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                                   EXHIBIT 20


                                  NEWS RELEASE

CONTACT:  Cindy McHugh                                     FOR IMMEDIATE RELEASE
          (312) 466-3779                                   APRIL 10, 1997


            CALIFORNIA REAL ESTATE INVESTMENT TRUST ANNOUNCES FILING
               OF PRELIMINARY PROXY STATEMENT SEEKING APPROVAL OF
              CONVERTIBLE PREFERRED SHARE INVESTMENT BY AFFILIATES
                     OF SAMUEL ZELL AND VICTOR CAPITAL GROUP

         SAN FRANCISCO, CA - APRIL 10, 1997 - - California Real Estate
Investment Trust (NYSE, PSE: CT) announced that it had filed a preliminary proxy
statement with the Securities and Exchange Commission with respect to the annual
meeting of its shareholders which is expected to be held in June. At the annual
meeting, the Trust's shareholders will be asked to vote on proposals to (i)
approve the issuance by the Trust of up to $33 million of cumulative convertible
preferred shares to Veqtor Finance Company, LLC ("Veqtor"), an affiliate of
Samuel Zell and the principals of Victor Capital Group, L.P., (ii) approve an
amended and restated declaration of trust of the Trust, (iii) elect seven
trustees to serve on the Trust's board of trustees, (iv) ratify the appointment
of Ernst & Young LLP as auditors of the Trust for the fiscal year 1997 and (v)
approve a share option plan. The preliminary proxy statement also outlines the
Trust's proposed new business plan, previously approved by the Trust's board, to
become a specialty finance company focused on the commercial real estate sector.

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         In December 1996, an affiliate of Samuel Zell indicated to the Trust's
board of trustees that it had reached agreement with The Peregrine Real Estate
Trust, the Trust's former parent, to purchase from Peregrine a 76% common share
interest in the Trust and asked for the board's approval of the purchase. At
that time, the board approved the purchase, the business plan and the issuance
of at least $30 million of convertible preferred shares of the Trust to Veqtor
at $2.69 per share, the preferred shares to be convertible into common shares of
the Trust on a one-for-one basis.

         In reaching its decision to approve the foregoing, the board of
trustees considered a number of factors including the attractiveness of the new
business plan proposed by Veqtor, the significant real estate investment and
financing experience of the proposed new management team and the significant
amount of equity capital the Trust would obtain from the proposed preferred
share issuance. The board also considered the terms of previous alternative
offers to purchase Peregrine's interest in the Trust of which the board was
aware and the fact that the average price of the Trust's common shares during
the 60 trading days preceding the board of trustee's meeting at which the
proposed equity investment was approved was $2.38 per share.

         The issuance and sale of the preferred shares to Veqtor and related
transactions are subject to completion of definitive documentation.

                                     -more-
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         The affiliate of Samuel Zell that owns the 76% common share interest in
the Trust has advised the Trust that it intends to vote in favor of the
proposals presented in the proxy statement. Accordingly, approval of the
proposals is assured. The record and meeting dates for the annual meeting will
be announced in the near future.

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