Table of Contents

Exhibit 99.1

NEWS FROM ARDEN REALTY, INC.FOR
IMMEDIATE RELEASE

CONTACT: Richard Davis
(310) 966-2600

ARDEN REALTY, INC. REPORTS FOURTH QUARTER 2003 FFO OF $0.65 PER SHARE

February 4, 2004

Los Angeles, California — Arden Realty, Inc. (NYSE/ARI), a Los Angeles-based office real estate investment trust, today reported Funds From Operations (FFO) for the fourth quarter of 2003 of $43.0 million or $0.65 per share on a fully diluted basis and $174.5 million or $2.66 per share on a fully diluted basis for the year ended December 31, 2003, compared with FFO of $44.6 million or $0.69 per share on a fully diluted basis for the fourth quarter of 2002 and $181.5 million or $2.75 per share on a fully diluted basis for the year ended December 31, 2002.

Revenues for the fourth quarter of 2003 were $105.1 million and $414.3 million for the year ended December 31, 2003, compared with $102.2 million for the fourth quarter of 2002 and $397.0 million for the year ended December 31, 2002. Net income for the fourth quarter of 2003 was $13.6 million or $0.21 per share on a fully diluted basis and $58.5 million or $0.92 per share on a fully diluted basis for the year ended December 31, 2003, compared with $16.3 million or $0.26 per share on a fully diluted basis for the fourth quarter of 2002 and $70.2 million or $1.09 per share on a fully diluted basis for the year ended December 31, 2002.

Operating portfolio occupancy stood at 90.4% at the end of the fourth quarter 2003 versus 89.9% at the end of the third quarter 2003 and 90.1% at the end of the fourth quarter of 2002.

A dividend of $0.505 per share was declared for the fourth quarter of 2003.

Total debt was approximately $1.35 billion, representing approximately 39.6% of total market capitalization at December 31, 2003.

Arden Realty will host a conference call to discuss fourth quarter 2003 operating results on February 5, 2004, at 1:00 p.m. Eastern time. A live webcast (listen only mode) of the conference call will be available at this time. A hyperlink to the live webcast will be available from the Investor Information section of our website at www.ardenrealty.com or at www.companyboardroom.com. A replay of the conference call may be heard by calling (800) 642-1687 (U.S.) or (706) 645-9291 (International), access code 4814377, from 3:00 p.m. Eastern time on February 5, 2004 through 3:00 p.m. Eastern time on February 19, 2004. During this period, an on-demand webcast replay of the call will also be available from the Investor Information section of our website at www.ardenrealty.com or at www.companyboardroom.com.

Financial schedules follow. A detailed analysis of the quarter’s results can be obtained by viewing the Supplemental Operating and Financial Data available in the Investor Information section (Financial Reports) of our website at www.ardenrealty.com, or by calling Richard Davis, CFO, at the number listed above.

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Arden Realty is a self-administered, self-managed real estate investment trust which owns, manages, leases, develops, renovates and acquires commercial office properties located in Southern California. As of December 31, 2003, the Company’s portfolio contained 130 properties comprised of 215 buildings and approximately 18.9 million rentable square feet including a development property with approximately 283,000 rentable square feet under lease-up. For more information on the Company, visit the Arden website at www.ardenrealty.com.

Statements made in this press release or during the conference call which are not historical may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Although Arden Realty believes the expectations reflected in any forward-looking statements are based on reasonable assumptions, these statements are subject to various risks and uncertainties. Factors that could cause actual results to differ materially from the Company’s expectations include general and Southern California specific real estate and economic conditions, competition within the industry, the availability and cost of capital for future investments and other risks detailed from time to time in the Company’s filings with the Securities and Exchange Commission.

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ARDEN REALTY, INC.
CONSOLIDATED BALANCE SHEETS
(in thousands)

	December 31, 2003			December 31, 2002
	(unaudited)
Assets
Investment in real estate:
Commercial properties	$	2,944,357		$	2,884,152
Less: accumulated depreciation and amortization		(456,432	)		(377,005	)
		2,487,925			2,507,147
Properties under development		75,627			65,296
Land available for development		23,723			23,731
Properties held for disposition, net		59,424			145,450
Net investment in real estate		2,646,699			2,741,624
Cash and cash equivalents		4,707			4,063
Restricted cash		19,694			20,498
Rent and other receivables		3,688			2,917
Deferred rent		44,203			43,646
Prepaid financing costs, expenses and other assets, net of amortization		22,442			19,661
Total assets	$	2,741,433		$	2,832,409
Liabilities and Stockholders' Equity
Mortgage loans payable	$	564,829		$	570,654
Unsecured lines of credit		161,000			208,587
Unsecured term loan		125,000			125,000
Unsecured senior notes, net of discount		498,952			498,063
Accounts payable and accrued expenses		54,317			55,705
Security deposits		22,321			20,645
Dividends payable		32,535			31,807
Total liabilities		1,458,954			1,510,461
Minority interest		72,194			74,571
Stockholders' Equity
Common stock		646			631
Additional paid-in capital		1,225,192			1,260,773
Deferred compensation		(14,952	)		(11,259	)
Accumulated other comprehensive loss		(601	)		(2,768	)
Total stockholders' equity		1,210,285			1,247,377
Total liabilities and stockholders' equity	$	2,741,433		$	2,832,409

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ARDEN REALTY, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share amounts)
(unaudited)

	For the Three Months Ended December 31,						For the Twelve Months Ended December 31,
	2003			2002			2003			2002
	(unaudited)						(unaudited)
Revenue:
Revenues from rental operations:
Scheduled cash rents	$	90,071		$	87,785		$	356,804		$	339,292
Straight-line rents		385			629			986			4,214
Tenant reimbursements		6,404			5,074			24,683			22,135
Parking, net of expenses		5,777			5,419			22,084			20,805
Other rental operations		2,410			2,333			8,978			8,041
		105,047			101,240			413,535			394,487
Interest and other income		103			966			734			2,542
Total revenue		105,150			102,206			414,269			397,029
Expenses:
Property expenses:
Repairs and maintenance		11,329			10,309			42,859			37,250
Utilities		7,696			8,969			34,253			34,209
Real estate taxes		7,867			7,386			29,488			28,616
Insurance		2,145			2,122			8,431			7,787
Ground rent		271			279			961			895
Property administrative		4,073			3,841			16,761			14,893
Total property expenses		33,381			32,906			132,753			123,650
General and administrative		5,549			3,932			18,123			13,166
Interest		23,525			23,132			93,767			88,516
Depreciation and amortization		29,541			27,126			118,114			106,182
Income from continuing operations
before gain and minority interest		13,154			15,110			51,512			65,515
Gain on sale of operating properties		--			694			--			1,967
Income from continuing operations
before minority interest		13,154			15,804			51,512			67,482
Minority interest		(1,383	)		(1,481	)		(5,536	)		(5,999	)
Income from continuing operations		11,771			14,323			45,976			61,483
Discontinued operations, net of minority interest		1,301			1,979			6,596			8,692
Gain on sale of discontinued properties		555			--			5,937			--
Net income	$	13,627		$	16,302		$	58,509		$	70,175
Net income per share:
Basic	$	0.21		$	0.26		$	0.92		$	1.09
Diluted	$	0.21		$	0.26		$	0.92		$	1.09
Weighted average common shares:
Basic		64,315			63,295			63,553			64,151
Diluted		64,856			63,382			63,815			64,351

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ARDEN REALTY, INC.
CALCULATION OF FUNDS FROM OPERATIONS
(in thousands, except per share amounts)
(unaudited)

	For the Three Months Ended December 31,						For the Twelve Months Ended December 31,
	2003			2002			2003			2002
Funds From Operations:(1)
Net Income	$	13,627		$	16,302		$	58,509		$	70,175
Plus -
Depreciation and minority interest
from discontinued operations		57			1,490			2,548			5,472
Depreciation and amortization		29,541			27,126			118,114			106,182
Minority interest		1,383			1,481			5,536			5,999
Less -
Gain on sale of discontinued properties		(555	)		--			(5,937	)		--
Gain on sale of operating properties		--			(694	)		--			(1,967	)
Income allocated to Preferred Operating
Partnership Units		(1,078	)		(1,078	)		(4,312	)		(4,312	)
Funds From Operations(2)	$	42,975		$	44,627		$	174,458		$	181,549
Per share:
Funds From Operations - Diluted	$	0.65		$	0.69		$	2.66		$	2.75
Dividends declared	$	0.505		$	0.505		$	2.02		$	2.02
Weighted average shares and Operating
Partnership Units outstanding - Diluted		66,545			65,099			65,513			66,098

(1) We believe that funds from operations, or FFO, is a useful supplemental measure of our operating performance. We compute FFO in accordance with standards established by the White Paper on FFO approved by the Board of Governors of the National Association of Real Estate Investment Trusts, or NAREIT, in April 2002. The White Paper defines FFO as net income or loss computed in accordance with generally accepted accounting principles, or GAAP, excluding extraordinary items, as defined by GAAP, and gains and losses from sales of depreciable operating property plus real estate-related depreciation and amortization and after adjustments for unconsolidated partnerships and joint ventures.

We believe that FFO, by excluding depreciation costs, the gains or losses from the sale of operating real estate properties and extraordinary items as defined by GAAP, provides an additional perspective on our operating results. However, because these excluded items have real economic effect, FFO is a limited measure of performance.

FFO captures trends in occupancy rates, rental rates and operating costs. FFO excludes depreciation and amortization costs and it does not capture the changes in value in our properties that result from use or changes in market conditions or the level of capital expenditures and leasing costs necessary to maintain the operating performance of our properties, all of which are significant economic costs. Therefore, its ability to measure performance is limited.

Because FFO excludes significant economic components of net income determined in accordance with GAAP, FFO should be used as an adjunct to net income and not as an alternative to net income. FFO should also not be used as an indicator of our financial performance, or as a substitute for cash flow from operating activities determined in accordance with GAAP or as a measure of our liquidity. FFO is used by investors to compare our performance with other REITs. Other REITs may use different methodologies for calculating FFO and, accordingly, our FFO may not be comparable to other REITs.

(2) Included in FFO is non-cash compensation expense of $842,000 and $324,000 for the three months ended December 31, 2003 and December 31, 2002, respectively and $2.2 million and $1.2 million for the twelve months ended December 31, 2003 and December 31, 2002, respectively.

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