 per  share for the same  period of 2003,  an  increase  of 5.7%.  In
addition to the item discussed above,  there were no gains on securities for the
first nine months of this year  compared to $.02 per share in the same period of
2003.

Property  net  operating  income  (PNOI)  from same  properties  on a cash basis
increased  5.8% for the  third  quarter.  PNOI from  same  properties  including
straight-line  rent adjustments  increased 4.5%. Rental rate decreases on a cash
basis  on new and  renewal  leases  averaged  4.5%  for the  quarter.  Including
straight-line rent adjustments,  rental rate increases on new and renewal leases
averaged 1.5%.

For the nine months ended  September  30, 2004,  PNOI from same  properties on a
cash  basis  increased  2.5%;  including  straight-line  rent  adjustments,  the
increase  was 2.9%.  Rental  rate  decreases  on a cash basis on new and renewal
leases  averaged  6.9%  for  the  nine  months;   including  straight-line  rent
adjustments, the decrease was .5%.

FFO and PNOI are non-GAAP  financial  measures.  For definitions of FFO and PNOI
and  reconciliations of FFO and PNOI to Net Income, the most directly comparable
GAAP financial measure,  please see "Reconciliations of Other Reporting Measures
to Net Income," attached.

David H. Hoster II,  President and CEO,  stated,  "We are pleased that our third
quarter results represent the fifth  consecutive  quarter of improvement in same
property  operations  when  compared  to  the  previous  year's  quarter.   This
achievement  reflects our  improvement in occupancy which was 92.1% at September
30, an increase of 70 basis points over second  quarter  results and the highest
level since the fourth  quarter of 2002. In addition,  we  experienced  positive
average rent growth on a GAAP basis and the lowest  decrease in average rents on
a cash basis in two years.  We  anticipate  maintaining  these  positive  trends
through the balance of 2004."

                                     -MORE-
       P.O. Box 22728-JACKSON, MS 39225-TEL. 601-354-3555-FAX 601-352-1441

<PAGE>

EARNINGS PER SHARE

On a diluted per share  basis,  earnings per common share (EPS) was $.32 for the
three months ended  September 30, 2004 compared with $.13 for the same period of
2003. EPS for the current quarter included a $.07 per share gain on sale of real
estate properties and a $.007 per share gain on involuntary conversion resulting
from  insurance  proceeds  exceeding net book value of two roofs replaced due to
tornado damage.  For the same quarter of 2003, EPS was reduced by $.09 per share
due to the  write-off of the original  issuance  costs of the Series A Preferred
Stock, which was redeemed on July 7, 2003.

For the nine months ended  September  30, 2004,  EPS was $.74 compared with $.50
for the same  period of 2003.  EPS for the current  year nine months  included a
$.07 per share gain on sale of real estate  properties ($.01 for the same period
of 2003) and a $.007 per  share  gain on  involuntary  conversion  as  mentioned
above.  The nine months ended  September 30, 2003 also included a $.02 per share
gain on securities and a $.10 per share reduction of EPS due to the write-off of
the original issuance costs on the Series A Preferred Stock redemption.

DEVELOPMENT

The incremental growth of EastGroup's current development program and properties
transferred during 2004 and 2003 to the portfolio  increased PNOI by $502,000 in
the  third  quarter  of  2004.  At  September  30,  2004,  EastGroup  had  seven
development  properties  containing  467,000 square feet with a projected  total
cost of  approximately  $29.7 million either in lease-up or under  construction.
The one  property  in  lease-up  is 100%  leased and is  expected to transfer in
January  2005.   The  properties  in  lease-up  and  under   construction   were
approximately 27% leased as of October 18, 2004.

Two  properties  with total costs at transfer  of  $7,799,000  were added to the
portfolio during the third quarter:

<TABLE>
<CAPTION>

     Property                              Location           Square Feet       Total Costs
     ----------------------------------------------------------------------------------------
        <S>                                 <C>                 <C>                 <C>
     Sunport Commerce Center IV           Orlando, FL           63,000          $ 3,560,000
     Techway Southwest II                 Houston, TX           94,000            4,239,000
                                                              -------------------------------
        Total                                                  157,000          $ 7,799,000
                                                              ===============================
</TABLE>

In late August,  the Company began  construction  of site  improvements  and the
first two buildings at its  Southridge  development  in Orlando.  EastGroup also
began construction on the third and final building of Executive Airport Commerce
Center in Fort Lauderdale.  These three  properties  represent a total projected
investment of approximately $12.7 million with 166,000 square feet.

ACQUISITIONS AND SALES

In July 2004, the Company purchased  Interstate  Distribution  Center IV (46,000
square  feet) in  Dallas,  Texas  for a price of  $3,030,000.  The  multi-tenant
business  distribution  building was  constructed  in 2002 and is 100% leased to
nine  tenants.  The property is projected  to generate an  unleveraged  yield of
approximately 9.3%.

Mr.  Hoster  stated,  "The purchase of  Interstate  Distribution  Center IV is a
strategic  addition to our Dallas  portfolio and increases our cluster of assets
in  the  Walnut  Hill/Stemmons   Freeway  submarket  to  seven  properties  with
approximately 640,000 square feet."

In August 2004, the Company purchased Alamo Downs  Distribution  Center (253,000
square feet) in San Antonio,  Texas for a price of $8,400,000.  Alamo Downs is a
two building,  business distribution complex which was constructed in two phases
in 1986 and 2002.  It is currently  59% leased to seven tenants and is projected
to generate  an  unleveraged  stabilized  yield upon  lease-up of  approximately
10.6%.

Mr. Hoster added,  "The acquisition of Alamo Downs represents one of our typical
value-add investments which have worked well for us over the past twelve months.
San Antonio is a new market for EastGroup,  and we see the potential for growing
ownership  there to over one million square feet. We believe that a portfolio of
quality  properties in San Antonio will  complement  our  operations in Houston,
Dallas and El Paso."

                                     -MORE-
      P.O. BOX 22728-JACKSON, MS 39225-TEL. 601-354-3555-FAX 601-352-1441

<PAGE>

At the  beginning of July,  EastGroup  sold Sample 95 Business  Park III (18,000
square feet) in Pompano Beach,  Florida for a price of $2,000,000,  generating a
gain of $1,283,000. Mr. Hoster stated, "The Sample 95 disposition represented an
opportunity to recycle  capital on a highly  favorable  basis into an investment
with greater anticipated upside."

In August,  Viscount Row Distribution Center (104,000 square feet) in Dallas was
sold for  $2,350,000,  generating a gain of $106,000.  Viscount is a 43-year old
manufacturing type building in the Brookhollow submarket of Dallas.

STRONG FINANCIAL POSITION

EastGroup's balance sheet continues to be strong and flexible with debt-to-total
market  capitalization  of 33.1% at  September  30, 2004.  For the quarter,  the
Company had an interest coverage ratio of 3.8x and a fixed charge coverage ratio
of 3.4x.  Total debt at September 30, 2004 was $362.4 million with floating rate
bank debt comprising $57.0 million of that total.

In late September  2004, the Company closed a $30.3 million,  nonrecourse  first
mortgage loan secured by six  properties.  The note has a fixed interest rate of
5.68%, a ten-year term, and an amortization  schedule of 30 years.  The proceeds
of the note were used to reduce floating rate bank borrowings.

DIVIDENDS

EastGroup  paid dividends of $.48 per share of common stock in the third quarter
of 2004,  which  was 75% of funds  from  operations  per  diluted  share for the
quarter.  This  dividend  was the 99th  consecutive  quarterly  distribution  to
EastGroup's  common  stockholders and represents an annualized  dividend rate of
$1.92 per share,  which  yields  5.6% on the  closing  stock  price of $34.50 on
October 15, 2004. EastGroup also paid quarterly dividends of $.4969 per share on
its Series D Preferred Stock on October 15, 2004 to stockholders of record as of
September 30, 2004.

OUTLOOK FOR THE BALANCE OF 2004

FFO guidance for 2004 has been narrowed from our previous guidance on an FFO per
share basis to a range of $2.48 to $2.50.  Earnings per share for 2004 should be
in the range of $.98 to $1.00.

<TABLE>
<CAPTION>
                                                                         Low Range       High Range
                                                                           2004             2004
                                                                      ---------------------------------
<S>                                                                          <C>             <C>
Net income                                                               $  23,320           23,744
Dividends on preferred shares                                               (2,624)          (2,624)
                                                                      ---------------------------------
Net income available to common stockholders                                 20,696           21,120
Depreciation and amortization from continuing operations                    33,171           33,171
Depreciation and amortization from discontinued operations                      94               94
Share of joint venture depreciation and amortization                          (143)            (143)
Gain on sale of depreciable real estate                                     (1,450)          (1,450)
                                                                      ---------------------------------
Funds from operations available to common stockholders                   $  52,368           52,792
                                                                      =================================

Diluted shares for funds from operations and earnings per share             21,157           21,157

Per share data (diluted):
Net income available to common stockholders                              $     .98             1.00
Funds from operations available to common stockholders                        2.48             2.50
</TABLE>

EastGroup Properties will provide earnings guidance for 2005 in December.

CONFERENCE CALL

EastGroup will host a conference  call and webcast to discuss the results of its
third quarter and review the Company's  current  operations on Tuesday,  October
19, 2004,  at 2:00 P.M.  Eastern  Daylight Time (EDT).  A live  broadcast of the
conference call is available by dialing 1-800-362-0571 (conference ID EastGroup)
or by webcast through a link on the Company's website at  www.eastgroup.net.  If
you are unable to listen to the live  conference  call, a telephone  and webcast
replay will be available  after 4:00 PM EDT on Tuesday,  October 19,  2004.  The
telephone  replay will be  available  until 5:00 PM EDT on Tuesday,  October 26,
2004, and can be accessed by dialing  1-888-566-0149.  The replay of the webcast
can be accessed through a link on the Company's website at www.eastgroup.net and
will be available until 5:00 PM EDT on Tuesday, October 26, 2004.

                                     -MORE-
      P.O. BOX 22728-JACKSON, MS 39225-TEL. 601-354-3555-FAX 601-352-1441

<PAGE>

SUPPLEMENTAL INFORMATION

Supplemental  financial  information  is  available  by request  by calling  the
Company at  601-354-3555,  or by accessing the report in the reports  section of
the Company's website at www.eastgroup.net.

EastGroup Properties,  Inc. is a self-administered equity real estate investment
trust  focused on the  acquisition,  ownership  and  development  of  industrial
properties in major Sunbelt markets  throughout the United States with a special
emphasis in the states of Arizona, California,  Florida and Texas. The Company's
goal is to maximize shareholder value by being a leading provider of functional,
flexible, and quality business distribution space for location sensitive tenants
primarily in the 5,000 to 50,000 square foot range.  The Company's  strategy for
growth  is based on  ownership  of  premier  distribution  facilities  generally
clustered near major transportation  features in supply-constrained  submarkets.
EastGroup's  portfolio  currently  includes  20.2  million  square  feet with an
additional  467,000  square  feet of  properties  under  development.  EastGroup
Properties, Inc. press releases are also available on the Company's website.

FORWARD-LOOKING STATEMENTS

In addition to historical  information,  certain  statements in this release are
forward-looking,  such as those pertaining to the Company's hopes, expectations,
intentions,  plans,  beliefs,  strategies  regarding the future, the anticipated
performance  of  development  and  acquisition  properties,  capital  resources,
profitability  and portfolio  performance.  Forward-looking  statements  involve
numerous risks and uncertainties.  The following factors, among others discussed
herein,  could cause actual results and future events to differ  materially from
those set forth or contemplated in the forward-looking  statements:  defaults or
nonrenewal of leases,  increased interest rates and operating costs,  failure to
obtain necessary outside  financing,  difficulties in identifying  properties to
acquire  and in  effecting  acquisitions,  failure to  qualify as a real  estate
investment   trust  under  the  Internal  Revenue  Code  of  1986,  as  amended,
environmental  uncertainties,  risks  related  to  disasters  and the  costs  of
insurance to protect from such disasters, financial market fluctuations, changes
in real estate and zoning laws,  increases in real  property tax rates and risks
relating to the Company's  development  program,  including  weather,  delays in
construction schedules,  contractor's failure to perform, increases in the price
of construction materials or the unavailability of such materials, difficulty in
obtaining  necessary  governmental  approvals  and  other  matters  outside  the
Company's  control.  The success of the Company  also depends upon the trends of
the  economy,  including  interest  rates and the  effects to the  economy  from
possible  terrorism  and related  world  events,  income tax laws,  governmental
regulation,  legislation,  population  changes and those risk factors  discussed
elsewhere in this release.  Readers are cautioned not to place undue reliance on
forward-looking statements, which reflect management's analysis only as the date
hereof. The Company assumes no obligation to update forward-looking  statements.
See also the Company's reports to be filed from time to time with the Securities
and Exchange Commission pursuant to the Securities Exchange Act of 1934.

                                     -MORE-
      P.O. BOX 22728-JACKSON, MS 39225-TEL. 601-354-3555-FAX 601-352-1441

<PAGE>

<TABLE>
<CAPTION>
                           EASTGROUP PROPERTIES, INC.
                        CONSOLIDATED STATEMENTS OF INCOME
                      (IN THOUSANDS, EXCEPT PER SHARE DATA)
                                   (UNAUDITED)

                                                                  Three Months Ended             Nine Months Ended
                                                                     September 30,                 September 30,
                                                              ----------------------------------------------------------
                                                                  2004          2003           2004           2003
                                                              ----------------------------------------------------------
<S>                                                               <C>           <C>             <C>           <C>
REVENUES
Income from real estate operations                             $ 29,163        27,154          84,680        79,890
Gain on involuntary conversion                                      154             -             154             -
Gain on securities                                                    -             -               -           389
Other                                                               120            65             231           177
                                                              ----------------------------------------------------------
                                                                 29,437        27,219          85,065        80,456
                                                              ----------------------------------------------------------
EXPENSES
Operating expenses from real estate operations                    8,273         8,043          23,874        23,579
Interest                                                          5,115         4,796          15,057        14,137
Depreciation and amortization                                     8,245         7,931          24,737        23,265
General and administrative                                        1,686         1,246           4,930         3,746
Minority interest in joint ventures                                 122           107             366           320
                                                              ----------------------------------------------------------
                                                                 23,441        22,123          68,964        65,047
                                                              ----------------------------------------------------------

INCOME FROM CONTINUING OPERATIONS                                 5,996         5,096          16,101        15,409

DISCONTINUED OPERATIONS
  Income from real estate operations                                 24            61             152           165
  Gain on sale of real estate investments                         1,389             6           1,450           112
                                                              ----------------------------------------------------------
INCOME FROM DISCONTINUED OPERATIONS                               1,413            67           1,602           277
                                                              ----------------------------------------------------------

NET INCOME                                                        7,409         5,163          17,703        15,686

Preferred dividends-Series A                                          -            76               -         2,016
Preferred dividends-Series B                                          -           300               -         2,598
Preferred dividends-Series D                                        656           649           1,968           649
Costs on redemption of Series A preferred                             -         1,778               -         1,778
                                                              ----------------------------------------------------------

NET INCOME AVAILABLE TO COMMON STOCKHOLDERS                    $  6,753         2,360          15,735         8,645
                                                              ==========================================================

BASIC PER COMMON SHARE DATA
  Income from continuing operations                            $   0.25          0.12            0.68          0.49
  Income from discontinued operations                              0.07          0.01            0.08          0.02
                                                              ----------------------------------------------------------
  Net income available to common stockholders                  $   0.32          0.13            0.76          0.51
                                                              ==========================================================

  Weighted average shares outstanding                            20,804        18,451          20,746        17,089
                                                              ==========================================================

DILUTED PER COMMON SHARE DATA
  Income from continuing operations                            $   0.25          0.12            0.67          0.48
  Income from discontinued operations                              0.07          0.01            0.07          0.02
                                                              ----------------------------------------------------------
  Net income available to common stockholders                  $   0.32          0.13            0.74          0.50
                                                              ==========================================================

  Weighted average shares outstanding                            21,180        18,818          21,145        17,453
                                                              ==========================================================
</TABLE>

<PAGE>

                           EASTGROUP PROPERTIES, INC.
            RECONCILIATIONS OF OTHER REPORTING MEASURES TO NET INCOME
                      (IN THOUSANDS, EXCEPT PER SHARE DATA)
                                   (UNAUDITED)

<TABLE>
<CAPTION>
                                                                                  Three Months Ended            Nine Months Ended
                                                                                     September 30,                September 30,
                                                                                ----------------------------------------------------
                                                                                  2004          2003           2004          2003
                                                                                ----------------------------------------------------
<S>                                                                                 <C>          <C>           <C>           <C>
RECONCILIATIONS OF OTHER REPORTING MEASURES TO NET INCOME:

Income from real estate operations                                              $ 29,163      27,154          84,680       79,890
Operating expenses from real estate operations                                    (8,273)     (8,043)        (23,874)     (23,579)
                                                                                ----------------------------------------------------

PROPERTY NET OPERATING INCOME (PNOI) (A)                                          20,890      19,111          60,806       56,311

Gain on involuntary conversion                                                       154           -             154            -
Gain on securities                                                                     -           -               -          389
Other income                                                                         120          65             231          177
General and administrative expense                                                (1,686)     (1,246)         (4,930)      (3,746)
                                                                                ----------------------------------------------------

EARNINGS BEFORE INTEREST, TAXES, DEPRECIATION AND
AMORTIZATION (EBITDA)                                                             19,478      17,930          56,261       53,131

Income from discontinued operations (before depreciation and amortization)            25         108             246          309
Interest expense (B)                                                              (5,115)     (4,796)        (15,057)     (14,137)
Minority interest in earnings (before depreciation and amortization)                (158)       (141)           (473)        (430)
Gain on sale of nondepreciable real estate                                             -           6               -            6
Dividends on Series A preferred shares                                                 -         (76)              -       (2,016)
Dividends on Series D preferred shares                                              (656)       (649)         (1,968)        (649)
Costs on redemption of Series A preferred                                              -      (1,778)              -       (1,778)
                                                                                ----------------------------------------------------

FUNDS FROM OPERATIONS (FFO) AVAILABLE TO COMMON STOCKHOLDERS (A)                  13,574      10,604          39,009       34,436

Depreciation and amortization from continuing operations                          (8,245)     (7,931)        (24,737)     (23,265)
Depreciation and amortization from discontinued operations                            (1)        (47)            (94)        (144)
Share of joint venture depreciation and amortization                                  36          34             107          110
Gain on sale of depreciable real estate investments                                1,389           -           1,450          106
Dividends on Series B convertible preferred shares                                     -        (300)              -       (2,598)
                                                                                ----------------------------------------------------

NET INCOME AVAILABLE TO COMMON STOCKHOLDERS                                        6,753       2,360          15,735        8,645

Dividends on preferred shares                                                        656       1,025           1,968        5,263
Costs on redemption of Series A preferred                                              -       1,778               -        1,778
                                                                                ----------------------------------------------------

NET INCOME                                                                      $  7,409       5,163          17,703       15,686
                                                                                ====================================================

DILUTED PER COMMON SHARE DATA: (C)
Income from continuing operations                                               $   0.25        0.12            0.67         0.48
Income from discontinued operations                                                 0.07        0.01            0.07         0.02
                                                                                ----------------------------------------------------
Net income available to common stockholders                                     $   0.32        0.13            0.74         0.50
                                                                                ====================================================

Weighted average shares outstanding                                               21,180      18,818          21,145       17,453
                                                                                ====================================================

Funds from operations available to common stockholders                          $   0.64        0.53            1.84         1.74
                                                                                ====================================================

Weighted average shares outstanding for FFO purposes                              21,180      20,133          21,145       19,803
                                                                                ====================================================
</TABLE>

(A) The Company's  chief decision  makers use two primary  measures of operating
results  in  making  decisions,  such  as  allocating  resources:  property  net
operating  income  (PNOI),  defined as income from real estate  operations  less
property  operating  expenses  (before  interest  expense and  depreciation  and
amortization), and funds from operations (FFO). EastGroup defines FFO consistent
with the National  Association of Real Estate Investment Trusts' definition,  as
net income (loss) (computed in accordance with accounting  principles  generally
accepted in the United States of America (GAAP)), excluding gains or losses from
sales of depreciable real estate property, plus real estate related depreciation
and  amortization,  and after  adjustments for  unconsolidated  partnerships and
joint ventures.
     PNOI  and FFO are  supplemental  industry  reporting  measurements  used to
evaluate the performance of the Company's  investments in real estate assets and
its operating  results.  The Company believes that the exclusion of depreciation
and  amortization  in the  industry's  calculations  of  PNOI  and  FFO  provide
supplemental  indicators of the properties' performance since real estate values
have  historically  risen or  fallen  with  market  conditions.  PNOI and FFO as
calculated  by the  Company  may  not be  comparable  to  similarly  titled  but
differently  calculated measures for other REITs. Investors should be aware that
items  excluded  from  or  added  back  to FFO  are  significant  components  in
understanding and assessing the Company's financial performance.

(B) Net of  capitalized  interest of $365,000  and $518,000 for the three months
ended September 30, 2004 and 2003,  respectively;  and $1,275,000 and $1,520,000
for the nine months ended September 30, 2004 and 2003, respectively.

(C) Assumes dilutive effect of common stock equivalents.






































</TEXT>
</DOCUMENT>
