PDG Realty announces Joint Venture between Goldfarb and CHL for the Rio de Janeiro State

Investors Relations:

Michel WurmanMichel Wurman Investors Relations Director

João MalletInvestors Relations Manager

Gustavo JanerIR Analyst

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Telephone: +55 (21) 3504-3800E-mail: ri@pdgrealty.com.br

Website: www.pdgrealty.com.br/ir

Agenda Agenda

Joint Venture Rationale

Pipeline

PDG Realty Business Model

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JointJoint VentureVenture RationaleRationale

Joint Venture to consolidate PDG Realty as the leader in launches in the low income segment within the state of Rio de Janeiro.

CHL enters the low income segment with a partner with proven execution capacity in the segment.

Synergy creation between two companies who are leaders in their markets .

All CHL launches in the super low income segment (units under R$ 140 thousand) will be All CHL launches in the super low income segment (units under R$ 140 thousand) will be developed through the Goldfarb joint venture.

Reaffirm and reiterate the strategic alignment between the current shareholders of both companies and PDG Realty.companies and PDG Realty.

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PipelinePipeline

The CHL and Goldfarb Joint Venture for the Rio de Janeiro state has already a significant pipeline:

– 5 projects totaling R$ 326 million of PSV, with the pro rata PSV for PDG Realty of R$ 225 million

A i l 3 h d i di ib d i 150 h d 2– Approximately 3 thousand units distributed in 150 thousand m2

– 3 projects are already expected to be launched in the 1st half of 2008.

Th i t t l h i t l 2 4 th d l i it l The companies expect to launch approximately 2-4 thousand low income units yearly starting in 2008.

CHL will be responsible for the research of new business and landbank acquisition, while Goldfarb will be responsible for the construction and management of the developments. Each company will hold a 50% stake in all new developments.

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CorporateCorporate StructureStructureCorporateCorporate StructureStructure

At capital markets, operational and corporate finance levelsp , p p

arke

ts /

Inv.

tio

n

Non Deal Road Show (NY)

Initiating Coverage

UBS Conference São Paulo

One on one UBS Conference

London

Credit Suisse Real Estate road trip

Santander Real Estate road trip

Deutsche Bank Conference (NY)

Banco Brascan IPO

R$ 432 mmDebenturesR$ 250 mm

Follow-OnR$ 575 mm

Cap

ital M

aRe

la

Boston

p Banco Brascan Non Deal

NY and Toronto

$ $

Initiating Coverage Initiating CoverageInitiating coverage

(debenture)

UBS CEO Conference

IPOR$ 304 mm

Ope

ratio

nal

4Q06

Launches: 16 projectsSales pro rata: R$82 mmGSV pro rata: R$ 159mm

1Q07

Launches: 14 projectsSales pro rata: R$78 mm

GSV t : : R$ 144mm

2Q07

Launches: 21 projectsSales pro rata: R$224 mmGSV pro rata : R$ 231mm

on P

ipel

ine

Joint Venture

f %

Acq. of 21%

Acq. of 14.5%2

Joint Venture

GSV pro rata: R$ 159mm GSV pro rata: : R$ 144mm GSV pro rata : R$ 231mm

JV

Goldfarb and CHL JV

Acq

uisi

tio

Acq. of 10%

Feb-07 Apr-07 Jun-07 Aug-07Jul-07 Sep-07

Acq. of 20%

Sale of 20% Acq. of 5% (+5% option)Acq. of 30%

Joint Venture

Jan-07

Acq. of 40%

Joint Venture

Mar-07 May-07

JV

Oct -07

36.9%1

JV

Nov -07

Acq. of 5% (+20% option)

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Feb-07 Apr-07 Jun-07 Aug-07Jul-07 Sep-07Jan-07 Mar-07 May-07 Oct -07

Notes:1 25% directly and 11.9% indirectly through Lindencorp

2 Subject to further changes after new acquisitions

Nov 07

CorporateCorporate StrucutureStrucuture

PDG R lt h b i t t b i b d th i t it d l dPDG Realty has been managing to create new businesses based on the private equity model and

establish new successful partnerships with companies with proven track record.

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Business ModelBusiness Model

Exposure to the Low Income Segment

Flexibilidade para atuar em todos os segmentos do mercado imobiliário Brasileiro

Expertise and capacity to invest in:

Low Income Pro rata PSV in the Landbank amounts to R$ 3,5 billion with over 42 k units

Diversification

Expertise and capacity to invest in:– Geographic regions – Market– Income class segments

Leverage on Partnership Philosophy

Abilidade para agregar os melhores profissionais do mercado e alavancar suas abilidades em suas especificas áreas de atuação

Ability to “hire” the best management in the industry and leverage on their specific and local knowledge

Additional capital gain potential

Potenciais ganhos de capital através dos seus investimentos de portfolio

Management with strong real estate expertise, financial background

Potential capital gains through its portfolio investments

Management expertise Gestão com grande expertise no setor imobiliário e financeiro com forte cultura de maximização de retornos

The right platform to accomplish a sustainable long term growth

g g p , gand return oriented culture to implement PDG Realty´s business strategy

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The right platform to accomplish a sustainable long term growth

Unique business model in the Brazilian real estate market