GLB Glenborough

Glenborough Realty Trust (NYSE:GLB)(NYSE:GLB.PrA) announces the contribution of Montgomery Executive Center, a 120,000 square foot office building in Gaithersburg, Maryland, at a value of $23.5 million for 100% of the property, to a new joint venture with an investment advisor. Glenborough will recognize a gain from the June transaction of approximately $10.5 million related to the 75% of the venture now owned by the investment advisor. Glenborough will retain a 25% interest and will provide property management, leasing and asset management services to the joint venture on an on-going basis. Proceeds from the sale of the joint venture interest were used to pay down short-term borrowings under the Company's unsecured line of credit. The joint venture will be accounted for using the equity method of accounting. Andrew Batinovich, President and Chief Executive Officer commented, "We are very pleased to start a new joint venture relationship with this investment advisor and we look to grow this relationship with other core-plus acquisitions in our core markets." Glenborough is a REIT which is focused on owning high quality, multi-tenant office properties concentrated in Washington, D.C., Southern California, Northern New Jersey, Boston and Northern California. The Company has a portfolio of 45 properties encompassing approximately 8 million square feet as of March 31, 2006. FORWARD LOOKING STATEMENTS: Certain statements in this press release are forward-looking statements within the meaning of the federal securities laws including, without limitation, statements concerning plans, objectives, goals, strategies, expectations, intentions, projections, developments, future events, performance or products, underlying assumptions, and other statements which are other than statements of historical facts. In some cases, you can identify forward-looking statements by terminology such as "may," "will," "should," "expects," "intends", "plans," "anticipates," "contemplates," "believes," "estimates," "predicts," "projects," "potential", "continue," and other similar terminology or the negative of these terms. These forward-looking statements include, without limitation: -- Our expectation to grow this joint venture with other core plus acquisitions in our core markets. Because these forward-looking statements involve risk and uncertainty, there are important factors that could cause our actual results to differ materially from those stated or implied in the forward-looking statements. These important factors include: -- Our ability or inability to identify and acquire suitable additional investments for this venture. Given these uncertainties, readers are cautioned not to place undue reliance on such statements. All forward-looking statements are based on information available to us on the date hereof and we assume no obligation to update or supplement any forward-looking statement. Additional information concerning factors that could cause results to differ can be found in our filings with the SEC including our report on Form 10-K for the year ended December 31, 2005, and our quarterly reports on forms 10-Q and 10-Q/A for the periods ended June 30, 2005, September 30, 2005 and March 31, 2006.