White Plains, New York — December 13, 2007 —  Stonewater Partners announced today that it has completed a lease extension and renewal with L-3 Communications Corporation at Tower West located at 6100 Bandera Road in San Antonio, Texas. L-3 expanded by 8,603 square feet and extended its term on the entire 25,000 square feet lease through 2012 at Tower West. The Intelligence Solutions Division (ISD) of L-3 expanded by 8,603 square feet and extended its term on the entire 25,000 square feet lease through 2012 at Tower West. The location will serve as ISD’s San Antonio regional headquarters.

Jeffrey Toporek, a Stonewater principal, remarked "A comprehensive repositioning program was initiated over 12 months ago when we purchased the asset, and the expansion of our relationship with important tenants such as L3 are a great indication of the exciting results. The most significant changes have included re-branding the Property as Tower West with a new logo and exterior sign, installation of a new lobby tenant directory, significant common area bathroom and common corridor upgrades, as well as increased focus on tenants’ needs and management responsiveness. L- 3’s designation of Tower West as its San Antonio headquarters is an acknowledgement of Stonewater’s repositioning effort and the property’s close proximity to their client base. The transaction brings overall occupancy to 79% from 69% at the time of our purchase. We also have several other tenant prospects now actively looking at Tower West, which could drive occupancy to 85% or more by the end of the 1st quarter 2008."

David Stade, also a Stonewater principal, added "Tower West is a prime example of Stonewater’s value-add repositioning strategy. The property boasts the highest tenant satisfaction rating in our portfolio, due in large part to the on-site Stream Realty property management team. Tenants are inherently attracted to buildings where Landlord’s and property management genuinely care about increasing service and the quality of life of the business environment at the building."