PRESS RELEASE 02-08-07

NEW YORK, Feb. 8 /PRNewswire-FirstCall/ -- Tarragon Corporation (NASDAQ: TARR) , a leading urban homebuilder specializing in the development and marketing of high-density residential communities, today announced that it was recognized with three awards from the National Association of Homebuilders' 22nd Annual Best in American Living Awards (BALA) program.

  -- Tarragon's Upper Grand community in Hoboken, NJ was the Silver Award
     winner for "Best Urban Smart Growth Neighborhood/Community." The award
     recognized the shared vision of Tarragon, its partners URSA Development
     Group and Frank Raia, and the City of Hoboken in repositioning and
     redeveloping a former industrial site and redevelopment zone into a
     vibrant neighborhood that includes four completed residential
     buildings, two currently under construction and others in planning or
     pre-development.

  -- The Edenville unit in Tarragon's and LeylandAlliance LLC's Warwick
     Grove community in Warwick, NY was the Gold Award winner for "Best
     Single-Family Detached Home (1801 to 2400 square feet)."

  -- Warwick Grove also won the award for "Best in the North Atlantic
     Region."

As the nation's foremost residential design award competition, the BALA program recognizes builders, developers, architects, interior designers, land planners and designers across the United States who produce homes that illustrate design quality and success in the marketplace and exemplify the "Best in American Living."

The first phase of Upper Grand in Hoboken is comprised of four residences: 1100 Adams, 1200 Grand, 1300 Grand and 1118 Adams. The community is the result of a public-private partnership between the Company and the City of Hoboken that combines urban infill, mid-rise high density development and public open space.

Warwick Grove is a 130-acre community adjacent to the Village's municipal park and features 215 residences, a neighborhood center with swimming pool, fitness center, meeting rooms, gathering hall, library and kitchen, as well as neighborhood greens, parks, and nearby conservation areas. The Village of Warwick, approximately one hour from New York City, is a classic main street town in the heart of the Hudson Valley characterized by small retail, walkable streets and an exciting mix of architectural styles. The award-winning Edenville unit has been designed to fit into the new Warwick Grove community as well as to harmonize with the medley of architectural styles that characterize the rest of the Village.

William S. Friedman, Chairman and CEO of Tarragon Corporation, said, "We are extremely pleased to receive such prestigious recognition for our work. The Upper Grand neighborhood is the result of efforts by many on the Tarragon team who worked closely with the City's Mayor and Planning Department -- without whose progressive vision for the site we could not have achieved such a remarkable outcome. Upper Grand has brought significant economic development benefits to the City of Hoboken, strengthening its tax base and creating numerous jobs in construction, property management, landscaping, retail and community services. Upper Grand shows Hoboken's commitment to achieving the social benefits of Smart Growth urban design in the 21st Century and is a new paradigm for residential living in New Jersey, one that offers residents the best in housing design and community amenities."

Mr. Friedman continued, "Both Upper Grand and Warwick Grove demonstrate Tarragon's focus on working closely with communities to meet their wants and needs. Designed in an attractive brownstone style that is appropriate to the adjoining neighborhoods and respectful of local traditions, the building facades of Upper Grand evoke the City's historic architecture while reinterpreting it with a contemporary flair. Warwick Grove is a prime example of the principles of New Urbanism, which emphasize human scale, a lively mix of housing types, small lots and a pedestrian-friendly atmosphere. To live in, work or visit Upper Grand or Warwick Grove is to have a genuine experience of place, as each is perfectly integrated into the fabric of the community."

About Tarragon Corporation

Tarragon Corporation is a leading homebuilder specializing in the development and marketing of residential communities in high-density, urban locations. The Company's operations are concentrated in Florida, the Northeast, Texas and Tennessee. To learn more about Tarragon Corporation, visit: www.tarragoncorp.com.

Forward-looking Statements

Information in this press release includes forward-looking statements made pursuant of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Actual results and the timing of certain events could differ materially from those projected or contemplated by the forward-looking statements due to a number of factors, including, but not limited to, general economic conditions, interest rates, weather, the availability of financing for development and acquisition and other risk factors outlined in the Company's SEC reports, annual report and Form 10-K. The Company assumes no responsibility to update forward-looking information contained herein.

TARR-G

Source: Tarragon Corporation

CONTACT: Alan H. Oshiki, Investors, +1-212-232-2354, aoshiki@broadgate.com, of Broadgate Consultants for Tarragon Corporation; or William S. Friedman, of Tarragon Corporation, +1-212-949-5000, wfriedman@tarragoncorp.com

Web site: http://www.tarragoncorp.com/