Armistead Barkley Joins Crosland

Nashville Viewed as a Primary Growth Market for the Company’s Southeastern Expansion

Nashville, TN (May 19, 2005) – Armistead Barkley Inc., one of Nashville’s most respected real estate development firms specializing in urban revitalization, has been acquired by Crosland Inc. Crosland, based in Charlotte, N.C., is one of the Southeast’s leading diversified real estate companies.

Armistead Barkley is a founding developer of The Gulch and a partner of Nashville Urban Ventures, the designated master developer of the $400 million urban redevelopment project. Bill Barkley has been named president, and Steve Armistead senior vice president, of Crosland’s Tennessee division, which will be based in Nashville. The new Crosland office will be located on the top floor of the historic L&C Tower in downtown Nashville.

“Nashville has many similarities with Charlotte, not the least of which is that both are among the Southeast’s strongest growth markets, so we had planned to open an office here once we found the right strategic partner,” said Todd Mansfield, CEO of Crosland. “Mixed-use development is one of Crosland’s strengths, and Armistead Barkley had the vision to turn a railroad gulch into Nashville’s signature mixed-use area, so we clearly share a similar philosophy. Bill and Steve bring the integrity and high quality development and design central to building on the Crosland legacy.

“Bill and Steve are already exploring new mixed-use development opportunities and will play a significant role in shaping Nashville’s future throughout the metropolitan area. We are excited by the urban development and adaptive re-use capabilities they bring to our firm and are delighted to have them as partners.”

“Joining Crosland was a very natural move for us,” said Barkley, who will coordinate all of Crosland’s investment activity in Tennessee. “What attracted us to Crosland was their reputation as one of the most respected firms in the industry and the extremely high caliber of their management team. Also, we share Todd’s outlook about Nashville’s growth potential, as well as his passion for smart, sustainable development. While Crosland is known for high-quality mixed-used developments, the firm’s commitment to affordable housing is well-established. These combined strengths certainly complement Mayor Purcell’s vision for Nashville and have long been a passion of Armistead Barkley.

“Crosland’s deep resources, both in terms of its human and financial capital, will enable us to explore new opportunities that are a good fit for Nashville,” Barkley added. “In the near-term, we will be involved with projects with in-town neighborhood locations, but our overall strategy includes initiating development projects in other areas of the city, as well as in targeted locations across the state. We also look forward to collaborating with our Crosland colleagues on urban development projects in other regions.”

According to Armistead, who will head up the leasing, brokering and marketing areas for the new division, current leasing customers should experience a seamless transition under Crosland management, as there will be no staff or policy changes. “We anticipate adding a leasing professional, project manager and one or two property managers over the next year, and growth after that will be project-driven.”

Barkley and Armistead said they already have several projects in the discussion stages. “Within the next 12 to 15 months, we should have under construction approximately $150 million in project market value,” said Barkley.

A Key Market for Southeastern Expansion

The partnership is the latest move in Crosland’s ongoing Southeastern expansion. The company opened offices in Orlando and Tampa last year, is developing high-profile retail properties in Raleigh, N.C., and Greenville, S.C., and is currently examining large-scale mixed-use development opportunities in Virginia.

Crosland brings significant retail development, leasing and land development expertise to the Nashville market. Crosland is developing Providence MarketPlace, the largest open-air retail center in the greater Nashville area, which is slated to open in spring 2006. This joint venture with Carolina Holdings is a 103-acre, 850,000-square-foot retail gateway to the 1,000-acre Providence multi-use, master-planned community in Mount Juliet. In addition, since 1996, Crosland has partnered with Nashville-based CPS Land, originally known as Crosland Patton Smith, on the Highlands of Brentwood, Mill Run, Montclair and forthcoming Wolf Run neighborhoods.

Barkley has more than 20 years of experience in all areas of commercial real estate and has developed more than 1 million square feet of Class A office, retail and residential projects. In 1993, he established Armistead Barkley, which developed the Braid Building and Mercury View Lofts in The Gulch, as well as the BMG-Little Sisters Building on Nashville’s Music Row and the Castner Knott building downtown, both of which are now on the National Register of Historic Places. Prior to founding his own firm, he worked with the Trammell Crow Co.

Barkley has been a long-time advocate of historic preservation in Williamson County. He served on the board of Carnton Plantation, as president and board member of The Heritage Foundation, and as a contributing writer to the recently published book, “Williamson County: A Land and its Legacy.” Barkley holds undergraduate and law degrees from the University of Tennessee at Knoxville.

Armistead has 16 years of experience in commercial real estate in Nashville and Boston, with a focus on pre-leasing and business development for new projects. As co-founder of Armistead Barkley, he managed the firm’s leasing and marketing activities as well as its brokerage areas. He developed lease agreements with such high-profile companies as MCA, Universal, Sony Publishing, Lyric Street Records, Bohan and HealthLeaders. He graduated from the University of Alabama and is a licensed real estate broker in Tennessee. An active member of the community, he serves on the board of the Downtown YMCA, the downtown Kiwanis Club and Park Center.