Prime Group Realty Trust Suspends Series B Preferred Dividends for the Second Quarter of 2009

CHICAGO--(Business Wire)--
Prime Group Realty Trust (NYSE: PGEPRB; the "Company") announced today that the
Company`s Board of Trustees determined not to declare a quarterly distribution
on its Series B Preferred Shares for the second quarter of 2009, and that the
Board is unable to determine when the Company might recommence distributions on
the Series B Preferred Shares. The Board is also in the process of considering
various financing and other capitalization alternatives for the Company.

The Board`s decision was based on the Company`s current capital resources and
liquidity needs and the overall negative state of the economy and capital
markets. The Board intends to review the suspension of the Series B Preferred
distributions periodically based on the Board`s ongoing review of the Company`s
financial results, capital resources and liquidity needs, and the condition of
the economy and capital markets. The Company can give no assurances that
distributions on the Company`s Series B Preferred Shares will be resumed, or
that any financing or other capitalization alternatives will be satisfactorily
concluded.

About Prime Group Realty Trust

Owned by one of the largest private real estate owners in the country, The
Lightstone Group, Prime Group Realty Trust is a fully-integrated,
self-administered, and self-managed real estate investment trust (REIT) which
owns, manages, leases, develops, and redevelops office and industrial real
estate, primarily in metropolitan Chicago. The Company currently owns 9 office
properties containing an aggregate of 3.5 million net rentable square feet and a
joint venture interest in one office property comprised of approximately 101,000
net rentable square feet. The Company leases and manages approximately 3.5
million square feet comprising all of its wholly-owned properties. In addition,
the Company is also the managing agent for the approximately 1.5 million square
foot Citadel Center office building located at 131 South Dearborn Street in
Chicago, Illinois. For more information about Prime Group Realty Trust, contact
the company`s Chicago headquarters at (312) 917-1300 or visit its website at
www.pgrt.com.

About the Lightstone Group

The Lightstone Group is one of the country`s largest privately held real estate
companies with interests in residential, office, retail, and industrial real
estate assets. The company, principally through its related operating entities,
Beacon Management, Prime Retail, Park Avenue Funding, and Prime Group Realty
Trust, owns a diversified portfolio of over 19,000 multifamily units and
approximately 20 million square feet of office, industrial and retail properties
in 24 states, the District of Columbia and Puerto Rico. Employing approximately
1,000 staff and professionals, The Lightstone Group maintains its corporate
headquarters in New York with regional offices in New Jersey, Maryland and
Illinois. For more information on The Lightstone Group, call 800-347-4078 or
visit www.lightstonegroup.com.

This press release contains certain forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995 that reflect
management`s current views with respect to future events and financial
performance. The words "believes", "expects", "anticipates", "estimates", and
similar words or expressions are generally intended to identify forward-looking
statements. Actual results may differ materially from those expected because of
various risks and uncertainties, including, but not limited to, changes in
general economic conditions, adverse changes in real estate markets as well as
other risks and uncertainties included from time to time in the Company`s
filings with the Securities and Exchange Commission.

Prime Group Realty Trust
Jeffrey A. Patterson
President and Chief Executive Officer
312/917-1300
or
Paul G. Del Vecchio
Executive Vice President-Capital Markets
312/917-1300

Copyright Business Wire 2009