Prelim results 2008 press release

14 May 2008

LAND SECURITIES GROUP PLC (Land Securities)

Preliminary results for the year ended 31 March 2008

"Whilst Land Securities has not been immune to the general market trends in
property values, we have performed well in each of our three divisions and
achieved significant out performance against IPD. Our moderate gearing levels,
well timed development programme and active approach to asset management
position the Company well for the current market."

Results Summary

                    2008                2007                change             
                                                                               
Valuation deficit / (£1,279.6m)         £1,396.1m           n/a                
surplus                                                                        
                                                                               
Basic NAV           2067pence           2304 pence          Down 10.3%         
                                                                               
Adjusted diluted    1956 pence          2181 pence          Down 10.3%         
NAV*                                                                           
                                                                               
Pre-tax profit /    (£888.8m)           £1,979.1            n/a                
loss**                                                                         
                                                                               
Revenue profit      £379.1              £392.2              Down 3.3%          
                                                                               
Basic EPS           (188.80 pence)      753.59 pence        n/a                
                                                                               
Adjusted diluted    81.71 pence         70.20 pence         Up 16.4%           
EPS                                                                            
                                                                               
Adjusted Gearing ** 67.5%               58.8%               n/a                
*                                                                              
                                                                               
Dividend            64.0 pence          53.0 pence          Up 20.8%           

*Our key valuation measure ** Includes revaluation deficit, profits/loss on
disposals and exceptional items *** Including notional share of joint ventures

Highlights

Performance

  * All three businesses, London, Retail and Trillium performed well
   
  * £58.5m p.a. of development lettings in year
   
  * £1.56bn of investment property sales - 5.3% above March 07 valuation
    (before disposal costs)
   
  * £0.81bn of capital released from Trillium Investment Partners Fund
   
  * Investment portfolio valuation down 8.8%
   
  * IPD outperformance on investment properties
   
      + IPD All Property + 6.5%
       
      + IPD London Office +4.3%
       
      + IPD Shopping Centre + 4.6%
       
      + IPD Retail Warehouses + 5.5%
       
London

  * 1.6m sq ft of new developments completed and 94% let
   
  * Total sales of £716.2m at 8.2% above March 07 valuation
   
  * Timing of development pipeline well matched to economic cycle
   
Retail

  * Completed and launched three developments, Exeter 95% let, Cambridge 100%
    let and Corby 75% let
   
  * Total sales of £839m at 2.3% above valuation
   
  * Launched and grew the Harvest Partnership joint venture with J Sainsbury
   
Trillium

  * Successful launch of £1.1bn Trillium Investment Partners fund
   
  * Positive return on capital of 9.5%
   
  * New business wins in key strategic areas including education and waste
   
Demerger

  * Good progress on plans for the demerger. New Chairmen selected for each
    business
   
  * Discussions with rating agencies indicate likely ratings of AA for separate
    London and Retail debt programmes, in line with current Group arrangements
   
  * Timing on implementation to be guided by market conditions
   
Commenting on the results, Francis Salway, Chief Executive said:

"The market is demanding but we have performed well in relative terms this year
and our results show considerable success in terms of value preservation in the
face of a sharply falling market. As a result, we are well placed in our London
and Retail investment businesses, with moderate gearing levels, a well-timed
development programme and strong portfolios matched to occupiers' needs.
Trillium is in excellent health with stable long-term cashflows and a robust
pipeline of new opportunities across a number of growing sectors. I am
confident our businesses have the strength and scale to thrive.

"How occupiers respond to current economic conditions will prove key over the
next 12 months. We are alive to the challenges involved and we will concentrate
on competing hard in this environment while preparing for the next set of
opportunities.

In summary we are well placed in the short term and for the medium to longer
term, we have a plan for sustained value creation through demerger on which we
are steadily progressing our plans."

                                    -Ends-                                     

Notes to editors

Land Securities Group PLC

  * Land Securities is the UK's leading Real Estate Investment Trust with a
    national portfolio of commercial property worth almost £14bn. Our
    investment portfolio has around 60 retail parks and shopping centres
    including Birmingham's Bullring centre and Exeter's award-winning
    Princesshay site.
   
  * Half our portfolio is in London, where we own many landmark buildings such
    as the Piccadilly Lights and Westminster City Hall and are developing some
    of the capital's most innovative mixed-use schemes, such as Cardinal Place,
    Victoria and New Street Square in Mid-town.
   
  * Land Securities' multi billion pound development programme is transforming
    regional city centres including Bristol, Cardiff, Glasgow and Leeds, key
    sites in Central London and delivering long-term, large-scale regeneration
    projects in the South East.
   
  * Land Securities Trillium is the principal name in property outsourcing and
    partnerships. We focus on understanding our customers' business and
    property requirements and meeting them through excellent service and
    innovation. We manage and provide services to numerous commercial
    properties nationwide, for a growing number of companies and government
    departments.
   
Land Securities will be holding a results presentation today at 9.00am (GMT)
and a live web-cast will be available at www.landsecurities.com/prelims2008

An interview with Francis Salway, Group Chief Executive, and Martin Greenslade,
Group Finance Director, is available at www.landsecurities.com/prelims2008

For further info, please contact:

Francis Salway / Donal McCabe             John Sunnucks / David Allchurch      
                                                                               
Land Securities Group PLC                 Tulchan Communications               
                                                                               
T [phone]                     T [phone]