FOR IMMEDIATE RELEASE

September 18, 2006

HARBOR GROUP INTERNATIONAL ENTERS CHICAGO
MARKET WITH PURCHASE OF 300 SOUTH WACKER


An affiliate of Harbor Group International L.L.C. of Norfolk, Va., has acquired the 35-story, 512,354 square foot 300 South Wacker Drive building in Chicago from an affiliate of Broadway Real Estate Partners LLC for approximately $91.5 million.

Built in 1971, the Class A building was completely renovated in the early 1990s, and is currently 92% occupied. The tenant roster includes several regional law firms and national financial firms, including Pacific Life, Mass Mutual, and Merrill Lynch.

The purchase marks Harbor Group International’s initial venture into the Chicago market. The company has been actively pursuing acquisition opportunities in Chicago in 2006.

“We continue to witness positive leasing momentum in the Chicago market, particularly for well located downtown CBD assets,” said Jordan E. Slone, Chairman and CEO of Harbor Group International. “300 South Wacker is an ‘A+’ location asset and we expect the building to benefit directly from improving rents and leasing activity."

CB Richard Ellis (CBRE) and Lincoln Property Company have been appointed as the leasing agent and property management company, respectively.

“The purchase of 300 South Wacker complements HGI’s ongoing strategy of acquiring well located CBD office buildings in recovering office markets,” said T. Richard Litton, President of HGI. “Consistent with our overall investment strategy for office building acquisition in 2006, we purchased 300 South Wacker at a significant discount to replacement cost and we expect to benefit from improving operating fundamentals in Chicago.”

HGI, which holds an investment portfolio in excess of $1.5 billion, currently owns approximately 5.8 million square feet of office space throughout the United States and more than 10,000 apartment units. The company maintains offices in Norfolk, New York, Tel Aviv, Chicago and Dallas.