MOODY’S/REAL COMMERCIAL PROPERTY PRICE INDEX DECLINES 8.6% FOR APRIL

SINGLE LARGEST ONE-MONTH DECLINE – Index Stands 25.3% below April 2008 Levels; 29.5% below peak of October 2007

The Moody’s/REAL National All Property Type Aggregate Index from Real Estate Analytics, LLC, (REAL), measures 135.31 for April 2009, a decrease of 8.6% from the previous month and single largest one-month decline.  The Index, which has captured price data through the end of April 2009, is now 25.3% lower than it was a year ago and 29.5% below the peak measured in October 2007.  The index also indicated a 27.4% drop in prices over the past two years.

“The largest negative monthly return likely reflects the fact that deals closed were negotiated at the end of 2008 and in the first quarter of 2009, when securities markets and overall sentiment were plunging,” said Neal Elkin, President of REAL. “The question is will this mark the bottom or not.”

For the first time, the repeat sale transactions in April showed more negative than positive annualized rates of return. Overall, the South was the worst performing region, with all four property types seeing annual value declines of more than 20%. The three major office markets measured significant annual declines. New York and San Francisco had declines of 13% and 20%, respectively, with Washington DC posting the biggest year-over-year fall at 21%.

Moody’s/REAL Commercial Property Indices are owned by Real Estate Analytics, LLC, and provides the only investable, transaction-based commercial real estate benchmarks available in the United States.

The All Property Type Aggregate Index is measured monthly, while national and regional data by property type are measured quarterly. Changes in quarterly indices, if any, will be reported in May 2009.

To read the full report, please visit www.realindices.com