The equity REIT advised by Terra Capital Partners has completed the acquisition of a national portfolio of office properties from an affiliate of Fortress Investment Group for approximately $480 million. The properties are leased primarily to government agencies. "I am pleased to announce that the REIT has acquired one of the largest diversified portfolios of GSA-leased properties. The quality of the properties and the stability of the cash flows are consistent with our investment strategy," said Bruce Batkin, President of Terra Capital Partners. "This portfolio represents tremendous value and, as a result of its size, increases the operating efficiency of the REIT. In addition, the financing markets are such that we are able to obtain very favorable leverage today."

Terra Capital Partners is exclusive investment advisor to a private equity REIT, the shares of which are held primarily by an Australian listed property trust. The REIT focuses on the acquisition of U.S. income producing office, retail and industrial properties, frequently in joint venture partnership with local real estate operating companies.

The REIT focuses on well-leased, stable properties with credit tenants, strong covenants and average remaining lease terms of at least four years; The REIT avoids investments in uncertain, value-added situations.

For additional information please contact Dan Cooperman at (212) 753-5100 or visit our website: www.terracapitalpartners.com