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Groundbreaking on model homes set to begin in December 2001

HOUSTON, TEXAS (August 10, 2001)

Homeshoppers interested in Shadow Creek Ranch are now one step closer to calling the new community their home. The principals of Shadow Creek Ranch Development Company are pleased to announce an agreement with one of Houston's most respected builders, Perry Homes. Perry will be one of a group of builders constructing the first 250-300 homes offered at Shadow Creek Ranch.

"I'm very pleased we were able to reach an agreement with Perry Homes," said Carlo Ferreira, Principal of Shadow Creek Ranch Development Co. "They are a very respected homebuilder within the industry and a popular builder among homebuyers. Perry has played an instrumental role in shaping the development of our community," he added.

Perry plans to break ground on the first model home in Shadow Creek Ranch by the end of year 2001 and will begin selling homesites in the neighborhoods of Enclave Lake Estates North and Enclave Lake Estates South. These two neighborhoods are part of The Village of Emerald Bay, the first of a total of six villages that will make up Shadow Creek Ranch when complete. Shadow Creek Ranch will be Perry's second project on the Highway 288 Corridor.

"We're very pleased to be part of the Shadow Creek Ranch project," said Perry Homes division president Craig Foresman ."Perry Homes has felt the need to build in more communities along Hwy. 288 but waited to find just the right one - Shadow Creek Ranch is it."

Perry has been building in another community off Hwy. 288 since 1995 and has enjoyed several record-setting years thanks in part to the success of their home sales in this region. "A large percentage of Perry's buyers in the area commute to the Medical Center or Downtown and enjoy the relative ease of the drive," says Foresman. "Shadow Creek Ranch, even closer to town, should be of interest to anyone working inside the loop." Perry Homes will offer homes on 70-foot lots, many on waterfront homesites.

"We feel the planning and investment the developers put into the community will mean a long-term benefit for buyers in Shadow Creek Ranch. Perry Homes is anticipating a wonderful future in this community," Foresman concluded.

The first phase of land development at Shadow Creek Ranch began in June with the grading and excavation of 600 acres of land and the creation of four of the lavish lakes, totaling 50 acres, that will be a focal point of the community. When complete, the community will enjoy nearly 300 acres of lakes.

A 3,300-acre master-planned community, Shadow Creek Ranch is located just 15 minutes south of downtown Houston's central business, cultural and entertainment district. Upon completion, Shadow Creek Ranch will encompass approximately 12,000 residences including single-family homes, multi-family and senior housing units. The community will also feature commercial, industrial, civic and recreational sites such as schools, churches, medical facilities, day care, City Hall Annex, police and fire stations, grocery stores, shopping center, banks, library, and multiple day-care centers creating an estimated 5,000 jobs within the community.

About Perry Homes

For more than 25 years of building homes in Texas, over 20,000 families have enjoyed the luxury of owning a Perry home. Perry Homes understands that quality is the single most important feature of a home. A superior reputation for customer service, versatile and unique designs, excellent locations and undeniable value combine to create a strong demand for Perry Homes. Homebuyers can be comfortable with Perry's commitment and reputation. To learn more about Perry Homes, call 1-800-24-Perry or log onto www.perryhomes.com .

Shadow Creek Ranch is conveniently located off Highway 288, just 13 miles south of downtown Houston at Shadow Creek Parkway. For more information call Shadow Creek Ranch at 281-412-3733.