Passco estimates the $175 million in equity will translate toreal estate investment with a value of approximately $450 million,based on typical ratios of equity and debt in today's deals.Passcohas already assembled a portfolio of six million sf of commercialproperties valued at $675 million. Winn says the company'sprospective new investments will include regional malls, powercenters and grocery anchored centers throughout the western andsouthwestern US, and Hawaii; multi-tenant industrial propertieswith five or more tenants; and multifamily properties consisting of100 or more units in the Western and southwestern US.

Passco last year sponsored one of the largest tenant in commontransactions ever executed, the $148-million purchase of the PuenteHills Mall in the City of Industry, part of $275 million in 2003acquisitions for the firm. Although most of the investors in theproperty were 1031 Exchange buyers seeking replacement properties,as is the case with many if not most TIC deals, the transactionalso included a substantial sum from investors who were not seekinga 1031 replacement property.

Passco was established nearly six years ago. Its existingportfolio includes regional malls, grocery-anchored neighborhoodcenters, power centers and multi-tenant industrial properties.