The Virginia multifamily apartment communities range in size from 153 to 216 units. The purchase price for these properties is $43 million with the three located in Newport News costing, respectively, $9 million, $10.5 million and $4 million. The fourth community in Hampton cost $19 million. The closings on the four properties are expected to occur in October and November 2004.

Separately, Berkshire Income, through a to-be-formed joint venture with an affiliate of Equity Resource Investments LLC, an unrelated third party, will acquire 100% of the outstanding general and limited partner interests in four limited partnerships from Capital Realty Investors-II Limited Partnership via four separate purchase-and-sale agreements.

The partnership owns two multifamily apartment communities each in Illinois and in Maryland that range in size from 120 to 216 units. The purchase price of $14.5 million is comprised of $8 million and $5 million, respectively, for the two properties in Burtonsville, MD. It also includes $1.3 million for the community in Palatine, IL and $416,455 for the community in Roselle, IL. The closings will occur simultaneously and are expected to take place in December 2004.