July 1, 2004

Virtu Investment Purchases 10 United Nations Plaza

SAN FRANCISCO — Virtu Investments, a San Francisco based real estate investment management firm, purchased 10 United Nations Plaza for $8.3 million on July 1, 2004. The 75,000 square foot, six-story, Class A, steel framed office building, located at the northwest corner of Market and 7th Street in the Civic Center sub market of San Francisco, was an attractive acquisition candidate for Virtu due to the value-added nature of the investment opportunity. 10 United Nations Plaza was 45% leased at the time of purchase allowing for significant upside by leasing the available space. Virtu implemented their leasing strategy and quickly leased the entire second floor to an expanding tenant in the Civic Center market, The Art Institute of San Francisco. The Art Institute signed a lease on October 1, 2004 for 12,250 square feet.

Virtu recognized that 10 United Nations Plaza is in the heart of a quickly gentrifying Market Street corridor, which includes several projects that are currently under construction including the new 600,000 square foot Federal Building across the street and the nearby Bloomingdale's redevelopment which will include 600,000 square feet of retail, a 462 room hotel and a 6,000 seat movie theater. There are also several developments proposed for the immediate neighborhood including the 400,000 square foot office building for the City & County of San Francisco at the corner of 10th & Market Street and Trinity Properties' five building, 1,410 unit, residential project at Market and 8th Street.

Michael Green and Scott McWhorter founded Virtu Investments in 1997. Since then, the company has acquired over forty properties throughout the country. The company's current portfolio is valued at approximately $300 million and Virtu has approximately $100 million of private equity under management. Virtu performs its own property management and has offices in San Francisco, Carlsbad and Carmel, CA as well as Seattle, WA and Tulsa, OK and Scottsdale, AZ. The majority of the company's assets are apartment buildings, but in the last couple of years Virtu has been focused on growing their commercial division as well. In 2003, Will Fleming (415-398-4202) joined Virtu Investments as the Commercial Acquisitions Director and is focused on acquiring value-added office, R&D and industrial opportunities in the western US.

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