Crescent Real Estate Equities, Inc. announces completion of $127 million public equity offering and concurrent $31 million private placement to Ricahrd E. Rainwater.

FORT WORTH, Texas--(BUSINESS WIRE)--April 5, 1995-- Crescent Real Estate Equities, Inc. (NYSE: CEI) today announced the completion of an approximate $127 million public offering of common stock and an approximate $31 million concurrent private placement of operating partnership units purchased directly or indirectly by the company's chairman, Richard E. Rainwater. The shares of common stock and units were priced at $28.13. As a result of Rainwater's investment, he will maintain his approximate 23 percent beneficial ownership interest in the company. The aggregate net proceeds of $150 million will be used to pay down borrowings under the company's acquisition line of credit. Should the underwriters elect to exercise their overallotment option, an additional approximate $18 million of net proceeds would be used to further pay down borrowings under the acquisition line of credit.

According to Dallas E. Lucas, chief financial officer, "Upon closing of the offering, our debt to total capitalization will be only 10 percent, creating an expected borrowing capacity in excess of $500 million to be used to fund future acquisitions."

Crescent is a fully integrated real estate company which, through the UPREIT operating partnership structure, conducts its business activities and owns and operates a diversified portfolio of real estate assets, including 12 Class A office properties and two retail centers comprising approximately 5.5 million square feet, economic interests in four single family residential land developments and a 295 room resort hotel.

CONTACT: Crescent Real Estate Equities Inc., Fort Worth

Dallas E. Lucas, chief financial officer

212/836-4216