SAN FRANCISCO, CA (October 31, 2007) – Shorenstein Properties LLC, a leading owner, developer and operator of office properties throughout the United States, announced it has provided $56.5 million in mezzanine loans to finance the acquisition of 1200 New Hampshire Avenue and 2300 M Street, two Class A office buildings totaling 422,000 square feet located in the West End submarket of Washington, D.C.

The transaction includes the purchase of a $31.5 million three-year, fixed rate mezzanine loan originated by Credit Suisse. Shorenstein also provided a $25 million three-year, LIBOR-based floating rate mezzanine loan. The loans were provided to a joint venture between Carlyle Group of Washington, D.C. and DCD America, a private real estate investment firm based in New York City.

Both buildings are 100 percent leased and are located in one of Washington D.C.’s most attractive submarkets. Built in 1979 and renovated in 1995, 1200 New Hampshire Avenue is 305,000 square feet. 2300 M Street is a 117,000 square foot building built in 1984.

Shorenstein purchased the loan on behalf of its ninth investment fund, Shorenstein Realty Investors Nine, L.P., a $1.3 billion private commingled fund formed early this year. It is the third loan purchase made for the fund in the last 30 days. Earlier this month, Shorenstein closed on the purchase of a $40 million junior loan for construction of an office building in Sunnyvale, Calif. and a $50 million mezzanine loan for the owners of 660 Madison Avenue in New York City.

About Shorenstein Properties LLC:

San Francisco-based Shorenstein Properties LLC (www.shorenstein.com) is one of the oldest and most successful private real estate investment companies active throughout the United States in the acquisition, development, ownership and management of office and mixed-use properties. Since its beginning in 1924, the company has evolved from a regional real estate operating company to an active national investor and manager of commingled institutional capital. Since 1992, Shorenstein has sponsored nine closed-end real estate investment funds. Shorenstein's substantial co-investment, integrated investment and operating strategy, and strong performance have positioned the company as an experienced leader in the value-added arena.