NEWS RELEASE: Fifth Floor Leased At Wachovia Building

Jul 20, 2006

Wilmington, N.C. – July 20, 2006 – Cape Fear Commercial is pleased to announce the recent lease of the fifth floor of the Wachovia Building, located at 300 North Third Street in Historic Downtown Wilmington, to the business services firm, RSM McGladrey, Inc. and the CPA firm, McGladrey & Pullen, LLP. The 62,380 square-foot, Class A office building is anchored by the regional headquarters of Wachovia Bank.

RSM McGladrey provides assistance in tax services, consulting, wealth management, Retirement Resources and Employer services, while McGladrey & Pullen is a CPA firm that performs audit and other assurance services. Although separate entities, in an alternative practice structure, when appropriate, they work as a team to offer their clients a greater breadth of business services. The disciplines of the two firms are different, but their values and work ethic are the same, serving the needs of multiple-market companies. Working together, they serve clients’ needs from well in excess of 100 offices nationwide and are members of RSM International, the world’s sixth largest accounting and consulting organization according to International Accounting Bulletin. For more information about their services, visit www.rsmmcgladrey.com.

RSM McGladrey signed a seven-year lease for 11,480 square feet and their slated occupancy date is November 1, 2004.

Brian C. Eckel and Vin Wells, both partners at Cape Fear Commercial, represented the landlord Third & Grace, LLC in the lease transaction. According to Bert Williams, principal of Third & Grace, “Cape Fear Commercial surpassed all of my expectations with their handling of this transaction. I believe RSM McGladrey is going to make an excellent addition to our building.”

Also playing a role in the pursuit of RSM McGladrey was Wilmington Downtown, Inc. Susi Hamilton, Executive Director stated they “enjoyed being able to assist RSM McGladrey in their efforts and are obviously pleased that downtown Wilmington meets their expectations for their expanding business. We are thrilled that they have made the choice to remain in downtown Wilmington.”

Cape Fear Commercial continues to market the remaining third and fourth floors of the Wachovia Building. The fourth floor, totaling 11,330 square feet, is being marketed to single tenants. The third floor, however, has been subdivided and is suited for small users ranging from the 1,200 square-foot range and upwards. Brian Eckel commented on the ongoing marketing campaign, “We have been fortunate to experience increasing levels of activity on the remaining space and hope to make additional leasing announcements in the near future.”

About Cape Fear Commerical
Cape Fear Commercial is a full service commercial real estate advisory firm based in Wilmington, North Carolina. For more information on the Wachovia Building or Cape Fear Commercial, visit them online at www.capefearcommercial.com.