PREI(R) Forms Joint Venture with L&L Holding Company, LLC

The new joint venture will invest up to $500 million to acquire prime New York City office buildings, focused primarily on Manhattan.

"The current markets have provided our investors with a unique opportunity to take advantage of softening prices," said Leonard Kaplan, principal for PREI's Global Merchant Banking team. "And we're thrilled to team up with L&L, which has become one of New York's leading investors and has a great track record of adding value to properties after they're acquired."

Though New York City is not immune to the nation's economy, its office market has remained remarkably strong. Vacancy rates have held steady, and gains in government, along with information, education and health services have helped to offset some of the employment losses in the financial sector.

"The opportunity to partner with PREI enhances our ability to grow in the New York market as we work together to acquire properties, then build value through management, redevelopment or renovation," said David Levinson, a principal at L&L.

Terms of the joint venture, which was arranged by Cushman & Wakefield Sonnenblick Goldman, were not disclosed.

Founded in 2000, L&L is a privately owned real estate company dedicated to investing in office buildings primarily in Manhattan. Through joint ventures with select institutional partners, our strategy is to identify, acquire, and develop prime but underperforming real estate for the purpose of maximizing its value. L&L provides a broad spectrum of services to its partners including acquisition, disposition, asset management, leasing, accounting, design, construction, and financing. L&L's current portfolio of five million square feet includes many notable properties including 425 Park Ave., 195 Broadway, 200 Fifth Ave., 150 Fifth Ave., Metropolitan Tower and 600 Third Avenue.

PREI's specialized operating units offer a broad range of investment opportunities and investment management services in the United States, Europe, Asia, and Latin America. The company's fund management operations, located in Parsippany, N.J.; Atlanta, Munich, London, Mexico City and Singapore, are supported by a network of local offices throughout the world. As of March 31, 2008, PREI managed $31.5 billion in net assets on behalf of more than 400 clients and is ranked among the largest real estate investment managers. For more information, please visit www.prei.com.

Prudential Financial, Inc. (NYSE: PRU), a financial services leader with approximately $638 billion of assets under management as of June 30, 2008, has operations in the United States, Asia, Europe, and Latin America. Leveraging its heritage of life insurance and asset management expertise, Prudential is focused on helping approximately 50 million individual and institutional customers grow and protect their wealth. The company's well-known Rock symbol is an icon of strength, stability, expertise and innovation that has stood the test of time. Prudential's businesses offer a variety of products and services, including life insurance, annuities, retirement-related services, mutual funds, investment management, and real estate services. For more information, please visit http://www.news.prudential.com.

SOURCE: Prudential Financial, Inc.

Prudential Financial, Inc. Theresa Miller, 973-802-7455 theresa.miller@prudential.com