Capital efficiency

Warsaw, March 29, 2011- GE Capital Real Estate announces the first closing of its retail fund in Poland, having secured €240 million in equity from global institutional investors including CBRE Investors and The Townsend Group.

For GE, the joint venture is part of a broader strategy of putting its leading global real estate capabilities to work for outside investors.

The Polish retail fund is seeded with a portfolio of nine high quality shopping centres. The centres, located in seven major Polish cities including Warsaw, Kraków and Wroclaw, feature hypermarkets and shopping galleries valued at €550 million.

With approximately 300,000 sqm of retail space, plans include increasing the size of the fund through selective acquisitions of additional Polish retail properties and redevelopment of some of the existing shopping centres.

“In the current economic environment, raising capital from leading third party investors and securing financing from banks to successfully close another vehicle in Europe – the first in Poland - is a significant achievement. This fund is in line with our strategy of building a strong and successful investment management business in Europe,” said Jonathan Kern, President of GE Capital Real Estate Global Investment Management.

“We are delighted that several global institutional investors have expressed confidence in our investment management platform, leveraging the expertise of our 18-strong local team and our strategy to build on retail opportunities in Poland,” commented Thierry Leleu, General Manager EMEA, GE Capital Real Estate Global Investment Management.

“Together with our investors, the partnership with Eurohypo and ING Real Estate Finance for the leveraged acquisition of this stabilized retail portfolio in Poland emphasizes our and our lenders’ belief in the fundamentals of the Polish market. We look forward to continuing working with them,” he added.

About GE Capital Real Estate

GE Capital Real Estate (www.gecapitalrealestate.com) is one of the world's premier commercial real estate companies with US$73 billion in assets and a presence in 31 markets throughout North America, Europe, Asia, and Australia. GE Capital Real Estate has a depth of knowledge and experience and a history of building relationships, finding opportunities and opening doors for more than 5,000 owners, builders, borrowers and brokers worldwide.

GE Capital Real Estate’s Global Investment Management business provides third-party investors access to GE's global investing capabilities and expertise. Global Investment Management coordinates all capital raising and investor relations activities and develops and manages investment vehicles offering attractive returns to investors.

CBRE Investors

CBRE Investors provides clients with both direct and indirect investment opportunities. For indirect investments, they represent a variety of investors via separate account mandates and through their global Fund of Funds products. For the Polish Retail Fund, CBRE Investors has committed funds on behalf of a number of their clients.

The Townsend Group

The Townsend Group provides clients with both discretionary and non-discretionary consultancy services. For the Polish Retail Fund, Townsend has committed funds on behalf of their discretionary US and UK pension fund clients.

GE Capital Real Estate Press Contact:
John Oliver

Tel: 001.203.750.3089
Email: john.oliver@ge.com