2009-12-14 16:21:32 -

Equity International (EI), the privately held investment company focused on real estate-related businesses operating outside of the United States, announced today the acquisition of an 8.5% stake in Brazilian Finance & Real Estate (BFRE), a private real estate finance company based in São Paulo, Brazil. EI also has the option to acquire an additional 12.2% of the Company. With this investment, EI now has six portfolio companies in Brazil.

Founded in 1998, BFRE is the holding company for four wholly owned subsidiaries: Brazilian Mortgages, BM Sua Casa, Brazilian Securities and Brazilian Capital. Through these operating units, BFRE provides a wide range of real estate products and services, from mortgage origination and financing to securitization and asset management. BFRE has long been

recognized as a leader and innovator in the real estate finance sector.

on the consumer front, BM Sua Casa offers long-term mortgages to homebuyers in Brazil through a unique chain of retail outlets targeted at middle-income and affordable/entry level prospects; on the institutional side, Brazilian Capital has established itself as a noted investment manager known for creating the first real estate-focused private equity fund in Brazil.

The real estate finance sector represents another opportunity to participate in Brazil’s thriving housing industry and emerging middle class. Significant unmet demand for housing, combined with increasing mortgage accessibility and expanding consumer credit, continues to drive a fast-growing mortgage market. BFRE’s integrated platform, offering end-to-end servicing capabilities, is well positioned to leverage value across the entire real estate finance spectrum. “We see our investment in BFRE as a natural expansion of our interest in the dynamic Brazilian real estate market,” said Gary Garrabrant, EI’s chief executive officer.
“Having followed BFRE’s evolution for 10 years, we are excited to join global investor TPG-Axon and world-class local operating partners, who have created the best-in-class company in Brazil.”

“We are honored to have Equity International as a strategic partner in BFRE,” said Fabio Nogueira, BFRE’s co-founder. “In addition to its real estate and financing expertise, the EI team provides access to global resources and capital markets which will be of tremendous value to our organization.”

Equity International’s partnership with BFRE will enable the Company to continue to execute its growth plans across a number of areas, including ongoing expansion of its residential and commercial mortgage business, construction financing, securitization and structuring real estate investment funds.



About Equity International

Equity International is a privately held investment company focused exclusively on real estate-related businesses operating outside of the United States. Founded in 1999 by Sam Zell and Gary Garrabrant, Equity International is recognized as a leading international investor and partner of choice with multi-dimensional capability. With $1.5 billion raised through a series of four funds and invested across 19 portfolio companies to-date, Equity International’s presence spans the globe and the real estate spectrum. For more information, please visit www.equityinternational.com : .


Equity InternationalAllison T. Davis, 001-312-466-3625 adavis@equityinternational.com : mailto:adavis@equityinternational.com