Parkway Signs 205,000 SF Early Renewal in Houston

JACKSON, Miss., Aug. 2 /PRNewswire-FirstCall/ -- Parkway Properties, Inc. (NYSE: PKY) announced today that it has signed a three year lease extension with Nabors Corporate Services, Inc. ("Nabors"), a 205,000 square foot customer located at One Commerce Green in Houston, Texas.  The new expiration date of Nabors' lease is December 31, 2014, with the right to terminate a year early on December 31, 2013, given that notice is provided on or before December 1, 2010.  No tenant improvements are required in connection with the renewal, and total leasing costs are approximately $510,000, or $0.83 per square foot per year.  One Commerce Green was 99.4% leased as of August 2, 2010, with Nabors occupying over 60% of the property.

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William R. Flatt, Chief Operating Officer at Parkway, stated, "This renewal with Nabors is another important step in mitigating our 2011 lease rollover exposure.  Combined with the previously announced US Cellular and Travelers Indemnity leases, we have early renewed 521,000 square feet or 25% of our 2011 expirations in the past 30 days.  Parkway's overall portfolio is currently 86% occupied and 87% leased."  

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 64 office properties located in 11 states with an aggregate of approximately 13.2 million square feet of leasable space as of August 2, 2010.  Included in the portfolio are 21 properties totaling 3.9 million square feet that are owned jointly with other investors, representing 29.3% 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 2.8 million square feet for third-party owners at August 2, 2010.

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.