EX-10.4













Exhibit 10.4




	 	 	 
	 

	 	Lexington Realty Trust
	 

	 	TRADED: NYSE: LXP
	 

	 	One Penn Plaza, Suite 4015
	 

	 	New York NY 10119-4015






Contact at Lexington Realty Trust

T. Wilson Eglin, Chief Executive Officer

Investor or Media Inquiries

Phone: (212) 692-7200 E-mail: tweglin@lxp.com




 





FOR IMMEDIATE RELEASE

October 28, 2008




LEXINGTON REALTY TRUST ANNOUNCES

FORWARD PURCHASE BY LEXINGTON OF 3.5 MILLION OF ITS COMMON SHARES

AND ACQUISITION BY VORNADO REALTY TRUST AND WINTHROP REALTY TRUST

OF A TOTAL OF 11.5 MILLION LEXINGTON COMMON SHARES



New York, NY — October 28, 2008 — Lexington Realty Trust (NYSE:LXP) today announced that
Lexington agreed to the forward purchase of 3.5 million of its common shares, and an affiliate of
Vornado Realty Trust agreed to purchase 8.0 million common shares of Lexington and an affiliate of
Winthrop Realty Trust agreed to purchase 3.5 million common shares of Lexington, each for $5.60 per
share. The common shares were previously held by AP LXP Holdings LLC, an affiliate of Apollo Real
Estate Advisors III, L.P. The settlements of the purchases are expected to occur on or about
October 30, 2008.



In connection with the forward purchase, Lexington has prepaid 50% of the forward purchase price
and will make floating payments during the term of the forward purchase at LIBOR plus 250 basis
points per annum. The forward purchase contract is required to be settled no later than October
2011. Lexington may settle the contract by paying the balance of the purchase price and receiving
the underlying shares. Alternatively, under certain conditions Lexington may elect to net-settle
the contract either in cash or in shares.



In connection with the purchases, each of Vornado and Winthrop has arranged for interest-only
financing at 50% of the purchase price of the common shares purchased, which financing bears
interest at floating LIBOR plus 250 basis points per annum, matures in October 2011 and is secured
by the common shares purchased by the holder.




About Lexington Realty Trust



Lexington Realty Trust is a real estate investment trust that owns, invests in, and manages office,
industrial and retail properties net-leased to major corporations throughout the United States and
provides investment advisory and asset management services to investors in the net lease area.
Lexington shares are traded on the New York Stock Exchange under the symbol “LXP”. Additional
information about Lexington is available on-line at
http://www.lxp.com or by
contacting Lexington Realty Trust, Investor Relations, One Penn Plaza, Suite 4015, New York, New
York 10119-4015.



This release contains certain forward-looking statements which involve known and unknown risks,
uncertainties or other factors not under Lexington’s control which may cause actual results,
performance or achievements of Lexington to be materially different from the results, performance,
or other expectations implied by these forward-looking statements. Factors that could cause or
contribute to such differences include, but are not limited to, those discussed under the headings
“Management’s Discussion and Analysis of Financial Condition and Results of Operations” and


 









 






	 	 	 	 	 
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“Risk Factors” in Lexington’s most recent annual report on Form 10-K filed with the Securities and
Exchange Commission (“ SEC”) on February 29, 2008 and other periodic reports filed with the SEC,
including risks related to: (1) the receipt of trade confirmations and settlement of the trades
described above, and (2) the consummation of the financing described above. Lexington can provide
no assurances that the trades and financing described above will be consummated on the terms
described above or at all. Copies of the periodic reports Lexington files with the SEC are
available on Lexington’s website at www.lxp.com. Forward-looking statements, which are
based on certain assumptions and describe the Lexington’s future plans, strategies and
expectations, are generally identifiable by use of the words “believes,” “expects,” “intends,”
“anticipates,” “estimates,” “projects”, “is optimistic” or similar expressions. Lexington
undertakes no obligation to publicly release the results of any revisions to those forward-looking
statements which may be made to reflect events or circumstances after the occurrence of
unanticipated events. Accordingly, there is no assurance that Lexington’s expectations will be
realized.



Source: Lexington Realty Trust