National Association of Real Estate Investment Trusts

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1 National Association of Real Estate Investment Trusts November 8-10, Copyright W. P. Carey & Co. LLC 2006

2 Past performance does not assure future results. The following presentation includes forward-looking statements. Forward-looking statements, which are based on certain assumptions, describe future plans, strategies and expectations of W. P. Carey & Co. Forward-looking statements discuss matters that are not historical facts. Because they discuss future events or conditions, forward-looking statements may include words such as "anticipate," "believe," "expect," "estimate," "intend," "could, "should," "would," "may," or similar expressions. Do not unduly rely on forward-looking statements. They give our expectations about the future and are not guarantees, and speak only as of the date they are made. Such statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievement of W. P. Carey & Co. to be materially different from the results of operations or plan expressed or implied by such forward-looking statements. The risk factors are fully described in our Form 10-K for the year ended December 31, Investing for the Long Run TM

3 Corporate Overview

4 W. P. Carey & Co. LLC Founded in 1973, W. P. Carey & Co. is a leading global real estate te investment firm and provider of net lease financing for corporations worldwide. In 1979, W. P. Carey & Co. launched the Corporate Property Associates (CPA ) series of investment funds and has raised over $3.5 billion across 15 such funds. The first eleven CPA funds have gone full-cycle to liquidity providing investors with an average annual return of 12%, after all fees and a expenses, significantly outperforming the NCREIF** index over comparable periods. p W. P. Carey & Co. currently owns and manages, in aggregate, approximately $8 billion in total assets. As of 9/30/06. ** NCREIF Property Index tracks the performance of real estate acquired on behalf of tax exempt institutions and held in a fiduciary environment. 3 Investing for the Long Run TM

5 W. P. Carey & Co. & CPA Distributions History W. P. Carey & Co. and its CPA funds have paid over $2 billion in quarterly cash distributions to investors since the introduction of the first CPA fund in Millions USD 2,000 1,800 1,600 1,400 1,200 1, September 30 4 Investing for the Long Run TM

6 Business Model W. P. Carey & Co. LLC OWNS DIVERSIFIED STABLE PORTFOLIO $1.4 billion total market capitalization Generated 41% of its revenue through rental income from its owned assets.* ADVISES CPA REITS $6.8 billion in net-leased real estate Generated 59% of its revenue by managing day-to-day operations and new real estate investments.* As of 9/30/06. Revenues from Real Estate Business (continuing and discontinued operations) = rental income + interest income from direct financing leases + other interest income + other income + revenues of other business operations + income from equity investments in real estate. Revenues from Management Business = asset management revenue + structuring revenue + reimbursements revenue from CPA funds. 5 Investing for the Long Run TM

7 Relationship between CPA REITs and W. P. Carey W. P. Carey provides both strategic and day-to to-day management services, including: Acquisition Services Research Investment Analysis Asset Management Capital Funding Services Disposition Services Investor Relations Administrative Services W. P. Carey and related entities that perform such services for the CPA REITs are referred to as advisor 6 Investing for the Long Run TM

8 Core Competencies Culture of Credit Analysis Investment committee members and investment team professionals have h extensive training and experience in corporate credit underwriting Broad experience across numerous industries Net Lease Pioneer 30+ year history of financing net lease structures Strong Origination Effort Emphasize originating opportunities and creating new transaction structures Sophisticated Structuring Techniques Ability to create/underwrite complex financing structures Track Record Outperformed NCREIF indices since inception 7 Investing for the Long Run TM

9 Competitive Advantages Consistent Strategy Seek to invest in higher yielding, credit-related related real estate opportunities Focus on long-term, consistent income generation and capital preservation Historic, successful exposure to out-of of-favor favor industries and asset types Reputation, Relationship and Resources W. P. Carey & Co. brand name is well known within the net lease financing industry Meaningful presence in leveraged finance marketplace, with experience financing the earliest leveraged buyouts First call for private equity sponsors, corporate owners, developers, lenders, ers, investment bankers and brokers Borrow more than $450 million annually, providing strong pricing power in mortgage market Principal Investment Alignment of Interest The firm and its professionals have invested more than $130 million ion in the active CPA funds.* * As of 9/30/06 8 Investing for the Long Run TM

10 Investment Team W. P. Carey & Co. has had a consistent 30+ year investment strategy combine credit and real estate underwriting with sophisticated structuring techniques and direct origination W. P. Carey & Co. senior investment professionals have approximately 50 combined years of experience, with an average tenure of 8 years at the firm 9 Investing for the Long Run TM

Investment Committee With more than 100 combined years of real estate and financial services experience, the Investment Committee approves transactions before they are funded. George E.

11 Investment Committee With more than 100 combined years of real estate and financial services experience, the Investment Committee approves transactions before they are funded. George E. Stoddard Former Chairman of the Investment Committee and Former Officer-in-Charge of the Direct Placement Department at The Equitable Life Assurance Society of The United States. Dr. Karsten von Köller Former Chairman of Eurohypo AG, commercial real estate bank in Europe. Currently, Chairman of Lone Star Germany GmbH and Chairman of Allgemeine HypothekenBank Rheinboden AG. Dr. Lawrence R. Klein Nobel Laureate in Economics. Professor of Economics, Emeritus Wharton. Nathaniel S. Coolidge Chairman of the Investment Committee and Former Head of the Bond and Corporate Finance Department, John Hancock. Frank J. Hoenemeyer (not pictured) Former Vice Chairman and Chief Investment Officer, Prudential Insurance Company of America. 10 Investing for the Long Run TM

12 Investment Process Origination 14 professionals Brand Name U.S. and International 30+ year market presence > 1,000 deals reviewed annually, closed Underwriting & Structuring Investment Committee Broad Industry Experience International Experience Since 1998 Risk mitigation through mission critical assets and financial covenants Portfolio/Asset Management 11 highly credentialed professionals 700+ assets, 94+ million square feet Active portfolio management strategy 11 Investing for the Long Run TM

13 Market Opportunity Ownership of U.S. Commercial Real Estate * Ownership of European Commercial Real Estate * 76% 24% 33% 67% 24% represents over $1 trillion Owner-Occupiers Private/Public Market *Source: "European Real Estate Ownership Structures," Jones Lang LaSalle, April Investing for the Long Run TM

14 Investment Overview Total Investment Volume* $1,008,000 $725,000 $890,000 $865,000 Number of Investments Average Investment Size* $33,600 $25,000 $37,000 $31,000 Number of Industries Number of Countries Average Lease Term (years) * In thousands. 13 Investing for the Long Run TM

15 Investment Overview Total Investment Volume* September 30, 2005 $780,000 September 30, 2006 $451,000 Number of Investments Average Investment Size* $36,000 $35,000 Number of Industries Number of Countries 8 4 Average Lease Term (years) * In thousands. 14 Investing for the Long Run TM

16 Growth in Assets 60.00% International Transactions As Percentage of Overall Volume ( ) 50.00% 40.00% 30.00% 20.00% 10.00% 0.00% /30 15 Investing for the Long Run TM

Recent Acquisitions OBI AG Transaction Date: March 2006 Acquired by: Facility Type: Purchase Price: Location: CPA :15, CPA :16 Global 15 Retail Facilities, One Office $183 million ( 152

17 Recent Acquisitions OBI AG Transaction Date: March 2006 Acquired by: Facility Type: Purchase Price: Location: CPA :15, CPA :16 Global 15 Retail Facilities, One Office $183 million ( 152 million) Poland Fourth largest Do It Yourself retailer in the world, headquartered in Germany. A subsidiary of Tengelmann Group, a global retail conglomerate. 16 Investing for the Long Run TM

Recent Acquisitions Kings Super Markets, Inc. Transaction Date: April 2006 Acquired by: Facility Type: Purchase Price: Location: CPA :16 Global Six Retail Facilities $48.

18 Recent Acquisitions Kings Super Markets, Inc. Transaction Date: April 2006 Acquired by: Facility Type: Purchase Price: Location: CPA :16 Global Six Retail Facilities $48.4 million New Jersey Founded in 1936, Kings Super Markets, Inc. is a premium supermarket chain with 26 stores located throughout New Jersey and on Long Island, New York. Kings Super Markets, Inc. is owned by an investor group consisting of Angelo, Gordon & Co., MTN Capital Partners LLC, and Kings Super Markets Chairman, Bruce Weitz. 17 Investing for the Long Run TM

19 Financial Performance

20 W. P. Carey & Co. Financial Highlights In thousands, except per share amounts For the Investment Volume 2003 $ 725, $ 890, $ 865,000 nine months ended 9/30/2006 $ 451,000 Assets Under Management $ 4,400,000 $ 5,500,000 $ 6,500,000 $ 6,760,000 Dividends Declared Per Share $ $ $ $1.362 Deferred Revenue from CPA :16 Global* $ 0 $ 8,354 $ 13,872 $ 9,926 Net Income $ 62,878 $ 65,841 $ 48,604 $ 42,674 Diluted Earnings Per Share $ 1.64 $ 1.69 $ 1.25 $1.10 Funds from Operations $ 105,518 $ 135,139 $ 98,571 $ 73,654 Diluted Funds from Operations per share $ 2.78 $ 3.47 $ 2.53 $ 1.89 * Cumulative performance and acquisition revenues deferred total $32,152 on which interest of $1,619 is due upon attainment of the CPA :16 Global hurdle. 19 Investing for the Long Run TM

21 Growth in Assets Total assets under management have grown at a compound annual rate of 26% since $7,000 $6,000 $5,000 $4,000 $3,000 Assets Under Management (In Millions) $2,000 $1,000 $ /30 20 Investing for the Long Run TM

22 W. P. Carey & Co. Financial Highlights MANAGEMENT SERVICES SEGMENT In thousands, except per share amounts Revenues Nine months ended September 30, Twelve months ended December 31, Asset management revenue $ 33,902 $ 38,890 $ 43,478 $ 45,806 $ 52,332 Reimbursed costs from affiliates 11,846 7,173 36,654 15,388 9,962 Structuring revenue 31,915 25,422 15,788 33,675 28,197 Fees on CIP merger 53,588 53,588 Other 55 (1,303) ,251 71,540 95, ,154 90,863 Operating Expenses General and Administrative (24,678) (27,903) (25,290) (30,107) (39,458) Reimbursed Costs (11,846) (7,173) (36,654) (15,388) (9,962) Depreciation and amortization (8,066) (3,989) (4,398) (9,366) (5,602) (44,590) (39,065) (66,342) (54,861) (55,022) Other income and expenses 62 2,413 6,753 3,455 7,262 Provision for income taxes (43,157) (15,247) (15,937) (49,546) (18,662) Net Income $ 43,566 $ 19,641 $ 20,934 $ 46,202 $ 24, Investing for the Long Run TM

23 Normalized Net Income Management Services Segment Net Income (as reported) Nine months ended September 30, $ 43,566 $ 19,641 $ 20,934 Twelve months ended December 31, $ 46,202 $ 24,441 CPA :16 Global Hurdle Impact, Net of Expenses* 3,312 5,377 5,379 3,549 6,659 CIP Merger Impact, Net of Expenses* (25,543) (25,543) Normalized Net Income* $ 21,335 $ 25,018 $ 26,313 $ 24,208 $ 31, Investing for the Long Run TM

24 CPA :16 Global Revenue Deferral CPA: 16 Revenue Deferral 6.50% 6.00% Surplus Return (%) 5.50% 5.00% 4.50% Shortfall 4.00% 3.50% Mar-04 Jun-04 Sep-04 Dec-04 Mar-05 Jun-05 Sep-05 Dec-05 Mar-06 Jun-06 Sep-06 Time 23 Investing for the Long Run TM

25 CPA :16 Global Cumulative Shortfall Cumulative Deficit & Quarterly Surplus Projection Expected to cross 6.00% hurdle in first half of 2007 based on current projections. 2,000 1,000 - (1,000) (2,000) (3,000) (4,000) (5,000) Shortfall Surplus 3/31/06 Actual 6/30/06 Actual 9/30/06 Actual 12/31/2006 3/31/2007 6/30/2007 Quarterly Surplus Distributions Cumulative Surplus/(Shortfall) Note: Projections for 12/31/2006, 3/31/2007 and 6/30/2007 are based on management s estimates. 24 Investing for the Long Run TM

26 W. P. Carey & Co. Financial Highlights Real Estate Segment In thousands, except per share amounts Real Estate Segment Nine months ended September 30, Twelve months ended December 31, Lease revenues and other income $ 52,063 $ 59,018 $ 62,221 $ 74,467 $ 82,806 Operating Expenses General and administrative and operating expenses (12,059) (15,030) (14,605) (17,327) (19,385) Depreciation and amortization (7,618) (11,342) (13,316) (11,559) (15,047) Impairment charges and loan losses (8,750) (1,130) (12,899) (15,154) (28,427) (27,502) (27,921) (41,785) (49,586) Interest expense (10,350) (12,582) (13,324) (14,453) (16,787) Other income and expenses 5,226 1,372 6,497 4,668 2,472 Provision for income taxes (1,589) (288) (363) (1,437) (728) Income from continuing operations 16,923 20,018 27,710 21,460 18,177 Income (loss) from discontinued operations 7,888 12,148 (1,473) 7,378 12,602 Impairment charges on assets held for sale (6,650) (14,691) (3,357) (9,199) (6,616) Net income $ 18,161 $ 17,475 $ 22,280 $ 19,639 $ 24, Investing for the Long Run TM

27 W. P. Carey & Co. Financial Highlights Balance Sheet Balance Sheet In thousands For the nine months ended 9/30/2006 Real Estate Related Assets $ 688,848 $ 775,650 $ 694,336 $ 668,052 Total Assets $ 906,505 $ 1,013,539 $ 983,262 $ 996,613 Limited Recourse Mortgage Debt $ 180,193 $ 190,698 $ 231,113 $ 251,654 Credit Facility $ 29,000 $ 102,000 $ 15,000 $ 0 Total Market Cap $ 1,392,460 $ 1,673,063 $ 1,263,742 $ 1,373,317 Leverage Ratios: Limited Recourse Mortgage Debt to Total Market Cap: 13% 15% 18% 18% Recourse Debt to Total Market Cap 2% 6% 1% 0% Interest Coverage 7:1 9:1 5:1 6:1 26 Investing for the Long Run TM

28 Dividend Yield 7.00% W. P. Carey is currently yielding over 397 bp higher than the 10-year TIPS and 170 bp higher than the 10-Year Treasury Note. 6.00% 5.00% 4.00% 3.00% 2.00% 1.00% 0.00% S&P Year DJIA DJUA NAREIT 10-Year WPC TIPS Equity Treasury Index Note 27 Investing for the Long Run TM

29 Portfolio Overview

30 Real Estate Assets Overview The W. P. Carey Group Total number of Tenants 289 Total number of Properties 732 Total Square Footage 93 million Vacancy 0.69% Assets Owned by W. P. Carey & Co. $1.4 billion* Assets Managed by W. P. Carey & Co. $6.8 billion* As of 9/30/06 * Assets at fair market value 29 Investing for the Long Run TM

31 Portfolio Diversification By Region The W. P. Carey Group As of 9/30/06 30 Investing for the Long Run TM

32 Portfolio Diversification By Property Type The W. P. Carey Group Industrial % Office % Warehouse/Distribution % Retail - 9.2% Sports - 4.3% Self-Storage/Trucking - 4.6% Education - 3.2% Hospitality - 1.6% Theater - 0.9% Nursing Home - 0.9% Residential - 0.7% Land - 0.1% Other - 1.3% As of 9/30/06. Numbers may not add up due to rounding. 31 Investing for the Long Run TM

33 Real Estate Assets Overview W. P. Carey & Co. LLC Total number of Tenants 107 Total number of Properties 168 Total Square Footage 16.1 million Vacancy 3.2% As of 9/30/06 32 Investing for the Long Run TM

34 Portfolio Diversification By Region W. P. Carey & Co. LLC As of 9/30/06 33 Investing for the Long Run TM

35 Portfolio Diversification By Property Type W. P. Carey & Co. LLC Industrial % Office % Warehouse/Distribution % Retail - 7.2% Hospitality - 1.4% Education - 0.6% Land - 0.1% Other - 1.1% As of 9/30/06. Numbers may not add up due to rounding. 34 Investing for the Long Run TM

36 Portfolio Diversification W. P. Carey & Co. LLC s Top 10 Tenants Tenant Dr Pepper Bottling Company of Texas Detroit Diesel Corporation Bouygues Telecom, S.A. Carrefour France, S.A. Orbital Sciences Corporation Federal Express Corporation The Titan Corporation America West Holdings Corporation CheckFree Holdings, Inc. AutoZone, Inc. TOTAL TOP 10 TENANTS Annualized Rent* $4,683,737 $4,634,253 $3,830,827 $3,701,421 $3,022,947 $3,015,966 $2,862,068 $2,837,889 $2,301,768 $2,216,594 $33,107,470 % of Total 5.5% 5.4% 4.5% 4.3% 3.5% 3.5% 3.3% 3.3% 2.7% 2.6% 38.5% *Reflects annualized rents on a pro rata basis as of 9/30/06 35 Investing for the Long Run TM

37 Creating Value For Our Investors Disposition Strategy Selective dispositions of weaker assets Harvest gains in opportunistic sales Closed 9 sales transactions totaling $430 million year to date through 10/31/06 Asset sales have been split as follows; WPC LLC $32.47 million (5 properties) CPA REIT Funds $398 million (12 properties) 36 Investing for the Long Run TM

Recent Dispositions Mayo Clinic Acquisition Date: September 2001 Acquired by: CPA :14 Sale Date: May 2006 Facility Type: Location: Sale Price: Purchase Price: Office, Warehouse Rochester, MN $36.

38 Recent Dispositions Mayo Clinic Acquisition Date: September 2001 Acquired by: CPA :14 Sale Date: May 2006 Facility Type: Location: Sale Price: Purchase Price: Office, Warehouse Rochester, MN $36.8 million (6.54% cap) $21.5 million (10.17% cap) Equity Investment: $9.1 million (42% of purchase price) Gain on Equity: $14.2 million = 156% Original building was a build-to-suit for Celestica (BBB- rating). Mayo (AA rating) assumed lease in Investing for the Long Run TM

Recent Dispositions Clear Channel Acquisition Date: November 2002 Acquired by: CPA :14 (40%) and CPA :15 (60%) Sale Date: June 2006 Facility Type: Location: Sale Price: Purchase Price: Central

39 Recent Dispositions Clear Channel Acquisition Date: November 2002 Acquired by: CPA :14 (40%) and CPA :15 (60%) Sale Date: June 2006 Facility Type: Location: Sale Price: Purchase Price: Central Business District Office New York, NY (Manhattan, Times Square) $208 million (5.91% cap) $152 million (7.18% cap) Equity Investment: $67 million (44% of purchase price) Gain on Equity: $40.6 million = 61% Opportunistic sale to take advantage of strong off-shore interest in fully-leased midtown NYC office building 38 Investing for the Long Run TM

40 Fund Performance

41 CPA REIT Funds Portfolio Performance Net Asset Value (NAV) Value Increase Since Inception Annual Yield on Original Investment Occupancy CPA :12 $ % 8.27% 100.0% CPA :14* $ % 8.08% 99.6% CPA :15 $ % 6.54% 99.9% CPA :16 Global** $ % 100.0% As of 9/30/06. * CPA :14 yield based on $9.55 per share investment after adjusting for the $.45 per share special distribution paid on July 14, ** CPA :16 Global has not yet been appraised. 40 Investing for the Long Run TM

42 CPA REIT Funds Ownership by W. P. Carey & Co. LLC CPA :12 CPA :14 CPA :15 CPA :16 Global % LLC Ownership 6.62% 5.43% 3.28% 0.85% Value $ 27,462,000 $ 44,341,000 $ 44,088,000 $ 7,371,000 $ 123,262,000 As of 9/30/06 41 Investing for the Long Run TM

43 CPA REIT Funds Wealth Creation for CPA Investors Since Inception NAV* Shares Outstanding Wealth Creation CPA :12 $ ,169,867 $102,861,000 CPA :14** $ ,968,969 $158,429,000 CPA :15 $ ,003,639 $ 64,002, ,142,475 $325,292,000 As of 9/30/06. * CPA :16 Global has not yet been appraised. ** Includes $.45/share special distribution in July Investing for the Long Run TM

44 CPA REIT Funds Portfolio Performance Date of Final Closing % of Original Investment Average Annual Return CPA :1 6/12/79 2.4x 7.17% CPA :2 9/23/80 3.7x 14.89% CPA :3 5/13/82 4.1x 18.81% CPA :4 6/16/83 3.1x 13.85% CPA :5 12/21/83 2.1x 7.72% CPA :6 2/13/85 2.6x 12.47% CPA :7 9/17/87 2.2x 10.15% CPA :8 11/21/88 2.3x 13.10% CPA :9 4/30/90 1.8x 9.59% CPA :10 7/17/91 2.1x 8.81% CIP 2/6/92 2.4x 11.22% Average 11.62% 43 Investing for the Long Run TM

45 1-800-WP CAREY

W. P. Carey & Co. LLC. Annual Report Investing for the Long Run

W. P. Carey & Co. LLC. Annual Report Investing for the Long Run W. P. Carey & Co. LLC Annual Report 2003 Investing for the Long Run Founded in 1973, W. P. Carey & Co. is a leading global investment firm that has long served as the preeminent provider of sale-leaseback