Eastern deciduous forests have been invaded by two exotic species that often dominate the understory vegetation. Berberis thunbergii, a woody shrub, forms dense thickets, while Microstegium vimineum, a C4 grass, forms continuous lawns; the two species often co-occur. We hypothesized that a variety of characteristics of the exotic species may cause soil-based ecosystem processes to change following invasion, and that such changes could establish positive feedback processes that enhance the spread of the exotic. We examined changes in soil pH, nitrogen cycling, and litter dynamics in stands infested with both species in three locations in northern New Jersey (USA). Soils directly beneath each of the two exotics had higher pH values and higher nitrification rates and often had higher net N mineralization rates than did soils beneath adjacent patches of the most common native understory shrub, Vaccinium pallidum. These differences could be replicated in the greenhouse by growing the exotics in previously unin...