FOR IMMEDIATE RELEASE

SOMERSET PARTNERS SELLS 85 TENTH AVENUE TO RELATED FOR $430 MILLION

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NEW YORK – March 1, 2007 – Somerset Partners (www.somersetpartnersllc.com), a New York City-based private real estate investor, today announced that it has signed a definitive agreement to sell one of its trophy office properties, 85 Tenth Avenue, to Related, the New York City real estate development company headed by CEO Stephen M. Ross, for approximately $430 million. The company expects the transaction to close at the beginning of the second quarter 2007. Somerset intends to use the majority of the proceeds to accelerate their growth objectives and further expand their asset portfolio.

Somerset principals, Keith Rubenstein and Marshall Allan, headed the transaction, with investment broker Douglas Harmon of Eastdil Secured representing the firm in the sale.

“We recognized this building to be a diamond in the rough when we originally purchased it.  Although, at the time of our purchase, the price seemed high to others, we knew that the unique nature of the building, its credit tenants and dynamic location were certain to allow us to realize substantial upside,” said Keith Rubenstein, Principal, Somerset Partners.

Purchased in July 2005, 85 Tenth Avenue represented the first office acquisition for Somerset Partners, who followed the purchase with the acquisition of 1801 K Street in Washington, DC for $250 million. In addition to its office portfolio, Somerset has built a $300 million portfolio of more than 3,000 apartments throughout the Southwest and Southeast U.S. over the last 5 years.

Built in 1913, 85 Tenth Avenue, the former Nabisco Factory, has since benefited from nearly $200 million of capital improvements which was invested by previous owners, and is today one of the most technically advanced buildings in the Country. With 12 building generators providing 2 megawatts of redundant (back-up) power each, the building can fully function on its own without public power or water for up to 30 days. The building is currently 100% leased to credit tenants including the U.S. Government, Lehman Brothers, Moet Hennessy and the State of New York. It features efficient 56,000-sq.ft. floor plates, high ceilings (up to 18-feet), 14-ft. window lines and unobstructed city and water views. 85 Tenth Avenue is also the home of two of New York's most renowned restaurateur’s latest venues: Chef Tom Colicchio’s Craft Steak and Chef Mario Batali’s Del Posto.

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Somerset Partners, LLC, is a private equity firm focused on the preservation and growth of wealth through investment in real estate for its investors and principals. With a focus on long-term ownership and high-quality multi-family assets in economically sound markets, Somerset Partners matches its investments with the specific portfolio requirements of its equity partners. Somerset Partners is owned and managed by Keith Rubenstein, Marshall Allan and Philip Welch.