Crescent and Vornado Sell Interest in AmeriCold Realty Trust to Yucaipa.

FORT WORTH, Texas -- Real estate and operating businesses combined; Crescent to recognize gain and further reduce its investment in AmeriCold

Crescent Real Estate Equities Company (NYSE:CEI) ("Crescent") announced that AmeriCold Realty Trust ("AmeriCold"), a joint venture owned 40% by Crescent and 60% by its partner, Vornado Realty Trust (NYSE:VNO) ("Vornado"), purchased AmeriCold's tenant, AmeriCold Logistics, LLC ("OpCo") for $47.7 million in cash. OpCo was owned 40% by Crescent Operating Inc. (Pink Sheets:COPIQ) ("Crescent Operating") and 60% by Vornado Operating Company (OTCBB:VOOC) ("Vornado Operating"). As a result, OpCo will be merged with and into AmeriCold, with the combined company qualifying as a real estate investment trust in accordance with a private letter ruling issued by the IRS.

Crescent and Vornado also announced that they had entered into definitive agreements to collectively sell 20.7% of the newly combined AmeriCold's common shares to The Yucaipa Companies ("Yucaipa") for $145 million. The Yucaipa investment is based on a $1.45 billion total enterprise value. Yucaipa is a private equity fund with significant expertise in the food distribution, logistics, and retail industries and will be involved in AmeriCold's day-to-day operations and instrumental in the future success of AmeriCold. Crescent and Vornado, after the completion of the transaction, will own 31.7% and 47.6% of AmeriCold, respectively. The agreements provide for Yucaipa to earn a promote of 20% of the increase in the value of AmeriCold through December 31, 2007, limited to 10% of Crescent and Vornado's remaining common shares in AmeriCold. Crescent and Vornado anticipate that the sale to Yucaipa will close on or about November 18, 2004.

As a result of the transactions, Crescent will recognize a net gain of approximately $11 million in the fourth quarter of 2004.

John C. Goff, Crescent's Vice Chairman and Chief Executive Officer commented, "We are excited about these transactions on a number of different levels. By combining the real estate and operating businesses, we have dramatically simplified the structure and provided for efficiencies in management. Most important, however, we believe the value of AmeriCold will be enhanced by bringing in Yucaipa as a strategic and financial partner. Yucaipa has an impressive track record of success in investing in this industry and views AmeriCold as an attractive opportunity."

Crescent will further discuss these transactions in its third quarter 2004 earnings conference call scheduled for November 8, 2004 at 10:00 A.M. Central Time. To participate in the conference call, please dial [phone] domestically or [phone] internationally, or you may access the audio webcast on the Company's website (www.crescent.com) in the investor relations section. A replay of the conference call will be available through November 16, 2004, by dialing [phone] domestically or [phone] internationally with a passcode of 1346876.

ABOUT THE COMPANY

Crescent Real Estate Equities Company (NYSE:CEI) is one of the largest publicly held real estate investment trusts in the nation. Through its subsidiaries and joint ventures, Crescent owns and manages a portfolio of more than 70 premier office buildings totaling more than 29 million square feet primarily located in the Southwestern United States, with major concentrations in Dallas, Houston, Austin, Denver, Miami and Las Vegas. In addition, Crescent has investments in world-class resorts and spas and upscale residential developments. For more information, visit the company's website at http://www.crescent.com.