FOR IMMEDIATE RELEASE

September 1, 2005

HARBOR GROUP INTERNATIONAL PURCHASES APARTMENT COMPLEX IN NASHVILLE

Harbor Group International (HGI) of Norfolk, Virginia, has acquired The Lexington Apartments in Nashville, Tennessee. The 589-unit apartment community was purchased from Shelter Group for $44,000,000.

The Lexington, built in 1996 and 1997, consists of one, two and three bedroom floor plans with an average size of 1,000 square feet. Property amenities include a clubhouse, three swimming pools with sundecks, an indoor pool, two 24-hour fitness facilities, lighted tennis courts, a sand volleyball court, a business center, an entertainment center, a car care facility and two 24-hour laundry facilities. Dwelling units feature washer and dryer connections, ceiling fans, gas fireplaces, nine-foot ceilings and a deck or patio. Select units also include vaulted ceilings, intrusion alarms and garages.

Since 1990, HGI has acquired over 11,000 apartments in Tennessee, Florida, Georgia, the Carolinas, Maryland, Arkansas, Alabama, Indiana, Ohio, and Virginia. HGI also owns Lynnfield Place Apartments and Waterstone Landing Apartments in Memphis, Tennessee, which contain 400 and 378 units respectively.

Harbor Group International, with offices in Norfolk, New York, Chicago and Tel Aviv, currently own more than $1 billion worth of properties throughout the United States. For more information, visit Harbor Group International’s web page at www.harborgroupint.com.

###