Vascular progenitor cells derived from stem cells could potentially lead to a variety of clinically relevant applications including cell-based therapies and tissue engineering. Here we describe methods for isolating purified proliferating populations of vascular endothelial cells from mouse embryonic stem cells (mESC) using Flk-1 positive sorted cells, VEGF supplementation, and a rigorous manual selection technique required for endothelial cell purification and expansion. Using this in vitro derivation procedure, it is possible to obtained millions of cells at various stages of differentiation, with the potential for up to 25 population doublings.