Duke Realty Corporation Announces Second Quarter Investment Activity

INDIANAPOLIS, IN--(Marketwire - July 28, 2008) - Duke Realty Corporation (NYSE: DRE) announced today $232.5 million of new developments and acquisitions for the second quarter of 2008. The Company also announced $102.4 million of second quarter dispositions.

The Company's new development starts of $225.1 million are all included in its build-for-sale portfolio. The projects are 57.1% pre-leased and have an initial stabilized yield of 7.95%.

"We are pleased that we continue to find solid development opportunities even in a slowing economy. Included in the new starts is a build-to-suit for the Department of Veteran's Affairs in Fort Worth, Texas. This project is 100% leased to the VA for twenty years," said Denny Oklak, Chairman and Chief Executive Officer. "We continue to see strong activity in our healthcare division, as four of the six projects we started were healthcare related."

Duke also announced the acquisition of another fully leased industrial property in Savannah, Georgia totaling 176,000 square feet for $7.4 million. "The Savannah acquisition further solidifies our position in the fourth-largest port in the United States," said Oklak. "We now own 5.3 million square feet of 100% leased warehouse space at the Port of Savannah."

The new developments for the second quarter include:

--  A 213,000 square foot healthcare project in Fort Worth that is 100
    percent leased to the Department of Veterans Affairs;
    
--  In Indianapolis, a 22,000 square foot healthcare project that is 52
    percent leased and a 21,000 square foot healthcare project that is 73
    percent pre-leased, both to St. Francis Hospital and Health Centers;
    
--  In Lafayette, Indiana a 60,000 square foot healthcare project that is
    60 percent pre-leased to St. Elizabeth Medical Center;
    
--  In Minneapolis, Minnesota, as part of the Company's joint venture with
    the JR Anderson Company, a 381,000 square foot retail project that is 16
    percent pre-leased; and
    
--  In St. Louis, Missouri, a 146,000 square foot suburban office project
    located in Duke's Riverport Business Park that is 100 percent pre-leased to
    Elsevier, a science and health information publisher.
    

Duke's $102.4 million of second quarter dispositions included $34.2 million of dispositions from its held-for-rental portfolio at an average stabilized capitalization rate of 7.5 percent. The remaining $68.2 million of dispositions are from its build-for-sale portfolio at an average stabilized capitalization rate of 6.8 percent.

Second quarter held-for-rental dispositions include:

--  A 34,000 square foot industrial property in Atlanta, Georgia;
    
--  A 367,000 square foot industrial property in Chicago, Illinois;
    
--  A 42,000 square foot industrial property in Dallas, Texas, which was
    included in the Company's Texas Dugan joint venture;
    
--  A 96,000 square foot suburban office property in Indianapolis; and
    
--  An 80,000 square foot industrial property in Savannah, Georgia.
    

Second quarter build-for-sale dispositions include:

--  A 54,000 square foot healthcare property in Indianapolis in which the
    Company owned a 50 percent interest that was sold pursuant to a tenant
    purchase option agreement;
    
--  A  605,000 square foot industrial property in Phoenix, Arizona in
    which an 80 percent interest was contributed to the Company's industrial
    joint venture; and
    
--  A 177,000 square foot industrial property in Raleigh, North Carolina.
    

About Duke Realty Corporation

Duke Realty Corporation specializes in the ownership, construction, development, leasing and management of office, industrial, medical office and retail real estate. It is the largest publicly traded, vertically integrated office/industrial real estate Company in the United States. The company owns, manages or has under development more than 130 million rentable square feet in 24 major U.S. cities. Duke, which controls more than 7,400 acres of land for over 110 million square feet of future development, also provides nationwide real estate solutions through its national development division. More information about Duke is available on the Internet: www.dukerealty.com.

Contact Information: Investor Relations Contacts: Shona L. Bedwell 317.808.6169 Randy A. Henry 317.808.6060 News Media Contact: Joel Reuter 317.808.6137