Press Release

Mack-Cali Realty Corporation Announces Second Quarter Results

Company Release - 8/2/2007 8:06 AM ET

EDISON, N.J.--(BUSINESS WIRE)--

Mack-Cali Realty Corporation (NYSE: CLI) today reported its results for the second quarter 2007.

    Recent highlights include:

    --  Reported net income per diluted share of $0.75;

    --  Reported funds from operations per diluted share of $0.88;

    --  Completed acquisition of interests in 125 Broad Street, a
        downtown Manhattan office tower, for $273 million;

    --  Completed development and acquisition transactions for
        properties in Hamilton Township, New Jersey;

    --  Acquired 43 acres of approved land within Capital Office Park
        in Greenbelt, Maryland, for approximately $13 million;

    --  Sold a Greenwich, Connecticut property at 500 West Putnam
        Avenue for $56 million;

    --  Sold 1000 Bridgeport Avenue in Shelton, Connecticut, for
        approximately $17 million; and

    --  Declared $0.64 per share quarterly common stock dividend.

    FINANCIAL HIGHLIGHTS

Net income available to common shareholders for the second quarter 2007 equaled $51.1 million, or $0.75 per share, versus $26.6 million, or $0.43 per share, for the same quarter last year. For the six months ended June 30, 2007, net income available to common shareholders equaled $69.7 million, or $1.04 per share, versus $59.2 million, or $0.95 per share, for the same period last year.

Funds from operations (FFO) available to common shareholders for the quarter ended June 30, 2007 amounted to $73.2 million, or $0.88 per share, versus $74.4 million, or $0.95 per share, for the quarter ended June 30, 2006. For the six months ended June 30, 2007, FFO available to common shareholders amounted to $143.4 million, or $1.74 per share, versus $155.2 million, or $2.00 per share, for the same period last year.

Total revenues for the second quarter 2007 increased 9.7 percent to $200.5 million as compared to $182.8 million for the same quarter last year. For the six months ended June 30, 2007, total revenues amounted to $393.8 million, an increase of 17.7 percent over total revenues of $334.7 million, for the same period last year.

All per share amounts presented above are on a diluted basis.

The Company had 67,923,941 shares of common stock, 10,000 shares of 8 percent Series C cumulative redeemable perpetual preferred stock ($25,000 liquidation value per share), and 15,250,592 common operating partnership units outstanding as of June 30, 2007.

The Company had a total of 83,174,533 common shares/common units outstanding at June 30, 2007.

As of June 30, 2007, the Company had total indebtedness of approximately $2.1 billion, with a weighted average annual interest rate of 6.13 percent. The Company had a total market capitalization of $5.7 billion and a debt-to-undepreciated assets ratio of 38.2 percent at June 30, 2007. The Company had an interest coverage ratio of 3.3 times for the quarter ended June 30, 2007.

Mitchell E. Hersh, president and chief executive officer, commented, "During the quarter, we continued to refine our portfolio by acquiring and developing properties in our core Northeast markets, and by selling assets that did not meet our strategic goals. In addition, we expanded into the adjacent and rapidly improving downtown Manhattan market, which we believe offers synergies with our Jersey City holdings and substantial upside potential for our Company."

    The following is a summary of the Company's recent transactions:

    ACQUISITIONS / DEVELOPMENT

In May, the Company completed its development and acquisition transactions with AAA Mid-Atlantic for properties in Hamilton Township, New Jersey.

    The transactions consist of:

    --  The Company's development for AAA of a three-story, 120,000
        square-foot class A office building on a 21.6 acre land site
        at the Company's Horizon Center Business Park. AAA pre-leased
        the building, which it will use as an operations center, for
        15 years.

    --  The Company's acquisition from AAA, for approximately $8.8
        million, of two office buildings totaling 69,232 square feet
        and land for development of up to an additional 219,000 square
        feet of commercial space.

    The properties and land sites acquired consist of:

    --  A 33,962 square-foot office building on 9.5 acres of land at 2
        South Gold Drive. The site can be redeveloped to accommodate
        up to a total of 109,000 square feet of commercial space. AAA
        has leased back 9,784 square feet at the building for 10
        years.

    --  A 35,270 square-foot office building with 17.5 acres of land
        at 3 and 5 AAA Drive. The site can be redeveloped to
        accommodate up to a total of 147,000 square feet of commercial
        space.

    --  A 2.4 acre land parcel at 6 AAA Drive for the development of
        up to 32,000 square feet of commercial space.

In June, the Company completed its acquisition of commercial condominium interests in 125 Broad Street, a downtown Manhattan office tower, for $273 million. The commercial condominium units, which are 100 percent leased, were acquired from SL Green Realty Corporation. The units are comprised of floors 2-16, totaling 524,500 square feet of office space, which represents 39.6 percent of the office tower.

Also in June, the Company acquired 43 acres of approved land within Capital Office Park in Greenbelt, Maryland, for approximately $13 million. The land, which can accommodate the development of up to 602,000 square feet of office space, was acquired pursuant to an option agreement that was part of the Company's February 2006 acquisition of Capital Office Park. The seven-building class A office complex is located on the Capital Beltway northeast of Washington D.C.

SALES

In May, the Company sold 1000 Bridgeport Avenue in Shelton, Connecticut, for approximately $17 million. The 133,000 square-foot class A office building, which is 93.1 percent leased, was sold to a partnership of The Praedium Group LLC and Abbey Road Advisors LLC.

In June, the Company completed the sale of a Greenwich, Connecticut property at 500 West Putnam Avenue to SL Green Realty Corporation for $56 million. The property, which was the Company's sole asset in Greenwich, is a four-story, 121,500 square-foot office building that is 94.4 percent leased.

More recently, in July, the Company sold two office buildings in Egg Harbor Township, New Jersey, for approximately $12.5 million. The buildings, which total 80,344 square feet, were sold to an entity controlled by Ron DePietro of Haddonfield, New Jersey. The buildings are located at 100 and 200 Decadon Drive and are 100 percent leased.

DIVIDENDS

In June, the Company's Board of Directors declared a cash dividend of $0.64 per common share (indicating an annual rate of $2.56 per common share) for the second quarter 2007, which was paid on July 16, 2007 to shareholders of record as of July 5, 2007.

The Board also declared a cash dividend on its 8 percent Series C cumulative redeemable perpetual preferred stock ($25 liquidation value per depositary share, each representing 1/100th of a share of preferred stock) equal to $0.50 per depositary share for the period April 15, 2007 through July 14, 2007. The dividend was paid on July 16, 2007 to shareholders of record as of July 5, 2007.

FINANCING ACTIVITY

In June, the Company announced that its operating partnership, Mack-Cali Realty, L.P., extended and modified its unsecured revolving credit facility with a group of 23 lender banks. The $600 million unsecured facility, which is expandable to $800 million, was extended for an additional two years and now matures in June 2011. The interest rate was reduced by 10 basis points to LIBOR plus 55 basis points at the BBB/Baa2 pricing level. The interest rate is subject to adjustment, on a sliding scale, based upon the operating partnership's unsecured debt ratings.

LEASING INFORMATION

Mack-Cali's consolidated in-service portfolio was 91.9 percent leased at June 30, 2007, as compared to 92.2 percent at March 31, 2007.

For the quarter ended June 30, 2007, the Company executed 135 leases totaling 1,070,555 square feet, consisting of 759,269 square feet of office space, 303,010 square feet of office/flex space and 8,276 square feet of industrial/warehouse space. Of these totals, 380,951 square feet were for new leases and 689,604 square feet were for lease renewals and other tenant retention transactions.

    Highlights of the quarter's leasing transactions include:

    IN NORTHERN NEW JERSEY:

    --  Daiichi Sankyo, Inc., a pharmaceutical company, signed a
        10-year renewal for 89,144 square feet and a 15-year expansion
        for 96,876 square feet, totaling 186,020 square-feet and
        representing the entire office building at Two Hilton Court in
        Parsippany.

    --  MannKind Corporation, a biopharmaceutical company, signed a
        transaction totaling 59,446 square feet at 61 South Paramus
        Road in Paramus. The deal consists of a 33-month expansion of
        10,097 square feet, a 16-month expansion of 34,197 square feet
        and a 16-month renewal of 15,152 square feet. 61 South Paramus
        Road is a 269,191 square-foot office building that is 99.9
        percent leased.

    IN CENTRAL NEW JERSEY:

    --  Telecom services provider Sonus Networks, Inc. signed a new,
        eight-year lease for 28,462 square feet at 3 Paragon Way in
        Freehold. The 66,898 square-foot office building, located at
        Monmouth Executive Park, is 100 percent leased.

    IN WESTCHESTER COUNTY, NEW YORK:

    --  MetroPCS New York, LLC, a division of wireless provider
        MetroPCS Communications, Inc., signed a new, 10-year lease for
        34,870 square feet at 5 Skyline Drive in Hawthorne. This
        124,022 square-foot office/flex building is 99.3 percent
        leased.

    --  Also at 5 Skyline Drive, Conri Services, Inc., a fulfillment
        distributor, signed a new, 11-year lease for 21,222 square
        feet. Conri Services also completed a 29-month renewal for
        4,222 square feet at 250 Clearbrook Road in Elmsford. 250
        Clearbrook Road is a 155,000 square-foot office/flex building
        that is 97.3 percent leased.

    --  Publishers Circulation Fulfillment, Inc., a provider of
        distribution outsourcing, signed a transaction totaling 24,112
        square feet at 300 Executive Boulevard in Elmsford. The deal
        represents a six-year expansion for 5,712 square feet and an
        18-month renewal of 18,400 square feet. 300 Executive
        Boulevard is a 60,000 square-foot office/flex building that is
        63 percent leased.

    IN SUBURBAN PHILADELPHIA:

    --  Sussex Wine Merchants, a wine distributor, signed a five-year
        renewal for 19,075 square feet at 50 Twosome Drive in
        Moorestown. The 34,075 square-foot office/flex building is 100
        percent leased.

    IN WASHINGTON, D.C.:

    --  The General Services Administration (GSA) signed a 100-month
        expansion for 26,274 square feet at 1400 L Street N.W. in
        Washington. This expansion brings the GSA's presence at 1400 L
        Street to 140,560 square feet in this fully-leased, 159,000
        square-foot office building.

Included in the Company's Supplemental Operating and Financial Data for the second quarter 2007 are schedules highlighting the leasing statistics for both the Company's consolidated and joint venture properties.

(Due to the length of the URLs below, it may be necessary to copy and
paste them into your Internet browser's URL address field. Remove the
extra space in the URL if one exists.)

The supplemental information is available on Mack-Cali's website, as follows:

http://www.mack-cali.com/graphics/shareholders/pdfs/2nd.quarter.sp

.07.pdf

ADDITIONAL INFORMATION

The Company expressed comfort with net income and FFO per diluted share for the full year 2007, as follows:

                                                           Full Year
                                                          2007 Range
----------------------------------------------------------------------

Net income available to common shareholders              $1.50 - $1.58
Add: Real estate-related depreciation and amortization       2.39
Deduct: Gain on sale of rental property                     (0.47)
----------------------------------------------------------------------
Funds from operations available to common shareholders   $3.42 - $3.50
======================================================================

These estimates reflect management's view of current market conditions and certain assumptions with regard to rental rates, occupancy levels and other assumptions/projections. Actual results could differ from these estimates.

An earnings conference call with management is scheduled for today, August 2, 2007 at 11:00 a.m. Eastern Time, which will be broadcast live via the Internet at: http://www.corporate-ir.net/ireye/ir_site.zhtml?ticker=CLI&script=1010 &item_id=1600707

The live conference call is also accessible by calling (913) 312-1230 and requesting the Mack-Cali conference call.

The conference call will be rebroadcast on Mack-Cali's website at http://www.mack-cali.com beginning at 2:00 p.m. Eastern Time on August 2, 2007 through August 9, 2007.

A replay of the call will also be accessible during the same time period by calling (719) 457-0820 and using the pass code 5232864.

Copies of Mack-Cali's Form 10-Q and Supplemental Operating and Financial Data are available on Mack-Cali's website, as follows:

Second Quarter 2007 Form 10-Q:

http://www.mack-cali.com/graphics/shareholders/pdfs/2nd.quarter.10

q.07.pdf

Second Quarter 2007 Supplemental Operating and Financial Data:

http://www.mack-cali.com/graphics/shareholders/pdfs/2nd.quarter.sp

.07.pdf

In addition, these items are available upon request from:
Mack-Cali Investor Relations Dept.
343 Thornall Street, Edison, New Jersey 08837-2206
(732) 590-1000 ext. 1143

INFORMATION ABOUT FFO

Funds from operations ("FFO") is defined as net income (loss) before minority interest of unitholders, computed in accordance with generally accepted accounting principles ("GAAP"), excluding gains (or losses) from extraordinary items and sales of depreciable rental property (which the Company believes includes unrealized losses on properties held for sale), plus real estate-related depreciation and amortization. The Company believes that FFO per share is helpful to investors as one of several measures of the performance of an equity REIT. The Company further believes that by excluding the effect of depreciation and gains (or losses) from sales of properties (all of which are based on historical costs which may be of limited relevance in evaluating current performance), FFO per share can facilitate comparison of operating performance between equity REITs. FFO per share should not be considered as an alternative to net income per share as an indication of the Company's performance or to cash flows as a measure of liquidity. FFO per share presented herein is not necessarily comparable to FFO per share presented by other real estate companies due to the fact that not all real estate companies use the same definition. However, the Company's FFO per share is comparable to the FFO per share of real estate companies that use the current definition of the National Association of Real Estate Investment Trusts ("NAREIT"). A reconciliation of net income per share to FFO per share is included in the financial tables accompanying this press release.

ABOUT THE COMPANY

Mack-Cali Realty Corporation is a fully-integrated, self-administered, self-managed real estate investment trust (REIT) providing management, leasing, development, construction and other tenant-related services for its class A real estate portfolio. Mack-Cali owns or has interests in 300 properties, primarily office and office/flex buildings located in the Northeast, totaling approximately 34.7 million square feet. The properties enable the Company to provide a full complement of real estate opportunities to its diverse base of approximately 2,200 tenants.

Additional information on Mack-Cali Realty Corporation is available on the Company's website at http://www.mack-cali.com.

The information in this press release must be read in conjunction with, and is modified in its entirety by, the Quarterly Report on Form 10-Q (the "10-Q") filed by the Company for the same period with the Securities and Exchange Commission (the "SEC") and all of the Company's other public filings with the SEC (the "Public Filings"). In particular, the financial information contained herein is subject to and qualified by reference to the financial statements contained in the 10-Q, the footnotes thereto and the limitations set forth therein. Investors may not rely on the press release without reference to the 10-Q and the Public Filings.

Statements made in this press release may be forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements can be identified by the use of words such as "may," "will," "plan," "should," "expect," "anticipate," "estimate," "continue," or comparable terminology. Such forward-looking statements are inherently subject to certain risks, trends and uncertainties, many of which the Company cannot predict with accuracy and some of which the Company might not even anticipate, and involve factors that may cause actual results to differ materially from those projected or suggested. Readers are cautioned not to place undue reliance on these forward-looking statements and are advised to consider the factors listed above together with the additional factors under the heading "Disclosure Regarding Forward-Looking Statements" and "Risk Factors" in the Company's Annual Reports on Form 10-K, as may be supplemented or amended by the Company's Quarterly Reports on Form 10-Q, which are incorporated herein by reference. The Company assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events, new information or otherwise.

                     Mack-Cali Realty Corporation
                Consolidated Statements of Operations
         (in thousands, except per share amounts) (unaudited)

                                                      Quarter Ended
                                                         June 30,
Revenues                                              2007     2006
----------------------------------------------------------------------
Base rents                                          $142,482 $133,333
Escalations and recoveries from tenants               25,766   23,272
Construction services                                 23,469   13,049
Real estate services                                   4,959    7,734
Other income                                           3,854    5,401
----------------------------------------------------------------------
  Total revenues                                     200,530  182,789
----------------------------------------------------------------------

Expenses
----------------------------------------------------------------------
Real estate taxes                                     23,852   21,162
Utilities                                             15,329   13,214
Operating services                                    27,348   25,880
Direct construction costs                             22,634   12,579
General and administrative                            12,870   11,846
Depreciation and amortization                         43,823   39,476
----------------------------------------------------------------------
  Total expenses                                     145,856  124,157
----------------------------------------------------------------------
Operating income                                      54,674   58,632

Other (Expense) Income
----------------------------------------------------------------------
Interest expense                                     (31,333) (33,034)
Interest and other investment income                   1,571      399
Equity in earnings (loss) of unconsolidated joint
 ventures                                             (1,696)    (846)
Minority interest in consolidated joint ventures         214       30
----------------------------------------------------------------------
Total other (expense) income                         (31,244) (33,451)
----------------------------------------------------------------------
Income from continuing operations before Minority
 interest in Operating Partnership                    23,430   25,181
Minority interest in Operating Partnership            (4,197)  (4,950)
----------------------------------------------------------------------
Income from continuing operations                     19,233   20,231
Discontinued operations (net of minority interest):
  Income from discontinued operations                    598    2,982
Realized gains (losses) and unrealized losses on
 disposition of rental property, net                  31,747    3,921
----------------------------------------------------------------------
Total discontinued operations, net                    32,345    6,903
----------------------------------------------------------------------
Net income                                            51,578   27,134
  Preferred stock dividends                             (500)    (500)
----------------------------------------------------------------------
Net income available to common shareholders         $ 51,078 $ 26,634
======================================================================

PER SHARE DATA:
----------------------------------------------------------------------
Basic earnings per common share                     $   0.75 $   0.43

Diluted earnings per common share                   $   0.75 $   0.43

Dividends declared per common share                 $   0.64 $   0.63
----------------------------------------------------------------------

Basic weighted average shares outstanding             67,799   62,182
----------------------------------------------------------------------

Diluted weighted average shares outstanding           83,193   78,067
----------------------------------------------------------------------
                     Mack-Cali Realty Corporation
                Consolidated Statements of Operations
         (in thousands, except per share amounts) (unaudited)

                                                     Six Months Ended
                                                         June 30,
Revenues                                              2007     2006
----------------------------------------------------------------------
Base rents                                          $282,039 $260,839
Escalations and recoveries from tenants               51,986   44,243
Construction services                                 45,810   13,049
Real estate services                                   7,700    8,363
Other income                                           6,252    8,184
----------------------------------------------------------------------
  Total revenues                                     393,787  334,678
----------------------------------------------------------------------

Expenses
----------------------------------------------------------------------
Real estate taxes                                     47,322   41,932
Utilities                                             32,874   27,670
Operating services                                    51,974   46,036
Direct construction costs                             43,545   12,579
General and administrative                            23,940   20,621
Depreciation and amortization                         85,274   75,955
----------------------------------------------------------------------
  Total expenses                                     284,929  224,793
----------------------------------------------------------------------
Operating income                                     108,858  109,885

Other (Expense) Income
----------------------------------------------------------------------
Interest expense                                     (62,269) (64,109)
Interest and other investment income                   3,188    1,845
Equity in earnings (loss) of unconsolidated joint
 ventures                                             (3,927)    (599)
Minority interest in consolidated joint ventures         441       30
Gain on sale of investment in marketable securities       --   15,060
----------------------------------------------------------------------
Total other (expense) income                         (62,567) (47,773)
----------------------------------------------------------------------
Income from continuing operations before Minority
 interest in Operating Partnership                    46,291   62,112
Minority interest in Operating Partnership            (8,418) (11,790)
----------------------------------------------------------------------
Income from continuing operations                     37,873   50,322
Discontinued operations (net of minority interest):
 Income from discontinued operations                   1,037    5,988
Realized gains (losses) and unrealized losses on
disposition of rental property, net                   31,747    3,921
----------------------------------------------------------------------
Total discontinued operations, net                    32,784    9,909
----------------------------------------------------------------------
Net income                                            70,657   60,231
  Preferred stock dividends                           (1,000)  (1,000)
----------------------------------------------------------------------
Net income available to common shareholders         $ 69,657 $ 59,231
======================================================================

PER SHARE DATA:
----------------------------------------------------------------------
Basic earnings per common share                     $   1.04 $   0.95

Diluted earnings per common share                   $   1.04 $   0.95

Dividends declared per common share                 $   1.28 $   1.26
----------------------------------------------------------------------

Basic weighted average shares outstanding             66,753   62,085
----------------------------------------------------------------------

Diluted weighted average shares outstanding           82,220   77,359
----------------------------------------------------------------------
                     Mack-Cali Realty Corporation
                 Statements of Funds from Operations
      (in thousands, except per share/unit amounts) (unaudited)

                                                       Quarter Ended
                                                         June 30,
                                                       2007     2006
----------------------------------------------------------------------
Net income available to common shareholders          $ 51,078 $26,634
Add: Minority interest in Operating Partnership         4,197   4,950
  Minority interest in discontinued operations          7,247   1,732
  Real estate-related depreciation and amortization
   on continuing operations (1)                        49,569  42,852
  Real estate-related depreciation and amortization
   on discontinued operations                              18   3,156
Deduct: Discontinued operations - Realized gains
 (losses) and unrealized losses on disposition of
 rental property, net                                 (38,860) (4,905)
----------------------------------------------------------------------
Funds from operations available to common
 shareholders (2)                                    $ 73,249 $74,419
======================================================================

Diluted weighted average shares/units outstanding (3)  83,193  78,067

Funds from operations per share/unit - diluted       $   0.88 $  0.95

Dividends declared per common share                  $   0.64 $  0.63

Dividend payout ratio:
  Funds from operations-diluted                         72.69%  66.09%

Supplemental Information:
Non-incremental revenue generating capital
 expenditures:
  Building improvements                              $  2,648 $ 2,436
  Tenant improvements and leasing commissions        $ 10,049 $18,706
Straight-line rent adjustments (4)                   $  2,531 $ 6,208
Amortization of (above)/below market lease
 intangibles, net (5)                                $  1,024 $   361

(1) Includes the Company's share from unconsolidated joint ventures of
 $5,905 and $3,518 for 2007 and 2006, respectively.
(2) Funds from operations for both periods are calculated in
 accordance with the National Association of Real Estate Investment
 Trusts (NAREIT) definition. For further discussion, see "Information
 About FFO" in this release.
(3) Calculated based on weighted average common shares outstanding,
 assuming redemption of Operating Partnership common units into common
 shares, (15,191 shares in 2007 and 15,599 shares in 2006), plus
 dilutive Common Stock Equivalents (i.e. stock options).
(4) Includes the Company's share from unconsolidated joint ventures of
 $649 and $932 for 2007 and 2006, respectively.
(5) Includes the Company's share from unconsolidated joint ventures of
 $399 and $0 for 2007 and 2006, respectively
                     Mack-Cali Realty Corporation
                 Statements of Funds from Operations
      (in thousands, except per share/unit amounts) (unaudited)

                                                     Six Months Ended
                                                         June 30,
                                                      2007     2006
----------------------------------------------------------------------
Net income available to common shareholders         $ 69,657 $ 59,231
Add: Minority interest in Operating Partnership        8,418   11,790
  Minority interest in discontinued operations         7,349    2,427
  Real estate-related depreciation and amortization
   on continuing operations (1)                       96,375   80,323
  Real estate-related depreciation and amortization
   on discontinued operations                            424    6,319
Deduct: Discontinued operations - Realized gains
 (losses) and unrealized losses on disposition of
 rental property, net                                (38,860)  (4,905)
----------------------------------------------------------------------
Funds from operations available to common
 shareholders (2)                                   $143,363 $155,185
======================================================================

Diluted weighted average shares/units outstanding
 (3)                                                  82,220   77,359

Funds from operations per share/unit - diluted      $   1.74 $   2.00

Dividends declared per common share                 $   1.28 $   1.26

Dividend payout ratio:
Funds from operations-diluted                          73.41%   62.81%

Supplemental Information:
Non-incremental revenue generating capital
 expenditures:
  Building improvements                             $  5,137 $  4,391
  Tenant improvements and leasing commissions       $ 21,822 $ 30,676
Straight-line rent adjustments (4)                  $  7,240 $ 12,601
Amortization of (above)/below market lease
 intangibles, net (5)                               $  1,591 $  1,025

(1) Includes the Company's share from unconsolidated joint ventures of
 $11,415 and $4,657 for 2007 and 2006, respectively.
(2) Funds from operations for both periods are calculated in
 accordance with the National Association of Real Estate Investment
 Trusts (NAREIT) definition. For further discussion, see "Information
 About FFO" in this release.
(3) Calculated based on weighted average common shares outstanding,
 assuming redemption of Operating Partnership common units into common
 shares, (15,238 shares in 2007 and 14,968 shares in 2006), plus
 dilutive Common Stock Equivalents (i.e. stock options).
(4) Includes the Company's share from unconsolidated joint ventures of
 $1,446 and $1,141 for 2007 and 2006, respectively.
(5) Includes the Company's share from unconsolidated joint ventures of
 $671 and $0 for 2007 and 2006, respectively
                     Mack-Cali Realty Corporation
        Statements of Funds from Operations Per Diluted Share
  (amounts are per diluted share, except share count in thousands)
                              (unaudited)

                                                       Quarter Ended
                                                          June 30,
                                                        2007    2006
----------------------------------------------------------------------
Net income available to common shareholders           $  0.75 $  0.43
 Add: Real estate-related depreciation and
  amortization on continuing operations (1)              0.60    0.55
      Real estate-related depreciation and
       amortization on discontinued operations             --    0.04
Deduct: Discontinued operations - Realized gains
 (losses) and unrealized losses on disposition of
 rental property, net                                   (0.47)  (0.06)
Minority interest / rounding adjustment                    --   (0.01)
----------------------------------------------------------------------

Funds from operations available to common shareholders
 (2)                                                  $  0.88 $  0.95
======================================================================

Diluted weighted average shares/units outstanding (3)  83,193  78,067
----------------------------------------------------------------------

(1) Includes the Company's share from unconsolidated joint ventures of
 $0.07 and $0.05 for 2007 and 2006, respectively.
(2) Funds from operations for both periods are calculated in
 accordance with the National Association of Real Estate Investment
 Trusts (NAREIT) definition. For further discussion, see "Information
 About FFO" in this release.
(3) Calculated based on weighted average common shares outstanding,
 assuming redemption of Operating Partnership common units into common
 shares (15,191 shares in 2007 and 15,599 shares in 2006), plus
 dilutive Common Stock Equivalents (i.e. stock options).
                     Mack-Cali Realty Corporation
        Statements of Funds from Operations Per Diluted Share
  (amounts are per diluted share, except share count in thousands)
                              (unaudited)

                                                      Six Months Ended
                                                          June 30,
                                                        2007    2006
----------------------------------------------------------------------
Net income available to common shareholders           $  1.04 $  0.95
  Add: Real estate-related depreciation and
   amortization on continuing operations (1)             1.17    1.04
       Real estate-related depreciation and
        amortization on discontinued operations          0.01    0.08
Deduct: Discontinued operations - Realized gains
 (losses) and unrealized losses on disposition of
 rental property, net                                   (0.47)  (0.06)
Minority interest / rounding adjustment                 (0.01)  (0.01)
----------------------------------------------------------------------

Funds from operations available to common shareholders
 (2)                                                  $  1.74 $  2.00
======================================================================

Diluted weighted average shares/units outstanding (3)  82,220  77,359
----------------------------------------------------------------------

(1) Includes the Company's share from unconsolidated joint ventures of
 $0.14 and $0.06 for 2007 and 2006, respectively.
(2) Funds from operations for both periods are calculated in
 accordance with the National Association of Real Estate Investment
 Trusts (NAREIT) definition. For further discussion, see "Information
 About FFO" in this release.
(3) Calculated based on weighted average common shares outstanding,
 assuming redemption of Operating Partnership common units into common
 shares (15,238 shares in 2007 and 14,968 shares in 2006), plus
 dilutive Common Stock Equivalents (i.e. stock options).
                     Mack-Cali Realty Corporation
                     Consolidated Balance Sheets
           (in thousands, except share amounts) (unaudited)

                                                June 30,  December 31,
                                                  2007        2006
----------------------------------------------------------------------
ASSETS:
Rental property
  Land and leasehold interests                 $  722,777  $  659,169
  Buildings and improvements                    3,736,777   3,549,699
  Tenant improvements                             365,469     356,495
  Furniture, fixtures and equipment                 8,496       8,224
----------------------------------------------------------------------
                                                4,833,519   4,573,587
  Less-accumulated deprec. & amort.              (833,492)   (796,793)
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                                                4,000,027   3,776,794
Rental property held for sale, net                  5,826          --
----------------------------------------------------------------------
  Net investment in rental property             4,005,853   3,776,794
Cash and cash equivalents                          18,903     101,223
Investments in unconsolidated joint ventures      181,059     160,301
Unbilled rents receivable, net                    106,215     100,847
Deferred charges and other assets, net            261,965     240,637
Restricted cash                                    16,795      15,448
Accounts receivable, net                           29,432      27,639
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Total assets                                   $4,620,222  $4,422,889
======================================================================

LIABILITIES AND STOCKHOLDERS' EQUITY:
Senior unsecured notes                         $1,632,014  $1,631,482
Revolving credit facility                         115,000     145,000
Mortgages, loans payable and other obligations    336,534     383,477
Dividends and distributions payable                53,689      50,591
Accounts payable, accrued expenses and other
 liabilities                                      146,689     122,134
Rents received in advance and security deposits    51,116      45,972
Accrued interest payable                           33,832      34,106
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 Total liabilities                              2,368,874   2,412,762
----------------------------------------------------------------------

Minority interests:
  Operating Partnership                           475,226     480,103
  Consolidated joint ventures                       1,555       2,117
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Total minority interests                          476,781     482,220
----------------------------------------------------------------------
Commitments and contingencies

Stockholders' equity:
Preferred stock, $0.01 par value, 5,000,000
 shares authorized, 10,000 and 10,000 shares
 outstanding, at liquidation preference            25,000      25,000
Common stock, $0.01 par value, 190,000,000
 shares authorized, 67,923,941 and 62,925,191
 shares outstanding                                   679         629
Additional paid-in capital                      1,971,901   1,708,053
Dividends in excess of net earnings              (223,013)   (205,775)
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  Total stockholders' equity                    1,774,567   1,527,907
----------------------------------------------------------------------

Total liabilities and stockholders' equity     $4,620,222  $4,422,889
======================================================================

Source: Mack-Cali Realty Corporation

Contact: Mack-Cali Realty Corporation Barry Lefkowitz, 732-590-1000 Executive Vice President and Chief Financial Officer or Virginia Sobol, 732-590-1000 Vice President, Marketing and Public Relations