FOR IMMEDIATE RELEASE

May 18, 2004
                      
HARBOR GROUP INTERNATIONAL PURCHASES APARTMENT COMMUNITY IN COLUMBIA, SOUTH CAROLINA

Harbor Group International (HGI) of Norfolk, Virginia, has acquired Greenbrier Apartments in Columbia, South Carolina. The 526-unit garden-style property was purchased from Greenbrier S.C. Properties, Inc., advised by JP Morgan Investment Management for $26,700,000.  Steve Griffen and Larry Orr of the Apartment Group served as the brokers for the seller.

The purchase was part of a Section 1031 tax deferred exchange. Harbor Group International sold Ridgewood Club Apartments, a 192-unit Virginia Beach, Virginia, property in March and reinvested the proceeds in the Columbia property.

 “ This is the third apartment community HGI has acquired this month,” said Sid Bridge, Spokesman for Harbor Group International. “We believe each property represents an opportunity to implement our comprehensive capital improvement strategy and apply our class “A” management practices.”

HGI plans on spending $750,000 to upgrade the property in order to implement its effective management strategy.  The upgrade will enhance the property’s aesthetics and curb appeal.

Greenbrier Apartments was built in 1989. The Property contains one-, two-, and three-bedroom apartments with an average square footage of 943. Amenities include detached garages, additional storage, two swimming pools, two spas, clubhouse, fitness center, tennis court, sports court, playground, picnic area, laundry room, car care center, and washer and dryer connections in most units.

The purchase of Greenbrier Apartments comes on the heels of HGI’s acquisition of Laurel Trace Apartments and Triangle Pointe Apartments, both in the Raleigh/Durham area.  Laurel Trace, a 362-unit, garden-style apartment community was purchased last week from Summit Properties.  Triangle Pointe, a 224-unit garden-style apartment community was purchased from Regent Partners At the beginning of the month.

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