PRAEDIUM GROUP, TOWER REALTY SELL TWO ORLANDO OFFICE PROPERTIES FOR $32 MILLION

August 17, 2006 - New York -The Praedium Group LLC, a New York City-based national real estate investment firm and Orlando-based Tower Realty Partners, Inc. announced today the sale of two joint venture office/flex properties in Orlando, Fla. for more than $32 million to Leasco Management Company of Costa Mesa, Calif. The first, the Orlando Airport Business Center, was sold for $22.7 million, or $128 per square foot. The second, the Northlake Business Center, sold for $9.65 million, or $120 per square foot. Both properties were 100 percent occupied at the time of sale.

Orlando Airport Business Center and Northlake Business Center were purchased by Praedium and Tower in April and November 2005, respectively.

"Both the Orlando Airport Business Center and the Northlake Business Center were attractive opportunities because of the strong demand for office/flex space in the area," said Mark Lippmann, vice president at Praedium. "After acquiring the properties, we moved quickly to stabilize the assets. As a result, we were able to execute our business plan sooner than expected and exceed our investment return in a short period of time."

Cliff Stein, of Tower Realty Partners, said, "We are pleased with the results of our joint venture with The Praedium Group."

Tower Realty Partners, Inc. is a commercial real estate firm concentrating on investment, brokerage and property management services. Tower was established in 1987 between principals, Clifford Stein and Reid Berman. Currently, Tower owns and operates a portfolio of office and retail projects in the Central Florida area in excess of $200 million.

The Praedium Group is a real estate investor focusing on under-performing and under-valued assets throughout North America, with more than $5 billion in total investments to date in more than 250 transactions comprised of 44 million square feet of commercial space and 45,000 multi-family units. 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 is investing its most recent $700 million real estate private equity fund, Praedium Fund VI. This equity will be leveraged to acquire more than $2 billion in properties. The fund invests in mid-cap assets throughout the United States and Canada in the $10 to $70 million range, targeting multi-family, office, retail and industrial property types. Cadim, a Montreal-based real estate advisor and portfolio manager, is a major shareholder of The Praedium Group. Cadim is a division of the Caisse de depot et placement du Quebec and a member of the Real Estate group of the Caisse. The Caisse is one of the world's 10 largest real estate managers among pension fund managers. For more information, please see www.praediumgroup.com.