Parkway Completes Previously Announced Sale of Chicago Asset

JACKSON, Miss., May 11, 2011 /PRNewswire/ -- Parkway Properties, Inc. (NYSE: PKY) announced today the completion of the previously announced sale of 233 North Michigan, a 1.1 million square foot office property located in the central business district of Chicago, Illinois, for a gross sale price of $162.2 million.  At closing, the Company repaid the $84.6 million first mortgage secured by the property that was previously scheduled to mature in July 2011.  Parkway received net cash proceeds from the sale after the repayment of the first mortgage of approximately $74 million, which the Company used to reduce amounts outstanding under the Company's revolving credit facility.    

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Parkway Properties, Inc., a member of the S&P Small Cap 600 Index, is a self-administered real estate investment trust specializing in the operation, leasing, acquisition, and ownership of office properties. The Company is geographically focused on the Southeastern and Southwestern United States and Chicago. Parkway owns or has an interest in 66 office properties located in 11 states with an aggregate of approximately 13.0 million square feet of leasable space as of May 11, 2011. Included in the portfolio are 22 properties totaling 4.5 million square feet that are owned jointly with other investors, representing 34.8% of the portfolio. Fee-based real estate services are offered through the Company's wholly-owned subsidiary, Parkway Realty Services, which also manages and/or leases approximately 1.6 million square feet for third-party owners at May 11, 2011.

Parkway Properties, Inc.'s press releases and additional information about the Company are available on the Company's website at www.pky.com.  

SOURCE Parkway Properties, Inc.