Premier Senior Living Company Aegis Living Receives $256 Million Investment from Nation's Largest Healthcare Real Estate Investment Trust.

REDMOND, Wash. -- Aegis Living and Oakmont Senior Living today announced a $256 million investment by Health Care Property Investors, Inc. (HCP), the nation's largest real estate investment trust focusing exclusively on healthcare properties.

The investment comes in the form of the sale of 10 Aegis Living properties and two Oakmont Senior Living properties in California, Washington and Nevada to HCP. The investment includes $5 million that will be held back until select properties, currently in lease-up, reach stabilization. Aegis Living will continue to operate these communities through a long-term lease arrangement with HCP. Aegis Living residents will see no changes in service.

"In just eight years, Aegis Living has become an industry leader in independent and assisted living through our first-class communities and innovative services," said Aegis Living's founder and CEO Dwayne Clark. "This investment represents confidence in our business strategy and lays the foundation for our future growth. We have proven our success to our investors and are proud to build this relationship with HCP."

Stephen R. Maulbetsch, Executive Vice President -- Acquisitions/Dispositions for HCP said, "Aegis Living is a strong, well regarded operator, and we are very pleased to add these properties to our senior housing portfolio. We look forward to a long and successful relationship with Aegis Living."

The HCP investment will be used by Aegis Living to pay back its initial investors with a strong return, which is rare in the senior living industry. "We have fulfilled our promise," Clark said. "Our investors are thrilled and want to do more business with us."

The investment reinforces Aegis Living's position in the industry as a leader and solid performer, and supports its controlled growth plan.

Aegis Living's successful growth strategy is focused on four target areas: the greater Seattle area, Los Angeles, San Francisco and San Diego. By applying creative and unique business approaches that have proven successful in other industries, Aegis Living has created a business model that has helped the company thrive among competition.

About Aegis Living

Aegis Living is a national leader in independent and assisted living with a premier Alzheimer's and dementia care program. Aegis Living operates nearly 40 communities in Washington, California, Nevada, Colorado and Kansas, with more than $120 million in revenue under management.

Aegis Living provides a diverse group of community options to meet all seniors' needs. Aegis Senior Living offers independent, active seniors a distinctive, resort-style community that features luxurious amenities and a wide variety of floor plans. Aegis Assisted Living communities are newly constructed and specially designed for seniors who need a little help with assisted living services or for those who need dementia care. Aegis Senior Inns are more casual, remodeled neighborhood communities that offer lower-cost options for seniors who need assisted-living services, or for those who need dementia care.

More information about Aegis Living is available at www.aegisliving.com.

About Health Care Property Investors

Health Care Property Investors, Inc. (NYSE:HCP) is a self-administered REIT that invests directly or through joint ventures in healthcare facilities. As of June 30, 2005, the company's portfolio of properties, excluding assets held for sale but including investments through joint ventures and mortgage loans, included 529 properties in 42 states and consisted of 28 hospitals, 165 skilled nursing facilities, 121 assisted living and continuing care retirement communities, 191 medical office buildings and 24 other healthcare facilities. For more information on Health Care Property Investors, Inc., visit the company's web site at www.hcpi.com.