Capitol Bancorp Center
200 Washington Sq. North
Lansing, MI 48933

2777 East Camelback Road
Suite 375
Phoenix, AZ 85016

Analyst Contact:
Michael M. Moran
Chief of Capital Markets
877-884-5662

Media Contact:
Joal Redmond
Corporate Communications
602-977-3797

LANSING, Mich., and PHOENIX, Ariz.: November 23, 2004: Capitol Bancorp Limited (NYSE:CBC), a community bank development company, today announced that it has filed an application to organize a bank in Auburn Hills, Michigan. Capitol currently has a network of 32 community banks across the country, with 11 banks in Michigan.

According to Joseph D. Reid, chairman and CEO of Capitol Bancorp, this filing is part of the company's planned growth strategy. "Developing a community bank requires that many elements converge, including having the right leader on board, finding the right location and determining the optimal timing," said Reid. "These components have come together and we believe the community of Auburn Hills offers us an excellent opportunity to deliver our relationship-based banking services."

In the filing, Capitol announced that Neal J. Searle is the proposed president of Bank of Auburn Hills (in organization). Searle has nearly 20 years banking experience and most recently was First Vice President of Midwest Business Banking for Standard Federal Bank (formerly Michigan National Bank).

"Neal has the depth of experience required to take a community bank from organization to a successful operating status. He has a strong record of business development, community involvement and people management. Most importantly, he has worked in business banking throughout Michigan for the past 18 years and that experience means he understands the specialized needs of the small to medium-sized business owner," said Reid.

The filing for Bank of Auburn Hills (in organization) follows Capitol's filing for another de novo community bank, Bank of Michigan (in organization). Pending approvals, Bank of Michigan (in organization) will be located in Farmington Hills and will open near year-end.

About Capitol Bancorp Limited
Capitol Bancorp Limited is a $3.1 billion community bank development company, with 32 individual bank charters and bank operations in nine states. Capitol Bancorp Limited identifies opportunities for the development of new community banks, raises capital, mentors a community bank through its formative stages, and manages its investments in its community banks. Each community bank has full local decision-making authority and is managed by an on-site president under the direction of a local board of directors composed of business leaders from the bank's community. Capitol Bancorp Limited was founded in 1988 and has headquarters in Lansing, Mich. and Phoenix, Ariz.