The actual amount of Rothschild's investment in Advance has notbeen disclosed, although one published report pegged the figure atsomewhere in excess of $100 million. Advance officials will onlysay that the investment will enable the company, presumably throughleveraging, to develop and/or acquire $300 million a year incommercial real estate for the next five years. Among Advance'scurrent projects is a major portion of the Passaic riverfrontredevelopment project in Harrison, NJ.

"This is a significant equity investment," says D. Pike Aloian,managing director of Rothschild Realty, which made the placementthrough its Five Arrows Realty Securities III LLC. The latter ispart of the five-year-old Five Arrows Realty Securities Funds,currently capitalized with $900 million. It has completed 14private placements into eight REITs and six private companies.

"We selected Advance as our northeastern US platform because ofits track record in acquiring, developing and repositioning officeand industrial properties in the Boston-to-Washington corridor,"Aloian notes. "We feel that the timing of this investment willallow Advance to take advantage of some significant buyingopportunities."

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