Lower Manhattan

Real Estate Alert, June 23, 2004

* More than $2.1 billion of properties have sold or gone under contract so far in 2004, making this the best year since 2000.

* There's good news on the leasing front. Occupied space, excluding what's available for sublet, is 87.1%, up from 86.5% a year ago.

                                                      Hit            SF
On the Market                  Seller                 Market      (000)

233 Broadway (90% stake)       Witkoff, Cammeby's     June        1,000
180 Maiden Lane                Paramount Group        May         1,100
40 Wall Street                 Donald Trump           June        1,100
110 William Street             Trizec Properties      3rd Qtr.      868
20 Pine Street                 Jack Resnick & Sons    May           567

                                     Estimated Value

On the Market                  ($Mil.)    (Per SF)    Broker

233 Broadway (90% stake)       $400           $444    Cushman &
                                                        Wakefield
180 Maiden Lane                 400            363    Eastdil Realty
40 Wall Street                  400            363    CB Richard Ellis
110 William Street              150            173    (Not yet
                                                        selected)
20 Pine Street                  113            200    CB Richard Ellis

                                                                     SF
Recent Deals                   Buyer                  Closed      (000)

95 Wall Street                 Moinian, Chetrit       (Pending)     486
95 Wall Street                 RFR Holding            (Pending)     486
14 Wall Street (90% stake)     Stellar group          (Pending)   1,043
20 Exchange Place              Nathan Berman          June          730
17 State Street (70% stake)    Sachsenfonds           June          526

                                        Sales Price

Recent Deals                   ($Mil.)    (Per SF)    Broker

95 Wall Street                 $184           $378    Cushman &
                                                        Wakefield
95 Wall Street                  180            370    (None)
14 Wall Street (90% stake)      164            175    Eastdil Realty
20 Exchange Place               155            212    Cushman &
                                                        Wakefield
17 State Street (70% stake)     151            411    (None)