PRAEDIUM AND SOUTH BAY SELL SILICON VALLEY OFFICE COMPLEX FOR $35 MILLION

April 11, 2007 - New York - The Praedium Group LLC, a New York City-based national real estate investment firm, and South Bay Development Company, based in Campbell, Calif., today announced the disposition of the Coronado/Stender Business Park in Santa Clara, Calif. The 227,600 square foot, seven-building business park, situated on 15.75 acres in the center of Silicon Valley, was sold for $34.5 million.

The property, built in 1974, was sold to Adler Realty Investments, Inc., based in Woodland Hills, Calif. Praedium and South Bay Development Company acquired the property in March 2005. The business park was 100 percent occupied at the time of the sale. Major tenants include Integrated Device Technology, Toppan Photomask, and Daystar Technologies

ìCoronado/Stender is located in a great in-fill location with strong market fundamentals,î said Chris Hughes, principal at Praedium.

“Mark Regoli, Partner at South Bay Development Company commented that, ìWe have been astonished by the rapid recovery in the leasing and investment marketî.

Doug Yoder of CB Richard Ellis represented the seller in this transaction. CPS Corfac International represented the buyer. Praedium and South Bay Development Company have partnered on five joint venture acquisitions.

South Bay Development Company acquires, develops and owns commercial property for its own account and in partnership with a variety of institutional investors. The firm focuses its efforts entirely in Northern California and is considered one of the leading managers and developers of office, industrial, and research and development product.

The Praedium Group is a real estate investor focusing on under-performing and under-valued assets throughout North America, with over $6 billion in total investments to date in more than 250 transactions comprised of 40 million square feet of commercial space and 50,000 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, targeting multi-family, office, retail and industrial property types.

Cadim, a Montreal-based real estate investor 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.