Coordinated multi-point processing has shown greatpotential for cellular networks, while MIMO is the key to nextgeneration wireless communications. However, full exploitationof MIMO technology demands high antenna separation at thetransceivers. This paper investigates the use of dual polarizedantennas as a mean to overcome hardware size limitations.Uplink sum rate capacity of a multicell joint processing (MJP)system employing dual polarized antennas is evaluated throughtheoretical analysis and verified by numerical simulations andtheoretical analysis. The system model incorporates uniformlydistributed users, path loss and Rayleigh fading, extendingWyner’s model. Optimal and MMSE receiver architectures arecompared in terms of capacity and complexity. System capacityis calculated as cell size or cross polar discrimination (XPD)varies. The results support the use of dual-polar decoding for lowXPD, dense cellular systems while per polarization processing isacceptable in high XPD, sparse systems.