Education Realty Trust Inc. (NYSE:EDR), one of the nation's largest developers, owners and managers of collegiate housing, today completed the purchase of Westminster House, an historic collegiate housing community adjacent to the University of California, Berkeley (UC Berkeley) for $16.3 million.

The Westminster House community, comprised of two buildings adjacent to the north and south sides of the campus, contains a total of 167 beds. Each is one block closer to the core of campus than university- sponsored housing. The average monthly rental rate is $948 per bed, and the community is currently 65% occupied. Only 35% of the more than 25,000 undergraduates live in university-sponsored housing.

EDR will complete primarily cosmetic improvements to both locations for fall 2011 move-in at an additional cost of $800,000.

"The upgrades we have planned will be sensitive to the history of these buildings, yet will provide for the needs and desires of today's college student," said Christine Richards, senior vice president of property operations. "Even though the timing is quick for this turnaround, we know these improvements and our marketing efforts will increase our occupancy rates for the fall."

The first-year economic cap rate is expected to be approximately 5%. After renovations, the company anticipates an improved second-year economic cap rate in the 8% range.

The original Westminster House, across the street from the UC Berkeley south campus, primarily serves first- and second-year students. Designed by famed Bay Area architect Walter H. Ratcliff, Jr., it features a library, rooftop deck and underground parking garage. Residential rooms are fully furnished and include utilities, Internet, microwave ovens and mini-refrigerators. This property underwent a major transformation and renovation in 2003 that expanded its housing capacity to 128 beds.

Directly adjacent to the north end of campus is Westminster House North, which was designed by Julia Morgan, the architect of Hearst Castle. The 39 upperclassmen and graduate student residents enjoy the stone fireplaces, large comfortable seating areas in the dining and grand living room areas, high-speed Internet access, two television lounges, a parking lot, bicycle storage and an onsite laundry facility. Each room is fully furnished, including microwaves and mini-refrigerators. It also was renovated in 2003.

"We have been fortunate to enjoy a positive working relationship with the university and recently signed a third-party management agreement with another UC Berkeley community -- Wesley House," said Randy Churchey, president and chief executive officer of Education Realty Trust. "We are very pleased to increase our investment at this prestigious university."

About Education Realty Trust

Education Realty Trust Inc. (NYSE:EDR) is one of America's largest owners, developers and managers of collegiate housing. EDR is a self-administered and self-managed real estate investment trust that -- with this purchase --owns or manages 57 communities in 23 states with nearly 34,000 beds within more than 10,600 units. For more information please visit the company's web site at www.educationrealty.com.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995

Statements about the company's business that are not historical facts are "forward-looking statements." Forward-looking statements are based on current expectations. You should not rely on our forward-looking statements because the matters they describe are subject to known and unknown risks and uncertainties that could cause the company's future results, performance, or achievements to differ significantly from the results, performance, or achievements expressed or implied by such statements. Such risks are set forth under the captions "Item 1A. Risk Factors" and "Forward-Looking Statements" in our annual report on Form 10-K and under the caption "Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations" (or similar captions) in our quarterly reports on Form 10-Q, and as described in our other filings with the Securities and Exchange Commission. Forward-looking statements speak only as of the dates on which they are made, and the company undertakes no obligation to update publicly or revise any guidance or other forward-looking statement, whether as a result of new information, future developments, or otherwise.

Education Realty Trust
Randall H. Brown, 901-259-2500
Executive Vice President, CFO & Treasurer
rbrown@edrtrust.com
or
Susan Jennings, 901-259-2506
Vice President, Corporate Communications and Marketing
sjennings@edrtrust.com