Company adds three new partnerships in the Northeastern region of Brazil SAO PAULO, Brazil, Aug. 20 /PRNewswire-FirstCall/ -- Gafisa S.A. (BOVESPA: GFSA3 - NYSE: GFA) one of Brazil's leading diversified national homebuilders, has formed three new joint ventures, providing the Company with access to new markets and further diversifying its business portfolio. Gafisa has partnered with well-established local developers, Franere in the state of Maranhao, Planc in the states of Paraiba and Rio Grande do Norte, and Bricks in the states of Ceara and Pernambuco. Gafisa's New Business Director, Antonio Ferreira, said, "We are pleased to add Franere, Planc and Bricks to our national roster of high-quality, established local partners. These new partnerships reinforce Gafisa's position as a leading national homebuilder, and further consolidate our strategy of regional diversification, which has proven an effective competitive advantage for Gafisa." Each of these three new partners has more than twenty years of local experience and offer access to high-quality land banks that are available for development in the short term. In general, these new markets have not yet been explored by the national players and already demonstrate impressive demand for products ranging from the high to the affordable income segments. The table below shows GDP and population figures for these states: State GDP % of Brazil's Population(2) % of Brazil's (R$ million)(1) GDP Population Maranhao 16,547 0.9% 6,021,504 3.5% Paraiba 14,863 0.8% 3,568,350 2.1% Rio Grande do Norte 15,906 0.8% 2,962,107 1.7% Ceara 33,260 1.7% 7,976,563 4.7% Pernambuco 47,697 2.5% 8,323,911 4.9% Total 128,273 6.6% 28,852,435 17.0% Source: IBGE The growth potential of the five states mentioned above is greatly linked to the tourism industry, which has been booming in the northeastern region of Brazil. With these new partnerships, Gafisa(3) is now present in 39 cities and 17 states. (1) 2004 figures (2) 2000 figures (3) Including AlphaVille About Gafisa Gafisa is one of Brazil's leading homebuilding companies, focusing on residential markets. Over the last 50 years, we have completed and sold more than 900 developments and constructed nearly 37 million square meters, believed to be more than any other residential development company in Brazil. Gafisa is one of the best known brands in the real estate development market, enjoying a reputation among potential homebuyers, brokers, lenders, landowners and competitors for quality, consistency and professionalism. For additional information: Investor Relations Carlos Gros Phone: +55 11 3025-9305 Fax: +55 11 3025-9217 E-mail: Website: http://www.gafisa.com.br/ir Media Relations (US - Europe) Eileen Boyce Reputation Partners Phone: +1 312 222 9126 Fax: +1 312 222 9755 E-mail: Media Relations (Brazil) Joana Santos Maquina da Noticia Phone: +55 11 3147-7900 Fax: +55 11 3147-7900 E-mail: DATASOURCE: Gafisa S.A. CONTACT: Carlos Gros, Investor Relations, Gafisa, +011-55-11-3025-9305, fax, +011-55-11-3025-9217, ; or Media Relations, US & Europe, Eileen Boyce, Reputation Partners, +1-312-222-9126, fax, +1-312-222-9755, , for Gafisa; or Media Relations, Brazil, Joana Santos, Maquina da Noticia, +011-55-11-3147-7900, fax, +011-55-11-3147-7900, , for Gafisa Web site: http://www.gafisa.com.br/

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