Arden Realty, Inc. Fixes Interest on $175 Million of Floating Rate Debt.

Business Editors

LOS ANGELES--(BUSINESS WIRE)--Jan. 10, 2003

Arden Realty, Inc. (NYSE:ARI), a Los Angeles-based office real estate investment trust, or REIT, today reported that its operating partnership has entered into interest rate swap agreements totaling $175 million to fix the floating interest rate on $50 million of outstanding principal on its Wells Fargo unsecured line of credit and all of its $125 million unsecured term loan.

Under these interest rate swaps, $50 million of the outstanding balance on the Company's Wells Fargo unsecured line of credit, with a stated rate of LIBOR plus 1.00%, will bear interest at 4.06% through April of 2006. The Company's $125 million unsecured term loan, with a stated rate of LIBOR plus 1.25% through June of 2004 and LIBOR plus 1.45% from July of 2004 through June of 2006, will bear interest at 3.64% in 2003, 4.18% in 2004, 4.75% in 2005 and 4.90% in 2006.

After considering these interest rate swap agreements, the Company's total floating rate debt decreased from approximately 22% of total outstanding indebtedness as of September 30, 2002, to approximately 11% as of the current date.

Arden Realty, Inc. is a self-administered and self-managed real estate investment trust that owns, manages, leases, develops, renovates and acquires commercial office properties located in Southern California. The Company's portfolio contains 137 properties, comprised of 223 buildings and approximately 19.4 million rentable square feet, including one property with approximately 283,000 rentable square feet under lease-up.