"We're targeting the Phoenix area because we believe theopportunities there are outstanding," says Richard A. Vaughn, theREIT's vice president. "The market is starting to come up with someproperties that fit our value-add business model and our strongbalance sheet is giving us flexibility to take advantage of marketsas they rebound."

As of now, Privitera is Whitestone's main "man on the ground."Prior to joining Whitestone, he was regional vice president ofAcross America Real Estate Development in Scottsdale.

"Louis has been deeply involved in commercial real estate forthe past 15 years," Vaughn notes. "He's well-respected, well-knownand is very motivated and aggressive, which is exactly what we needin that area." Privitera will continue working out of Scottsdale.Vaughn says as the company's holdings increase, the local staffwill do so as well.