Smith Equities' $12.7M Addison Place Deal Proves Student Housing Still Hot

ORLANDO, FL, Nov. 10, 2008- – In spite of the turmoil in the capital markets, demand for well-located quality student housing continues to attract student housing developers to the University of Central Florida (UCF) market, according to Paul Guyet (top left photo) of Smith Equities Real Estate Investment Advisors.

Guyet and Mark Smith, (middle right photo) both of Smith Equities Real Estate Investment Advisors, brokered the sale of Addison Place Apartments, (top right photo) which is located on Alafaya Trail one half mile south of UCF.

The property consists of eight buildings containing 218 apartments – mostly one-bedroom units – and an office on a 10-acre site with approximately 740 feet fronting on Alafaya Trail. Addison Place Apartments sold for $12.7 million. The seller was Cedar Trust Services, Inc.

The new owner, which is part of Inland American Communities Group, Inc., plans to build a new student housing complex on the site that will open for the 2010 school year with 995 bedrooms in 416 units, a garage, pool and other amenities appealing to students. It also will be on the bus route that takes students to and from classes.

Guyet is the student housing specialist at Smith Equities Real Estate Investment Advisors, which specializes in the sale of apartments in Florida. He is in charge of the student housing department and has participated in the sale of more than $166 million of student housing in Orlando, Tallahassee and Gainesville.

Each year, Guyet prepares a report on the occupancy rates and rents in the UCF market (copy included with this release) that has become required reading for anyone interested in student housing in the area.

About Smith Equities:

Robert E. Smith (bottom left photo) and his brothers Mark and Gerald (bottom right photo) founded Smith Equities Real Estate Investment Advisors (SEREIA) in 1990. Smith Equities is a leader in apartment sales and financing throughout Florida with investment sales and financing of over 22,734 Apartments in 160 deals.

SEREIA sold some of the first condo conversions in Florida and is now focused on helping banks understand and dispose of nonperforming assets tied to condominium conversions.

For more information, please go to their website at http://www.amecs.com/

or call them at (407)422-0704.

CONTACTS:

Paul M. Guyet: 407-422-0704 Ext 105 or e-mail: pmg@amecs.com

Mark D. Smith: 407-422-0704, Ext. 102 or e-mail: msmith@amecs.com
Kimbra Hennessy, 407.290.1060, ext. 102, kimbra@bitner.com

NAR Recognizes Realtor(R) Michael Owen of Delray Beach, FL for Distinguished Service

ORLANDO, F., Nov. 10 /PRNewswire/ -- Michael Owen, (top right photo) a Realtor(R) from Delray Beach, Fla., has received the National Association of Realtors(R) 2008 Distinguished Service Award.

Out of 1.2 million Realtors(R), no more than two are recognized with this award each year, which is announced during NAR's annual REALTORS(R) Conference & Expo.

NAR established the DSA in 1979 to honor Realtors(R) who have made outstanding contributions to the real estate industry and are recognized as leaders in their local communities.

The award is considered the highest honor an NAR member can receive; recipients must be active at the local, state and national association levels, but must not have served as NAR president.

NAR President Richard F. Gaylord (top left photo) presented the award to Owen.

"Realtor(R) Michael Owen exemplifies community participation and leadership, both professionally and personally," said Gaylord, a broker with RE/MAX Real Estate Specialists, Long Beach, Calif.

"Owen's involvement at the national, state, and local levels of the association, as well as his contributions to neighborhoods both close to home and across the globe, demonstrates Realtors(R)' commitment to building communities."

Owen became a Realtor(R) nearly 30 years ago, in 1979. He is currently with Coldwell-Banker in Boca Raton, Fla., and practices both residential and commercial real estate.

"I am honored to accept the Distinguished Service Award," said Owen. "Receiving the award here in my home state of Florida, as we host NAR's national conference, only enhances its significance.

"I'm fortunate to have worked with so many committed professionals across the country throughout my career as we further our common goals of encouraging homeownership and real estate investment and supporting our communities."

Owen is currently a member of NAR's Board of Directors and has served on the Board nearly every year since 1989. He is the 2009 chair for NAR's Resort and Second Homes Committee.

Owen was the NAR Regional Vice President for Region 5 in 1994. Owen has earned numerous designations and certifications, including Accredited Buyer Representative(R), Certified International Property Specialist, Certified Residential Specialist(R), e-Pro(R), and Graduate Realtor(R) Institute.

CONTACT:

Stephanie Singer of the National Association of Realtors,+1-202-383-1050, ssinger@realtors.org

S&P: BULLETIN: Fannie Mae Reports $29 Billion Third-Quarter Loss; Ratings Unaffected

NEW YORK Nov. 10, 2008--Fannie Mae today reported a sizeable $29 billion loss in third-quarter 2008 due to its establishment of a $21.4 billion deferred tax-asset valuation allowance and a large $9.2 billion credit-loss provision.

This quarterly loss has no impact on Standard & Poor's Ratings Services' ratings on Fannie Mae's 'AAA/A-1+' senior debt, 'A' subordinated debt, or 'C' preferred stock, since Fannie Mae is operating under a regulatory conservatorship.

(S&P analysts Victoria Wagner, top right photo, and Daniel E. Teclaw, authored the special report.)

The establishment of the valuation allowance for the deferred tax asset reflects the high degree of uncertainty surrounding Fannie Mae's earnings as it operates under conservatorship.

We believe that Fannie Mae's business plan, while under conservatorship, will be geared primarily to fulfilling its public policy role of providing mortgage liquidity to the U.S. housing markets.

With this as its main business focus, we believe Fannie Mae's core profitability metrics will suffer and any initiatives to improve its core earnings will be of secondary importance.

(Treasury Department building, Washington, DC, middle left photo)

Other significant charges in the quarter contributing to what we view as the rather sizeable loss include a $9.2 billion charge for credit–related expenses, which includes a $6.7 billion increase to the provision for credit losses, and fair-value losses of $3.9 billion.

The credit-loss provision was much greater than the previous quarter's and reflects Fannie Mae's attempts to buttress loss reserves in 2008 as it expects loan losses to peak in 2009.

Total non-performing assets were $71 billion, or 2.4% of the total guarantee book of business plus foreclosed properties; and the credit-loss ratio reached 29.7 basis points (bps) annualized for the third quarter and 20.1 bps for the first nine months of 2008. We expect this level of losses to double in 2009.

Fair-value gains and losses continue to be sizeable, given the current illiquidity for mortgage-related assets and the widening of their related spreads.

Also, interest rate derivatives not in designated hedge positions continue to add to fair-value loss volatility on Fannie Mae's income statement.

The key figures include a $3.3 billion interest-rate derivative fair-value loss and a $2.9 billion trading loss.

The final remaining notable charge in the third quarter was the $1.8 billion of other-than-temporary-impairment charges taken on Fannie Mae's holdings of private-label Alternative-A and subprime mortgage-backed securities, which were recorded as investment losses in the quarter.

These sizeable losses have, in our opinion, severely worsened Fannie Mae's capital position, as it ended the quarter with generally accepted accounting principals (GAAP) equity of $9.3 billion.

Fannie Mae's regulatory capital requirements have been suspended while it's under conservatorship, but, as a result of conservatorship, must maintain a positive GAAP equity position.

Therefore, we now expect it to be highly likely that Fannie Mae will access the U.S. Treasury's senior preferred stock purchase program early next year.

Media Contact:

Jeff Sexton, New York, (1) 212-438-3448 jeff_sexton@standardandpoors.com

Analyst Contacts:
Victoria Wagner, New York (1) 212-438-7406
Daniel E Teclaw, New York (1) 212-438-8716

Marshall Management, Inc. Adds Nine Hotel Management Contracts in 45 Days

Nine Additional Properties Currently in Pipeline

SALISBURY, MD, Nov. 10, 2008 – Marshall Management, Inc., a leading, mid-sized hotel management company, today announced that it added nine management contracts in less than two months, expanding the company’s portfolio to 44 open properties and 11 in various forms of development.

(Mt. Vernon Hotel, Baltimore, MD, top left photo)

The 2008 growth spurt is a part of Marshall’s planned development, which will extend the company’s geographic presence along the East Coast and Midwest, diversify its portfolio and showcase its breadth and depth of skills as an owner and manager.

(Quality Inn Philadelphia Airport, PA, middle right photo)

“We have strategically added 35% more properties to our portfolio, in strong markets and aligning with some of the industry’s top brands, while providing the detailed, individualized services that have become our hallmark,” said Michael Marshall, (top right photo) president and CEO of Marshall Management, Inc.

“We’ve increased our portfolio size while still maintaining a high level of personalized service, but remain firmly committed to be a mid-sized management company with a portfolio in the 40- to 60-property range.

"This has allowed us to carve out a niche that sets us apart from other management companies.

"We have added significant management bench strength and further honed our proprietary management systems and are leveraging our skills to increase our value to hotel owners and investors.”

(Radisson Hotel Norfolk, middle left photo)

The nine contracts include:

---Hilton Garden Inn Riverhead, N.Y. Opened Aug. 11
---Mt. Vernon Hotel, Baltimore, Md. Management contract, obtained Aug. 1
---Hopkins Inn, Baltimore, Md. Management contract, obtained Aug. 1
---Quality Inn Philadelphia Airport, Pa. Management contract, obtained Aug. 1
---19 Atlantic Hotel, Virginia Beach, Va. Renovation and management contract, re-opened Aug. 1
---Radisson Hotel Norfolk. Management contract, Sept. 1
---Governor Dinwiddie Hotel & Suites. Management contract, Sept. 1

---Four Points by Sheraton Manhattan SoHo. Opened in mid-September
---Hampton Inn Manhattan SoHo. Opened in mid-September

(Governor Dinwiddie Hotel & Suites, Portsmouth, VA, bottom right photo)

Marshall also has management contracts for nine additional properties currently under development. Two have scheduled openings in the first quarter of 2009; three are expected to open in the second quarter of next year; and the rest will open later in the year.

(Four Points by Sheraton Manhattan SoHo, bottom left photo)

“In addition to taking over and turning around properties, we are heavily involved in the development and pre-opening activities for our owners,” Marshall said. “With the economy slowing and owners seeking to optimize return on investment, we expect to see additional business opportunities over the short-term.”

Contacts:

Rick Day, Senior Vice President, Sales and Marketing, Marshall Management, Inc., (410)749-8464 rday@marshallhotels.com

Jerry Daly, media, Daly Gray Public Relations, (703) 435-6293, jerry@dalygray.com