Morgan Stanley Real Estate Invests in Alpha G:Corp in India

MUMBAI, July 19, 2006 — Morgan Stanley Real Estate today announced that it has invested approximately Rs. 300 Crores (around US$65 million) in Alpha G:Corp Development Private Limited (“Alpha”), a private New Delhi-based real estate development management company and an affiliate of the G:Corp Group. Alpha was founded in 2003 by an experienced professional management team led by Colonel RS Sodhi and Mr. SK Sayal and backed by Mr. Ghanshyam Sheth, the Mulji and Choudhurie Families. Alpha provides comprehensive property development and management services which include sourcing sites, planning, development, execution and marketing of real estate projects to clients for a revenue-based development management fee. The Company is currently executing townships, retail malls, office and residential developments across various cities in Northern and Western India including Gurgaon, Amritsar, Jaipur, Ahmedabad and others. Colonel RS Sodhi, Managing Director of Alpha, commented, “India’s rapid economic growth over the last few years has led to increased employment options, higher purchasing power and enhanced lifestyle aspirations in these cities. Availability of land, government incentives and limited competition make these cities attractive investment destinations. We are very excited about the partnership with Morgan Stanley Real Estate as this will allow Alpha to further capitalize on this significant growth opportunity and at the same time provide us access to Morgan Stanley’s world-class global real estate franchise.” “Alpha represents an opportunity to partner with a best-in-class and deeply experienced management team with a unique and highly scalable business model in a region of the country where we continue to expect tremendous growth,” said Zain Fancy, Executive Director and Head of Morgan Stanley Real Estate in Asia-Pacific. “We continue to believe India represents a compelling real estate investment opportunity and this investment is a continuation of our India strategy.” Mr. SK Sayal, CEO of Alpha said, “The partnership will be integral to our ability to create value by expanding our presence in North India and other key markets.” Alpha’s core management team has been together for over ten years and was earlier a part of GESCO Corporation (the de-merged real estate business of Great Eastern Shipping Co. Ltd.) and subsequently Mahindra GESCO.

“We are excited to be partnering with Morgan Stanley,” said Mr. Ghanshyam Sheth, Chairman of Alpha and G:Corp Group. “We believe that Morgan Stanley’s real estate experience and brand can add significant value to our operations. This relationship is also an important step in the diversification of our business. We plan to utilize our partner’s relationships and global platform to strategically expand our business.” Morgan Stanley Real Estate is comprised of three major global businesses: Investing, Banking, and Lending. Since 1991, Morgan Stanley has acquired $87.7 billion of realestate assets worldwide and currently manages approximately $51 billion in real estate assets on behalf of its clients. In addition, Morgan Stanley Real Estate provides a complete range of market-leading investment banking services to its clients including advice on strategy, mergers, acquisitions and restructurings, as well as underwriting public and private debt and equity financings. Morgan Stanley is also a global leader in real estate
lending and, using its own capital, originated upwards of $33 billion in commercial mortgages in 2005. For more information about Morgan Stanley Real Estate, go to www.morganstanley.com/realestate.

Morgan Stanley (NYSE: MS) is a global financial services firm and a market leader in securities, investment management, and credit services. With more than 600 offices in 30 countries, Morgan Stanley connects people, ideas and capital to help clients achieve their financial aspirations. Since its inception in 2003, Alpha has grown to a 50 employee strong organization with plans to scale up to around 200 employees over the next two years. It has shown a strong track record to-date having secured more than 450 acres of land with a development
potential of around 15 million square feet.