PRAEDIUM GROUP SELLS THREE BUILDINGS IN BROOKHOLLOW OFFICE PARK FOR $4.5 MILLION

May 8, 2003--New York-The Praedium Group LLC, a New York City-based national real estate investment firm, announced today the sale of three buildings within the Brookhollow Office Park in Santa Ana, California. In September 2000, the partnership between Praedium and Laguna Niguel-based Birtcher Anderson Properties purchased the 24-building, 400,000 square foot office and retail park. In the second quarter of 2002, the partnership sold the two 2-story office buildings and four retail buildings along the Costa Mesa (55) Freeway frontage. The current transactions represent the individual sales of three single-story garden office buildings totaling 28,000 square feet to local investors and owner/users for prices ranging from $156 to $168 per square foot.

Rob Socci and Louis Tomaselli of Voit Commercial Brokerage represented the venture in these dispositions.

Chris Hughes, Praedium Group principal noted, "We were attracted to this investment because it is a high-quality, well-located campus with excellent visibility and access from the 55 Freeway. Part of the investment plan is to subdivide the campus and sell off individual buildings. This type of product has been very attractive to local owner/users looking to acquire free-standing buildings containing less than 20,000 square feet with excellent access, which facilitate enhanced company visibility. The assets sold to date have appealed to local investors and owner/users, including those seeking assets for 1031 tax exchanges. The remaining buildings that are available will likely sell to these types of buyers."

The Brookhollow Campus buildings, located at the Dyer Road exit of the Costa Mesa Freeway, were built between 1975 and 1984 and feature an interior roadway, plentiful parking, on-site café, common conference center, and open landscaped areas containing numerous water features.

Since its inception in 1939 as a family enterprise specializing in real estate acquisition, development and property management, the Birtcher Real Estate Group has grown to preeminence as one of the leading real estate firms in the Western United States. Headquartered in Laguna Niguel, Orange County, California, it has constructed and/or developed more than 200 commercial and industrial properties comprising more than 50 million square feet and more than 100 residential projects, totaling over 12,000 units. Birtcher has also acquired in excess of $2 billion of real estate through public and private vehicles and on an advisory basis.

The Praedium Group is a real estate investor focusing on underperforming and undervalued assets throughout North America, with more than $2 billion in total investments to date. Praedium was formed in 1991 with a leading international investment bank as its sole investor.

Building on the experience and exposure gained through this original investment program, Praedium has been a sponsor of commingled real estate private equity funds since 1994. The funds sponsored by Praedium have attracted investors that include public and corporate pension funds, financial institutions, insurance companies and endowments.

Praedium recently closed on a $465 million real estate private equity fund, Praedium Fund V. This equity will be leveraged to acquire $1.5 billion in properties through 2004. The fund will invest in mid-cap assets throughout the United States and Canada in the $10 to $60 million range, targeting multi-family, office, retail and industrial property types. For more information please see www.praediumgroup.com.