Re Agreement

Crest Nicholson PLC
15 March 2006

                                                                   15 March 2006


Selection as preferred lead development partner for £250m regeneration project
in Southampton


Crest Nicholson PLC (Crest), the residential and mixed use development company,
today announces that it has been selected by the South East England Development
Agency (SEEDA) as the preferred lead development partner for its 12.5 hectare
(30 acre) Woolston Riverside site in Southampton.

Chosen for its strong track record in the successful delivery of large scale
waterfront developments, Crest was selected from an initial tender list of 22
and a shortlist of five potential development partners. Crest will deliver the
residential elements of the scheme and associated retail, leisure and
community facilities.

Preparation works on the former shipyard site are expected to commence in spring
2007. This will include provision of a new central piazza with waterfront
access. The development will include approximately 1,500 homes together with a
range of uses including retail, leisure and community facilities. Work on the
first residential units is anticipated to commence in summer 2007 with an
overall eight year development programme.


Stephen Stone, Crest's Chief Executive, said:

"We are delighted to have been selected as the lead development partner for this
high profile and exciting mixed-use development. In partnership with SEEDA and
Southampton City Council we will work to create a vibrant and thriving new
community at Woolston Riverside, a site which, due to its previous use as a
shipyard, has been inaccessible to the public for over a century."

SEEDA's Development Projects Direct, Peter Cusdin, commented:

"We are delighted to be working in partnership with Crest Nicholson - the
company has resources and experience to deliver a unique and landmark
development on the site. Our vision for Woolston Riverside is to create a
neighbourhood with a distinctive character, to provide quality homes, employment
opportunities, open space and community facilities."


-ENDS-


cont'd....


Enquiries to:


Kate Miller/Robert Gardener

Brunswick Group LLP

Tel: [phone]



Jenni Williamson, PR Manager

Development & Infrastructure

SEEDA

Tel: [phone]

Email: [e-mail]



Notes to editors


Crest Nicholson PLC (Crest)

Crest, the residential and mixed used development company, is a leading
developer of sustainable communities and large scale urban regeneration schemes
throughout the UK. The Company's vision and values, combined with its experience
gained from its existing portfolio of major projects, makes the company well
equipped to lead the complex and challenging process of delivering sustainable
communities.


Current urban regeneration projects include developments at Port Marine
(Portishead), Bristol Harbourside, Ingress Park (Greenhithe), Park Central
(Birmingham) and Riverside (Hemel Hempstead). In addition the Company has a
significant pipeline of agreed urban regeneration projects including Oakgrove
(Milton Keynes), Penarth Heights (Cardiff) and Bath Western Riverside.


For further information see www.crestnicholson.com.


SEEDA

SEEDA is the lead public sector body for delivering regeneration and physical
development in the South East region. The agency works closely with Government,
local authority partners and the private sector to deliver national and regional
priorities, such as the three growth areas - Thames Gateway, Ashford and Milton
Keynes.


For further information see www.seeda.co.uk.


Woolston Riverside Site

SEEDA owns the 12.5 hectare, former VT Group shipyard site in Woolston,
Southampton. The VT Group has relocated its operations to new bespoke facilities
in Portsmouth. The site is situated on the east bank of the River Itchen in a
prominent waterfront location, south of the Itchen Toll Bridge. It lies directly
opposite the existing development known as Ocean Village.



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