PRESS RELEASES

Hines Acquires Quaker Tower In Chicago

4/20/2000

Hines Acquires Quaker Tower in Chicago

(Chicago, IL) -- Hines, the international real estate firm, announced today the acquisition of Quaker Tower located at 321 North Clark Street in Chicago’s Central Business District. JPMorgan Fleming Asset Management, on behalf of a large public pension fund, and Hines have acquired the property in a joint venture. The 35-story, Class A office tower was purchased from Shuwa Riverfront LP, which acquired the project in 1989.

The 840,000 square-foot building built in 1987 is currently 95% leased. Quaker Tower is the world headquarters for The Quaker Oats Company, which leases 50% of the project, and the law firm Gardner Carton & Douglas, which leases 20% of the project. As both tenants are vacating the building in the fall of 2002, there will be over 650,000 square feet of contiguous office space available to lease. Designed by the Chicago office of Skidmore, Owings & Merrill, Quaker Tower is linked to the 424-room Westin Hotel. The office tower is prominently positioned on the Chicago River, and provides for open views of the river and the city’s historic architecture.

"This acquisition is especially meaningful to Hines both as an investment in Chicago and in continuing our relationship with JPMorgan Fleming," said Tom Danilek, Hines’ senior vice president in the Midwest Region. "We are thrilled to be able to acquire such a premiere asset and look forward to working with our partners in the leasing and management of the property."

In addition to Quaker Tower, Hines owns 303 East Wacker through a partnership with JPMorgan Fleming Asset Management. In the Chicago area, Hines is actively involved in developing, managing and acquiring commercial real estate. Current projects under construction are 191 North Wacker, a 725,000 square-foot tower which will open in October 2002, Woodfield Preserve Office Center Phase II a 300,000 square-foot suburban development in Schaumburg opening this June and the 1.3 million-square-foot development management project for ABN/AMRO’s North American headquarters. Since 1978, the firm has developed, leased and managed in excess of 11.5 million square feet of office space in the Chicago area.

The Hines portfolio currently includes more than 660 properties representing 212 million square feet of office, mixed-use, industrial, retail and residential properties, as well as large, master-planned communities and land developments. With offices in 72 U.S. cities and 11 foreign countries, and assets in excess of $11 billion, Hines is one of the largest real estate organizations in the world. Access www.Hines.com for more information.