EXHIBIT 99.1


            HALLWOOD REALTY PARTNERS, L.P. ANNOUNCES MERGER AGREEMENT

DALLAS, April 16, 2004 - Hallwood Realty Partners, L.P. (AMEX: HRY) (the
"Partnership") today announced that it and certain of its affiliates have
entered into an Agreement and Plan of Merger with HRPT Properties Trust,
pursuant to which the Partnership will merge with a subsidiary of HRPT. As a
result of the merger, the Partnership will become a wholly-owned subsidiary of
HRPT and will no longer be a publicly traded limited partnership.

      In the merger, each holder of limited partnership units of the Partnership
will receive an amount in cash equal to approximately $137.91 per unit of
limited partnership ("Unit"), subject to adjustment in certain circumstances.
Completion of the merger is subject to certain conditions, including approval by
the unitholders of the merger agreement and the merger.


      The Hallwood Group Incorporated, the indirect sole owner of Hallwood
Realty, LLC, the general partner of the Partnership (the "General Partner") and
its real estate subsidiaries have also entered into a purchase agreement,
pursuant to which HRPT will purchase the general partner interest in the
Partnership, the 330,432 Units indirectly owned by Hallwood Group, and the
interests in each of the other entities through which Hallwood Group holds
interests in the Partnership, for an aggregate purchase price of approximately
$66,800,000, subject to adjustment corresponding to any adjustments in the price
being paid for the Units in the merger. In addition, Hallwood Group and the
Partnership have agreed that the agreements for the management of the
Partnership's properties by Hallwood Group will be terminated. In the purchase
agreement, Hallwood Group has also agreed to vote all of the Units it owns in
favor of the merger.

      The total cash price HRPT is paying under the merger agreement and the
purchase agreement will be approximately $250,000,000, subject to the adjustment
referred to above. In addition, HRPT will assume or prepay all of the
Partnership's outstanding debt. Anthony J. Gumbiner, Chairman of the General
Partner, commented: "We are very excited about this transaction. After careful
deliberation, the board of directors has unanimously concluded that the merger
provides the best opportunity for all of our partners to realize the value of
their interests in the Partnership."

      In connection with the merger agreement, the Partnership amended its Unit
Purchase Rights Agreement to provide, among other things, that the rights will
not be triggered by the merger agreement or the purchase agreement.

      The Partnership will file a preliminary proxy statement with the SEC in
connection with a special meeting of unitholders to be held to approve the
merger agreement and the merger. After the SEC reviews the preliminary proxy
statement, the Partnership plans to mail a definitive proxy statement to its
unitholders. The proxy statement will contain important information about the
Partnership, HRPT, the merger and related matters. Investors and unitholders are
urged to read the proxy statement carefully and in its entirety when it is
available. The Partnership anticipates that the special meeting will be held in
mid-summer of this year.

      Morgan Stanley & Co. Incorporated served as exclusive financial advisor to
the board of directors of Hallwood Realty, LLC. Lehman Brothers Inc. served as
exclusive financial advisor to the audit committee of the board of directors of
Hallwood Realty, LLC.

ADDITIONAL INFORMATION

      HRPT and the Partnership file annual, quarterly and special reports and
other information with the U.S. Securities and Exchange Commission. You may read
and copy any reports, statements and other information filed by HRPT and the
Partnership by visiting the SEC's website at www.sec.gov or at the SEC public
reference rooms at 450 Fifth Street, N.W., Washington, D.C. 20549 or at the
Commission's other public reference rooms in New York, New York and Chicago,
Illinois. Please call the SEC at 800-SEC-0330 for further information on public
reference rooms. These documents may also be obtained for free from the
Partnership.

INFORMATION ABOUT THE PARTNERSHIP AND HRPT

      The Partnership is a publicly traded Delaware limited partnership engaged
in the acquisition, ownership and operation of commercial real estate assets and
owns 15 properties in seven metropolitan areas.

      HRPT is a real estate investment trust, or REIT, formed in 1986 under the
laws of the State of Maryland. Its primary business is the ownership and
operation of real estate, including office buildings and leased industrial land.
As of December 31, 2003, HRPT owned 238 properties for a total investment of
$3.9 billion at cost, and a depreciated book value of $3.5 billion.

FORWARD-LOOKING INFORMATION

      Certain statements in this news release may constitute "forward-looking
statements" which are subject to known and unknown risks and uncertainties
including, among other things, certain economic conditions, competition,
development factors and operating costs that may cause the actual results to
differ materially from results implied by such forward-looking statements. These
risks and uncertainties are described in greater detail in the Partnership's
periodic filings with the SEC.

      Investor contact:       Bob Marese
                              MacKenzie Partners, Inc.
                              212-929-5405

      Media contact:          Roy Winnick
                              Kekst and Company
                              212-521-4842


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