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News release

Atlanta, GA

Jones Lang LaSalle Enters Into Agreement to Broaden Commercial Mortgage Banking Business through Acquisition of Primary Capital Advisors’ Commercial Real Estate Lending and Servicing Group

Firm acquiring Freddie Mac Program Plus® Seller/Servicer and $2 billion loan servicing platform


ATLANTA, Jan. 26, 2011— Jones Lang LaSalle today announced the firm intends to broaden its capital markets platform by entering into a definitive agreement to acquire certain assets of the Atlanta-based commercial real estate lending and servicing group of Primary Capital™ Advisors.  This acquisition will allow Jones Lang LaSalle to operate as a Freddie Mac Program Plus® Seller/Servicer and will include a $2 billion loan servicing platform that Jones Lang LaSalle plans to expand nationally through additional correspondent and servicing relationships.  This transaction is expected to close in the first quarter 2011 and is subject to customary closing conditions and approvals.  Primary Capital Advisors will continue to operate its successful single-family residential mortgage business across 26 states as Primary Capital Mortgage.
 
Primary Capital co-founder Faron Thompson will lead Jones Lang LaSalle’s multifamily lending business and assume an executive leadership role in the firm’s Real Estate Investment Banking team (REIB). Thompson will be joined by Managing Director John Bray, who was Primary Capital Advisors’ No. 1 Program Plus producer in 2010. Thompson and Bray will partner with Americas Capital Markets President Jay Koster and the REIB leadership team of Tom Melody, Mike Melody and Tom Fish, along with Jubeen Vaghefi, managing director of the firm’s national multifamily investment sales team, to help drive the expansion of the firm’s overall Americas Capital Markets business.
 
Jones Lang LaSalle has a long history of serving clients with a national debt and equity platform that includes debt/equity origination and placement, equity fund raising, asset resolution strategies, loan/note sales and investment advisory services. This acquisition adds multifamily mortgage lending and servicing capabilities to the firm’s business offerings.
 
“We are focused on building an industry-leading Capital Markets business with a strong foothold in the multifamily business throughout the Americas. When we brought on the Melody-Fish team we committed to advancing our market share in the mortgage banking business and establishing a core pillar of our offering in the agency business as a significant growth driver for the firm,” said Jay Koster, President of Jones Lang LaSalle’s Americas Capital Markets business. “Primary Capital is the perfect partner to expand our business as the firm brings 26 years of experience delivering client strategy, loan production and commercial loan servicing to property investors. With our new servicing capabilities, we will increase our competitive position, and can now offer more customized responses to borrowers’ and lenders’ needs.”
 
Primary Capital Advisors has a long history in commercial and multifamily loan servicing and is ranked No. 2 in Atlanta’s top Commercial Mortgage Bankers in 2010 and twentieth in the Mortgage Bankers Associations’ 2009 ranking with a $2 billion commercial loan servicing portfolio.  In addition to the firm’s strong Atlanta presence Primary Capital Advisors’ Orlando office will also be part of the acquisition.
 
Primary Capital Advisors’ founder, President and Chief Executive Officer William B. Pendleton will serve as a Senior Advisor to Jones Lang LaSalle focused on expanding client and lender relations.
 
“After 35 years as an entrepreneur in community banking and mortgage banking, it will be intriguing to provide your customer the resources and services that only an international entrepreneurial firm can offer,” said Pendleton.
 
“Our market share in the real estate investment banking area is quickly expanding and adding market-leading experts from Primary Capital Advisors is another major step. We will use this new loan servicing platform to grow our overall business as we continue to expand our client services through a base of lender correspondences and servicing relationships,” said Tom Melody, Executive Managing Director of Jones Lang LaSalle’s Capital Markets business.
 
“This acquisition will help us move quickly and aggressively to further advance our leadership in the mortgage banking business through expanded services that our multifamily client base requires,” added Tom Fish, Executive Managing Director of Jones Lang LaSalle’s Capital Markets business.
 
Faron Thompson will steer the firm’s commercial loan servicing platform and a Freddie Mac Program Plus® Seller/Servicer under the leadership of Fish, Melody and Melody. As one of the founders of Primary Capital Advisors in 1994, Thompson established and maintains the company’s partnership with Freddie Mac as one of its 26 Program Plus Seller/Servicers. He specializes in structuring financial solutions for income property owners, developers and investors, through Freddie Mac multifamily lending.
 
Thompson has a long professional association with Freddie Mac in the multi-housing arena. He has served on Freddie Mac’s Affordable Housing Advisory Council and was a board member of the Program Plus Production Advisory Council from 2001 to 2003 and again from June 2009 through June 2011. He is a past Chair of the Program Plus Servicing Advisory Council from 1996 to 1998. Thompson is also on the Board of Directors for the National Multi Housing Council and is active in the Atlanta Apartment Association.
 
“We’re pleased to add Bill, Faron, and John and their team to our Capital Markets business and to our strong Atlanta team. The Primary Capital team is a very well respected group of professionals and our new colleagues will bring a new dynamic to the local and national business that will benefit our client base,” said Clark Gore, Atlanta Market Director for Jones Lang LaSalle.
 
In this transaction, Beekman Advisors acted as the strategic advisor to Primary Capital Advisors.  
 
Jones Lang LaSalle Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. Our in-depth local market and global investor knowledge delivers the best-in-class solutions for our clients — whether a sale, financing, repositioning, advisory or recapitalization execution. In the last three years, Jones Lang LaSalle Capital Markets completed more than $143 billion transactions globally. Our Capital Markets team comprises approximately 1,500 specialists, operating in 180 major markets worldwide.
 
About Jones Lang LaSalle

Jones Lang LaSalle (NYSE:JLL) is a financial and professional services firm specializing in real estate. The firm offers integrated services delivered by expert teams worldwide to clients seeking increased value by owning, occupying or investing in real estate. With 2009 global revenue of $2.5 billion, Jones Lang LaSalle serves clients in 60 countries from 750 locations worldwide, including 180 corporate offices.  The firm is an industry leader in property and corporate facility management services, with a portfolio of approximately 1.6 billion square feet worldwide. LaSalle Investment Management, the company’s investment management business, is one of the world’s largest and most diverse in real estate with approximately $40 billion of assets under management. For further information, please visit our website, www.joneslanglasalle.com.