Warburg Pincus Closes $1.2 Billion Global Private Equity Real Estate Fund

Warburg Pincus Real Estate I, L.P. to be Invested in Global Opportunities

with Focus on U.S., Europe and Asia

Oct 30, 2006, 00:00 ET from Warburg Pincus

    NEW YORK, Oct. 30 /PRNewswire/ -- Warburg Pincus, the global private
 equity firm, today announced the final closing of Warburg Pincus Real
 Estate I, L.P. (WPRE I), a $1.2 billion global fund that will be invested
 in real estate opportunities worldwide.
     "Real estate investing has been a focus area for Warburg Pincus for
 more than two decades, so I'm particularly pleased to be able to announce
 the close of this dedicated fund," said Co-President Joseph P. Landy.
 "We've moved to establish a separate fund for our global real estate
 investment activities at a time when the firm has seen its proprietary real
 estate deal flow increase substantially around the world."
     With the close of WPRE I, Warburg Pincus intends to apply its
 fundamental principles of private equity investing to an expanded focus on
 global real estate opportunities. Throughout its four decades in private
 equity, the firm's worldwide infrastructure and global expertise in core
 industries have been a key aspect of its overall strategy.
     This is the 12th fund raised by Warburg Pincus since the firm's
 founding in 1966.
     Michael F. Profenius, a Warburg Pincus Managing Director and a partner
 in the firm's global real estate practice, said: "WPRE I combines our real
 estate experience and private equity investing expertise with a strong,
 dedicated capital base. This enables us to take advantage of attractive
 real estate investment opportunities and the team is actively pursuing
 numerous transactions in the global market."
     The investor base of WPRE I is comprised of certain institutional
 investors, including a number of long-term limited partners who have
 previously invested in Warburg Pincus private equity funds.
     "We are excited about investing in Warburg Pincus' real estate fund
 because we like the global focus, including the exposure it provides to
 markets such as China and other parts of Asia," said Phil Riordan, Senior
 Managing Director, GE Asset Management. "We believe that the real estate
 fund's investment strategy, its integrated approach with its private equity
 business and its focus on entity-level investing are different and
     Over the last 20 years, Warburg Pincus has invested more than $1
 billion in real estate and real-estate related transactions. The firm's
 investments have spanned diverse real estate sectors including
 homebuilding, retail, senior housing, lodging, self-storage, land
 development and real estate services in North America, Europe and Asia.
     Since 1971, when the firm raised its first institutional fund, Warburg
 Pincus has invested approximately $24 billion in 550 companies in more than
 30 countries. The firm currently has more than $10 billion under
     About Warburg Pincus
     Warburg Pincus is one of the oldest and largest private equity
 investment firms in the world. Working in partnership with management
 teams, Warburg Pincus has taken an active role in building businesses. The
 firm has an active portfolio of more than 100 companies. Significant
 current and past real estate related investments include: Chelsea Property
 Group, Grubb & Ellis, Grupo Pinar, Guangzhou R&F Properties, Lennar
 Corporation (previously Pacific Greystone), Racebrook Capital, Raycom,
 Resolution II Holdings, Romanian Real Estate Partners, Sunshine 100,
 StorageMart and Wall Homes. Other significant private equity investments
 include BEA Systems, Coventry Health Care, Knoll, Mattel, Mellon Financial,
 Neiman Marcus, Neustar, WNS, Bharti Tele-ventures and TransDigm. Throughout
 its 40-year history, Warburg Pincus has invested at all stages of a
 company's life-cycle, from founding start-ups and providing growth capital
 to leading restructurings, recapitalizations and buy-outs. The firm has
 offices in New York, Menlo Park, London, Frankfurt, Hong Kong, Beijing,
 Shanghai, Tokyo and Mumbai. For more information please visit

SOURCE Warburg Pincus