Paul McDowell, Chairman and Chief Executive Officer, stated, "The repurchase transactions are consistent with CapLease's stated objective to utilize excess cash flow to fund debt repurchases that are highly accretive to income and book value, while reducing leverage. We expect to continue to opportunistically strengthen our balance sheet and enhance stockholder value throughout 2009."

Forward-Looking and Cautionary Statements:

This press release contains projections of future results and other forward-looking statements that involve a number of trends, risks and uncertainties and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The following important factors could cause actual results to differ materially from those projected in such forward-looking statements.

• continued deterioration in general market conditions or in the commercial real estate markets in particular;
• declines in our lender's valuation of the assets securing our term loan facility with Wachovia Bank, N.A.;
• adverse changes in the financial condition of the tenants underlying our investments;
• increases in our financing costs (including as a result of LIBOR rate increases), our general and administrative costs and/or our property expenses; and
• changes in our industry, the industries of our tenants, interest rates or the general economy.

Developments in any of those areas could cause actual results to differ materially from results that have been or may be projected. For a more detailed discussion of the trends, risks and uncertainties that may affect our operating and financial results and our ability to achieve the financial objectives discussed in this press release, readers should review the Company's most recent Annual Report on Form 10-K, including the section entitled "Risk Factors," and the Company's other periodic filings with the SEC. Copies of these documents are available on our web site at www.caplease.com and on the SEC's website at www.sec.gov. We caution that the foregoing list of important factors is not complete and we do not undertake to update any forward-looking statement.

About the Company:

CapLease, Inc. is a real estate investment trust, or REIT, that invests primarily in single tenant commercial real estate assets subject to long-term leases to high credit quality tenants.