Hines Adds $2.7 Billion of Investment Capacity to Its U.S. Value Added Platform

Hines, the international real estate firm, announced today the
final closing of its Hines U.S. Office Value Added Fund II with a
total of approximately $828 million of equity. Unlike the firm's funds
designed primarily to develop new projects or hold core assets, this
fund seeks primarily office sector buys through which the firm can
create new value through repositioning, re-leasing and expansion.

Institutional investors include public and private pension funds,
insurance companies and financial services firms based in the U.S.,
Europe and Japan. Hines principals invest five percent of the fund's
equity.

According to fund manager and Hines Senior Vice President Dave
Congdon, the fund's strategy is designed to capitalize on the strength
of the Hines firm: strong local teams of real estate experts in key
markets who have long track records of buying, developing, leasing and
operating office projects. The fund has invested approximately 30
percent of its equity in five projects located in markets such as
Washington, D.C., Miami, FL, and San Jose, CA.

Hines' previous U.S. value added fund, which closed in late 2003,
invested in nine properties, five of which have been sold or are under
contract for sale. High profile properties acquired include the Union
Bank Plaza building in downtown Los Angeles and Bank of America Center
in Houston's central business district.

Hines began its strategic fund investment program more than a
decade ago, and has discretionary funds for development and/or to
pursue core and value-added properties worldwide including continents
such as North America, South America, Europe and Asia, with committed
equity of more than $13.5 billion from a roster of sophisticated
institutional investors.

Hines is a privately owned real estate firm involved in real
estate investment, development and property management worldwide. With
offices in 67 U.S. cities and 15 foreign countries, and controlled
assets valued at approximately $16 billion, Hines is one of the
largest real estate organizations in the world. Visit www.hines.com
for more information.