Reports FFO of $0.33 Per Diluted Share

SANTA MONICA, Calif.–(EMWNews)–Douglas Emmett, Inc. (NYSE:DEI), a real estate investment trust (REIT),

announced the release of its second quarter financial results for the

quarter ended June 30, 2008.

Financial Results

Funds From Operations (FFO) for the three months ended June 30, 2008

totaled $51.6 million, or $0.33 per diluted share, compared to $48.7

million, or $0.29 per diluted share, for the second quarter ended June

30, 2007. FFO for the six months ended June 30, 2008 totaled $105.0

million, or $0.67 per diluted share, compared to $95.1 million, or $0.57

per diluted share, for the first six months of 2007. The Company

reported a GAAP net loss of $9.4 million, or ($0.08) per diluted share,

for the three months ended June 30, 2008, compared to a GAAP net loss of

$1.3 million, or ($0.01) per diluted share, in the second quarter ended

June 30, 2007. The Company reported a GAAP net loss of $11.9 million, or

($0.10) per diluted share, for the six months ended June 30, 2008,

compared to a GAAP net loss of $4.5 million, or ($0.04) per diluted

share, in the first six months of 2007.

Company Operations

Total revenues for the three months ended June 30, 2008 increased to

$149.4 million from $127.0 million in the second quarter of 2007.

Operating income increased to $39.5 million for the three months ended

June 30, 2008, representing an increase of 9.2% from the second quarter

of 2007. For the same properties owned in the second quarter of 2008 and

the second quarter of 2007, net operating income rose 6.1% on a GAAP

basis and 11.5% on a cash basis year over year.

Total revenues from the Company’s office

portfolio increased to $132.4 million for the three months ended June

30, 2008, representing an increase of 20.8% from the second quarter of

2007. For the same properties owned in the second quarter of 2008 and

the second quarter of 2007, total office revenues rose 5.2% on a GAAP

basis and 8.0% on a cash basis year-over-year. Excluding the six

properties that the Company acquired on March 26, 2008, the Company’s

office portfolio was 95.5% leased and 94.5% occupied at June 30, 2008,

compared to 95.3% leased and 94.3% occupied at March 31, 2008. Including

the six properties that the Company acquired on March 26, 2008, the

Company’s office portfolio was 94.8% leased

and 93.8% occupied at June 30, 2008, compared to 94.6% leased and 93.4%

occupied at March 31, 2008. The occupied percentage represents the

leased portion of the Company’s office

portfolio less those leases where the rent commencement date has yet to

occur. During the quarter, the Company signed 114 new and renewal

leases, totaling approximately 396,155 square feet.

Total revenues for the Company’s multifamily

portfolio decreased on a GAAP basis by 2.4% to $17.0 million for the

three months ended June 30, 2008 compared to $17.4 million for the three

months ended June 30, 2007, while, on a cash basis, total revenues for

the multifamily portfolio increased by 3.6% to $16.1 million from $15.5

million over the comparable periods. The Company’s

multifamily portfolio was 99.2% leased at June 30, 2008 compared to

99.6% leased at March 31, 2008.

Dividends

During the quarter, the Company’s Board of

Directors declared a quarterly cash dividend of $0.1875 per share. The

dividend was paid on July 15, 2008 to shareholders of record as of June

30, 2008. On an annualized basis, this represents a dividend of $0.75

per common share.

Guidance

The Company is revising its FFO guidance range to $1.30 – $1.32 per

diluted share from $1.28 – $1.32 per diluted share. This range assumes

the first closing of the Company’s closed-end

fund, which is anticipated to close in the third quarter of 2008. As

previously stated, the Company’s 2008 full

year guidance also excludes any impact from future acquisitions,

dispositions, additional equity purchases, debt financings or

recapitalizations.

Conference Call and Web Cast

Information

A conference call to discuss the Company’s

2008 second quarter financial results is scheduled for Wednesday, August

6, 2008 at 2:00 pm Eastern Time or 11:00 am Pacific Time. Interested

parties can access the call via the Internet by going to the Investor

Relations section of the Company’s Web site

at www.douglasemmett.com or

by dialing into the call at 800-218-0530 (domestic) or 303-262-2137

(international). A replay of the live call will be available via the web

site for 90 days. A digital replay will be available through Wednesday,

August 13, 2008 at 800-405-2236 (domestic) or 303-590-3000

(international) and using the passcode 11116663.

Supplemental Information

Supplemental financial information for the Company’s

2008 second quarter financial results can be accessed on the Company’s

Web site under the Investor Relations section at www.douglasemmett.com.

About Douglas Emmett, Inc.

Douglas Emmett, Inc. (NYSE:DEI) is a fully integrated, self-administered

and self-managed real estate investment trust (REIT), and one of the

largest owners and operators of high-quality office and multifamily

properties located in premier submarkets in California and Hawaii. The

Company’s properties are concentrated in ten

submarkets – Brentwood, Olympic Corridor,

Century City, Santa Monica, Beverly Hills, Westwood, Sherman

Oaks/Encino, Warner Center/Woodland Hills, Burbank and Honolulu. The

Company focuses on owning and acquiring a substantial share of top-tier

office properties and premier multifamily communities in neighborhoods

that possess significant supply constraints, high-end executive housing

and key lifestyle amenities. For more information on Douglas Emmett,

please visit the Company’s Web site at www.douglasemmett.com.

Safe Harbor Statement

Except for the historical facts, the statements in this press release

regarding Douglas Emmett’s business

activities are forward-looking statements based on the beliefs of,

assumptions made by, and information currently available to us about

known and unknown risks, trends, uncertainties and factors that are

beyond our control or ability to predict. Although we believe that our

assumptions are reasonable, they are not guarantees of future

performance and some will inevitably prove to be incorrect. As a result,

our actual future results can be expected to differ from our

expectations, and those differences may be material. Accordingly,

investors should use caution in relying on forward-looking statements to

anticipate future results or trends. For a discussion of some of the

risks and uncertainties that could cause actual results to differ from

those contained in the forward-looking statements, see “Risk

Factors” in our Annual Report on Form 10-K

filed with the Securities and Exchange Commission.

Douglas Emmett, Inc. Consolidated Balance Sheets (in thousands)
			June 30, 2008						December 31, 2007
Assets			(unaudited)
Investments in real estate:
Land		$	890,148					$	825,560
Buildings and improvements			5,515,561						4,978,124
Tenant improvements and lease intangibles			530,368						460,486
			6,936,077						6,264,170
Less: accumulated depreciation			(362,721	)					(242,114	)
Net investment in real estate			6,573,356						6,022,056
Cash and cash equivalents			2,764						5,843
Tenant receivables, net			553						955
Deferred rent receivables, net			28,447						20,805
Interest rate contracts			94,932						84,600
Acquired lease intangible assets, net			21,701						24,313
Other assets			25,636						31,396
Total Assets		$	6,747,389					$	6,189,968
Liabilities
Secured notes payable		$	3,712,050					$	3,080,450
Unamortized non-cash debt premium			22,891						25,227
Interest rate contracts			133,769						129,083
Accrued interest payable			20,723						13,963
Accounts payable and accrued expenses			37,539						48,741
Acquired lease intangible liabilities, net			219,730						218,371
Security deposits			35,298						31,309
Dividends payable			22,760						19,221
Total Liabilities			4,204,760						3,566,365
Minority interests			568,844						793,764
Stockholders’ equity
Common stock			1,214						1,098
Additional paid-in capital			2,275,364						2,019,716
Accumulated other comprehensive income			(88,178	)					(101,163	)
Accumulated deficit			(214,615	)					(89,812	)
Total stockholders’ equity			1,973,785						1,829,839
Total liabilities and stockholders’ equity		$	6,747,389					$	6,189,968

Douglas Emmett, Inc. Consolidated Statements of Operations (unaudited and in thousands, except per share data)
			Three Months Ended June 30,							Six Months Ended June 30,
			2008				2007			2008				2007
Revenues:
Office rental:
Rental revenues		$	111,213			$	92,884		$	210,229			$	184,496
Tenant recoveries			7,269				5,575			12,637				13,761
Parking and other income			13,911				11,098			26,571				22,198
Total office revenues			132,393				109,557			249,437				220,455
Multifamily rental:
Rental revenues			16,423				16,879			33,647				33,393
Parking and other income			559				526			1,119				1,017
Total multifamily revenues			16,982				17,405			34,766				34,410
Total revenues			149,375				126,962			284,203				254,865
Operating Expenses:
Office expenses			36,574				31,337			67,938				64,631
Multifamily expenses			3,759				3,872			7,636				8,795
General and administrative			5,729				5,120			11,014				10,162
Depreciation and amortization			63,858				50,494			120,607				101,615
Total operating expenses			109,920				90,823			207,195				185,203
Operating income			39,455				36,139			77,008				69,662
Interest and other income			123				Douglas Emmett, Inc. Mary Jensen, Vice President – Investor Relations 310-255-7751 [email protected] Major Newsire & Press Release Distribution with Basic Starting at only $19 and Complete OTCBB / Financial Distribution only $89 Get Unlimited Organic Website Traffic to your Website  TheNFG.com now offers Organic Lead Generation & Traffic Solutions