CB Richard Ellis Launches Telecommunications Group; New Venture Pairs Real Estate Powerhouse With Telecommunications Pioneer.

LOS ANGELES--(BUSINESS WIRE)--July 30, 1998--CB Richard Ellis (NYSE:CBG), the world market leader in real estate services, Thursday announced it has launched a telecommunications group to market and manage communications towers for the wireless communications industry.

The new group, to be led by industry veteran Steven M. Brown, marries the resources of the global real estate services company with an established team of experts in tower marketing and management, including "collocation" services.

Designed to reduce the leasehold and construction costs of communications towers used by wireless service providers, "collocation" consists of leasing surplus space on existing towers to multiple providers.

With headquarters in Newport Beach, Calif., CB Richard Ellis Telecommunications Group incorporates part of the assets and business of Koll Telecommunications Services, L.L.C. (KTS), a former joint venture in which CB Richard Ellis was a partner. KTS was recently acquired by LCC International Inc., of McLean, Va., and certain KTS assets were assigned to CB Richard Ellis in lieu of equity as part of that transaction.

With other offices in Boston; Princeton, N.J.; Crofton, Md. (near Annapolis); and Phoenix, CB Richard Ellis Telecommunications Group begins operations with an experienced staff and a management portfolio that includes more than 400 communications towers, mostly in the mid-Atlantic and Southwest regions of the United States.

In addition to tower collocation marketing and management services, the CB Richard Ellis Telecommunications Group provides core services in the areas of program management, site identification, site acquisition, zoning and permitting, and construction management.

"Wireless communications is a young industry with tremendous potential for long-term growth, and this new venture allows CB Richard Ellis to further diversify its real estate services," said Ray Wirta, chief operating officer of CB Richard Ellis. "Steve Brown's team has the expertise and client relationships to make this a very productive endeavor."

Brown, who serves as managing director of CB Richard Ellis Telecommunications Group, was a founding partner of Koll Telecommunications Services, where he engineered the first professionally managed collocation program for two of the nation's largest cellular providers.

"Collocation is a major issue for wireless providers today," Brown noted. "With the increased competition brought about by the introduction of PCS (personal communications services) carriers, all companies are looking for ways to improve their bottom line. Collocation allows carriers to effectively reduce their leasehold costs by leasing out surplus space on their towers. It also makes sense from the local community standpoint by minimizing the need to construct new towers."

"With experience in all aspects of real estate management for the telecommunications industry," Brown said, "our established team of professionals is able to provide clients with a full range of cost-effective services, including site acquisition, zoning and permitting, and construction management. In addition, as part of CB Richard Ellis' international services network, we are now positioned to enter markets abroad."

CB Richard Ellis is the world's leading real estate services company. With headquarters in Los Angeles and more than 9,000 employees worldwide, the company serves real estate owners, investors and occupiers through more than 200 principal offices in 29 countries.

Services include property sales and leasing, property management, corporate advisory services and facilities management, mortgage banking, investment management, capital markets, appraisal/valuation and market research. CB Commercial and REI Limited, which merged in April 1998 to form CB Richard Ellis, had combined 1997 revenues of $848 million.

This release may contain forward-looking statements as well as historical information. Forward-looking statements, which are included in accordance with the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, may involve known or unknown risks, uncertainties and other factors that may cause the company's actual results and performance in future periods to be materially different from any future results or performance suggested by the forward-looking statements in this release. Such forward-looking statements speak only as of the date of this release. The company expressly disclaims any obligation to update or revise any forward-looking statements found herein to reflect any changes in company expectations or results or any change in events.

    CONTACT: CB Richard Ellis, Los Angeles
              Ed Lohnes, 213/613-3606