NRI Neuberger Berman Rlty Fd

The Board of Directors of Neuberger Berman Realty Income Fund Inc. (the ๏ฟฝ Fund๏ฟฝ), which trades on the New York Stock Exchange under ticker symbol NRI, has declared a special distribution of $0.66550 per share payable on December 29, 2006 to shareholders of record on December 15, 2006. The special distribution helps the Fund meet its 2006 distribution requirements for federal tax purposes. The distribution declared today, as well as future distributions, may consist of net investment income, realized capital gains and return of capital. The Fund invests a significant portion of its assets in securities issued by real estate investment trusts (๏ฟฝREITs๏ฟฝ). The distributions the Fund receives from REITs are generally comprised of income, capital gains, and return of capital but the REITs do not report this information to the Fund until the following calendar year. After calendar year-end, when the Fund learns the actual nature of distributions it received from the REITs during that year, distributions previously identified as income are often recharacterized as a return of capital and/or capital gain. In compliance with Section 19 of the Investment Company Act of 1940, as amended, a notice would be provided for any distribution that does not consist solely of net investment income. This notice would be for informational purposes, and would disclose, among other things, estimated portions of the distribution, if any, consisting of net investment income, capital gains and return of capital. Neuberger Berman Management Inc., the Fund ๏ฟฝs investment manager, is a subsidiary of Neuberger Berman Inc., an investment advisory company serving individuals, families, and taxable and non-taxable institutions with a broad range of investment products, services and strategies. A Lehman Brothers company, Neuberger Berman engages in wealth management services including private asset management, tax and financial planning, and personal and institutional trust services; mutual funds, institutional management and alternative investments; and professional securities services. For further information about Neuberger Berman please visit www.nb.com. Lehman Brothers (ticker symbol: LEH), an innovator in global finance, serves the financial needs of corporations, governments and municipalities, institutional clients, and high net worth individuals worldwide. Founded in 1850, Lehman Brothers maintains leadership positions in investment banking, equity and fixed income sales, trading and research, private investment management, asset management and private equity. The Firm is headquartered in New York, with regional headquarters in London and Tokyo, and operates in a network of offices around the world. For further information about Lehman Brothers๏ฟฝ services, products and recruitment opportunities, visit the Firm๏ฟฝs Web site at www.lehman.com. Statements made in this release that look forward in time involve risks and uncertainties and are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such risks and uncertainties include, without limitation, the adverse effect from a decline in the securities markets or a decline in the Fund's performance, a general downturn in the economy, competition from other closed-end investment companies, changes in government policy or regulation, inability of the Fund๏ฟฝs investment adviser to attract or retain key employees, inability of the Fund to implement its investment strategy, inability of the Fund to manage rapid expansion and unforeseen costs and other effects related to legal proceedings or investigations of governmental and self-regulatory organizations. The Board of Directors of Neuberger Berman Realty Income Fund Inc. (the " Fund"), which trades on the New York Stock Exchange under ticker symbol NRI, has declared a special distribution of $0.66550 per share payable on December 29, 2006 to shareholders of record on December 15, 2006. The special distribution helps the Fund meet its 2006 distribution requirements for federal tax purposes. The distribution declared today, as well as future distributions, may consist of net investment income, realized capital gains and return of capital. The Fund invests a significant portion of its assets in securities issued by real estate investment trusts ("REITs"). The distributions the Fund receives from REITs are generally comprised of income, capital gains, and return of capital but the REITs do not report this information to the Fund until the following calendar year. After calendar year-end, when the Fund learns the actual nature of distributions it received from the REITs during that year, distributions previously identified as income are often recharacterized as a return of capital and/or capital gain. In compliance with Section 19 of the Investment Company Act of 1940, as amended, a notice would be provided for any distribution that does not consist solely of net investment income. This notice would be for informational purposes, and would disclose, among other things, estimated portions of the distribution, if any, consisting of net investment income, capital gains and return of capital. Neuberger Berman Management Inc., the Fund 's investment manager, is a subsidiary of Neuberger Berman Inc., an investment advisory company serving individuals, families, and taxable and non-taxable institutions with a broad range of investment products, services and strategies. A Lehman Brothers company, Neuberger Berman engages in wealth management services including private asset management, tax and financial planning, and personal and institutional trust services; mutual funds, institutional management and alternative investments; and professional securities services. For further information about Neuberger Berman please visit www.nb.com. Lehman Brothers (ticker symbol: LEH), an innovator in global finance, serves the financial needs of corporations, governments and municipalities, institutional clients, and high net worth individuals worldwide. Founded in 1850, Lehman Brothers maintains leadership positions in investment banking, equity and fixed income sales, trading and research, private investment management, asset management and private equity. The Firm is headquartered in New York, with regional headquarters in London and Tokyo, and operates in a network of offices around the world. For further information about Lehman Brothers' services, products and recruitment opportunities, visit the Firm's Web site at www.lehman.com. Statements made in this release that look forward in time involve risks and uncertainties and are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such risks and uncertainties include, without limitation, the adverse effect from a decline in the securities markets or a decline in the Fund's performance, a general downturn in the economy, competition from other closed-end investment companies, changes in government policy or regulation, inability of the Fund's investment adviser to attract or retain key employees, inability of the Fund to implement its investment strategy, inability of the Fund to manage rapid expansion and unforeseen costs and other effects related to legal proceedings or investigations of governmental and self-regulatory organizations.