Press Release

Wells Real Estate Funds Appoints Two Senior Regional Directors of Asset Management

ATLANTA (February 23, 2005) - Wells Real Estate Funds today announced the appointment of two Senior Regional Directors of Asset Management. Bo Reddic has joined the firm as Senior Regional Director of Asset Management with responsibility for the Midwest region, and George Wells has been promoted to Senior Regional Director of Asset Management with responsibility for the East region. Mssrs. Reddic and Wells will also provide oversight to the South and West regions, respectively.

In their new roles, each gentleman will oversee the property management and leasing functions, approve operating budgets and capital programs, and be responsible for overall real estate investment performance for their specific regions. They will also support the acquisition process and monitor local market conditions.

"We are confident that Bo and George will contribute significantly to the growth and success of our real estate division, and will help us to maximize the overall value of our real estate portfolio," said Don Henry, Managing Director of Asset Management for Wells Real Estate Funds.

Mr. Reddic has more than 15 years of commercial real estate experience, with expertise in the office, industrial, retail, and hotel sectors. Prior to joining Wells Real Estate Funds, he was an Executive Director at Morgan Stanley in its Equity Portfolio Management Group. While there, he was responsible for managing three commingled investment funds and two separate account portfolios for institutional investors. Previously, he was with Laventhol & Horwarth where he provided real estate consulting and appraisal services. Mr. Reddic earned a B.S. with Honors in Industrial Management and a Master's in City Planning from the Georgia Institute of Technology.

Mr. Wells, who has approximately 20 years of experience in the real estate industry, joined Wells Real Estate Funds in December 2003, and has been Regional Director for the East region. With this promotion, Mr. Wells assumes supervisory responsibility for the West region. Prior to this, he was a Principal and Senior Asset Manager with Lend Lease Real Estate Investments Inc., and was responsible for managing a real estate portfolio of office, industrial, and multi-family properties valued at $500 million. Previously, he was an Asset Manager with Equitable Real Estate Investment Management, Inc., where he managed a $100 million portfolio of office and industrial properties. Mr. Wells earned a B.A. in Accounting and Finance from the University of Alabama.

Wells Real Estate Funds is a national real estate investment management firm that purchases real estate on behalf of Wells-sponsored investment programs. Since 1984, more than 175,000 individuals across the country have invested (through their financial representatives) in Wells-sponsored investment programs to help diversify their investment portfolios. Collectively, Wells - sponsored programs own more than $6 billion in assets (valued at cost) totaling more than 30 million square feet of space.

This press release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and 21E of the Securities Exchange Act of 1934, including discussions regarding Wells' use of proceeds and certain other factors that may affect future earnings or financial results. Such statements involve risks and uncertainties, which could cause actual results to vary materially from those expressed in or indicated by the forward-looking statements. Factors that may cause actual results to differ materially include changes in general economic conditions, changes in real estate conditions, construction delays, increases in interest rates, lease-up risks, lack of availability of financing, and lack of availability of capital proceeds. This is neither an offer nor a solicitation to purchase securities.