Gyrodyne Agrees to Purchase Medical Office Buildings in Cortlandt Manor, N.Y.

ST. JAMES, N.Y., April 17 /PRNewswire-FirstCall/ -- Gyrodyne Company of
America, Inc. (Nasdaq: GYRO) announced today that it has agreed to purchase
the Cortlandt Medical Center (the "Center" ), consisting of five buildings,
located in Cortlandt Manor, New York. The Center, which is directly across the
street from the Hudson Valley Hospital Center, is located at 1985 Crompond
Road and is situated on 5.01 acres with 29,811 square feet of rentable space.
There are presently thirteen medical practice tenants and the Center has a 97%
occupancy rate; 2007 revenues totaled $1.0 million.
The Center is under contract for a purchase price of $7.0 million and,
based on the trailing year net operating income, is being acquired at a cap
rate exceeding 9%. The Company anticipates completing due diligence and
closing title on the property by mid-May, 2008.
Stephen V. Maroney, President and Chief Executive Officer of Gyrodyne,
stated that "This transaction is a welcome addition to our real estate rental
operation and qualifies for tax deferral treatment under Section 1033 of the
Internal Revenue Code. Based on our experience with the 2007 acquisition of
the ten medical office buildings in the Port Jefferson Professional Park, we
are confident this will prove to be a very worthwhile investment for the
Company".
Forward-Looking Statement Safe Harbor
The statements made in this press release that are not historical facts
contain "forward-looking information" within the meaning of the Private
Securities Litigation Reform Act of 1995, and Section 27A of the Securities
Act of 1933 and Section 21E of the Securities Exchange Act of 1934, both as
amended, which can be identified by the use of forward-looking terminology
such as "may," "will," "anticipates," "expects," "projects," "estimates,"
"believes," "seeks," "could," "should," or "continue," the negative thereof,
other variations or comparable terminology. Important factors, including
certain risks and uncertainties, with respect to such forward-looking
statements that could cause actual results to differ materially from those
reflected in such forward-looking statements include, but are not limited to,
the effect of economic and business conditions, including risks inherent in
the Long Island, New York and Palm Beach County, Florida real estate markets,
the ability to obtain additional capital or a viable merger candidate in order
to develop the existing real estate and other risks detailed from time to time
in our SEC reports. We assume no obligation to update the information in this
press release.
About Gyrodyne Company of America, Inc.
Gyrodyne owns a 68 acre site approximately 50 miles east of New York City
on the north shore of Long Island. The Company also owns ten buildings in a
professional office park in Port Jefferson Station, New York. The Company is
currently contesting the value paid by New York State for 245.5 adjoining
acres taken under eminent domain proceedings. The Company is also a limited
partner in the Callery Judge Grove, L.P. which owns a 3,500 plus acre property
in Palm Beach County, Florida. Gyrodyne's common stock is traded on the
NASDAQ Stock Market under the symbol GYRO. Additional information about
Gyrodyne may be found on its web site at http://www.gyrodyne.com/.
SOURCE Gyrodyne Company of America, Inc.

Rick Matthews of Rubenstein Associates, for Gyrodyne Company of America, Inc.,
+1-212-843-8267