01-15-07 Silver-McCann Acquires Shiloh Valley Overlook Apartments in Atlanta as First Acquisition in New $150 Million Fund 

RICHMOND, VA, BOCA RATON, FL and ATLANTA, GA – January 15, 2007 – Silver-McCann Apartment Group II, L.P. (“Silver-McCann”) announced the acquisition of Shiloh Valley Overlook Apartments in Atlanta (Kennesaw), Georgia.  The 300-unit, garden-style portfolio located in the thriving Town Center submarket of metropolitan Atlanta will be managed by RAM Partners, LLC.  The acquisition was funded in part by a 10-year fixed rate loan with a rate of 5.75% originated by Lehman Brothers Bank, FSB.

With this acquisition, Silver Capital -- a division of Silver Companies -- and McCann Realty Partners are launching their second apartment fund, Silver-McCann Apartment Group II, L.P., with the expectation of acquiring $150 million worth of apartment communities in 2007.

“Shiloh Valley Overlook in Atlanta’s Northern Cobb County is an ideal first acquisition for our second apartment fund.  We were able to attractively leverage this class A community with a long-term fixed rate conduit loan at 5.75%,” said Silver Capital CEO Larry D. Silver.  “This is the fifth acquisition that Silver-McCann has made over the last seven months.  While it is a very competitive market for investments, we are very encouraged by the success that we are having accessing apartment acquisitions that meet our funds’ objectives.”

“We like high quality, well-located communities in strong Atlanta sub-markets.  Shiloh Valley Overlook in the Town Center submarket of Cobb County meets this criteria,” added John P. McCann of McCann Realty Partners. “It enjoys fairly high physical occupancy, but its economic occupancy is about 15% lower.  We expect solid NOI growth at least this year and next from higher effective rents from both rent growth and lower concessions.”

Silver-McCann Apartment Group, L.P. was organized in April 2005 by McCann Realty Partners, LLC, an apartment investment company, and Silver Capital, LLC, a division of the real estate development and investment firm Silver Companies, to acquire apartment communities in the Mid-Atlantic and Southeast. The initial fund reached its stated objective of acquiring an apartment portfolio valued at approximately $100 million in the first 18 months of the partnership.  Silver-McCann Apartment Group II, L.P. continues the partnership with the expectation of acquiring $150-$200 million worth of apartment communities over the next two years.

Silver-McCann is currently seeking apartment acquisitions in the Mid-Atlantic and Southeast.

Since 1941, Silver Companies has built an impressive master development and real estate investment enterprise with commercial development approaching 11 million sq. ft. and residential site development totaling more than 50,000 units. In addition, the company’s private equity division has provided more than $1 billion in capital to builders and developers during the last six years. Silver Companies is led by CEO Larry D. Silver and is backed by teams of division presidents, engineers, contractors, project managers, lending, leasing and acquisitions professionals and nationally-recognized strategic partners. Its two headquarter offices are located in Metro Washington, D.C. and Boca Raton, FL. For more information, visit www.silvercompanies.com.

Richmond, VA-based McCann Realty Partners, LLC, was started in late 2004 to invest in apartments.  Its principals have over 70 years of apartment industry experience.  By leveraging industry relationships developed over the past 35 years, MRP has demonstrated its ability to access capital sources and create deal flow, enabling it to find and close apartment investments that provide superior returns.  For more detailed information, visit www.mrpapts.com.

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