Columbia Equity Trust Announces $11.5 Million Acquisition.

WASHINGTON -- Columbia Equity Trust, Inc. (NYSE:COE) announced today that it acquired 1741 Business Center Drive in Reston, Virginia for a purchase price of $11.5 million.

1741 Business Center Drive is a two-story, approximately 41,300 square foot, office building 100% leased to a subsidiary of Chubb Insurance through January of 2015. The property was built in 2000 and includes excess land that will support approximately 60,000 square feet of additional development.

1741 Business Center Drive is expected to generate a first-year net operating income-to-purchase price return (cash basis) of approximately 7.6%. This calculation incorporates into the purchase price noted above the additional cost of approximately $950,000 associated with the defeasance of existing financing at the time of closing. The acquisition was funded with proceeds from Columbia's credit facility. The Company expects to close, within the next 45 days, a five-year, interest-only loan secured by the property in the amount of $8.1 million with a fixed rate of interest of 6.11%.

About Columbia Equity Trust, Inc.

Columbia is a self-advised, self-managed Maryland corporation focused on the acquisition, development, renovation, repositioning, ownership, management and operation of commercial office properties located predominantly in the Greater Washington, D.C. area. For additional information please visit our web site at http://www.columbiareit.com.

Forward Looking Statements

Certain statements in this release that are not historical fact may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results of the Company to differ materially from historical results or from any results expressed or implied by such forward-looking statements, including without limitation: national and local economic, business, real estate and other market conditions; the competitive environment in which the Company operates; the execution of its business plan; financing risks; the Company's ability to maintain its status as a REIT for federal income tax purposes; acquisition and development risks; potential environmental and other liabilities; and other factors affecting the real estate industry generally or the office industry in particular. Although the Company believes the expectations reflected in any forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be attained. For a further discussion of these and other factors that could impact the Company's future results, performance, achievements or transactions, see the documents filed by the Company from time to time with the Securities and Exchange Commission, and in particular the section titled, "Risk Factors" in the Company's prospectus.