Acquisitions

DERWENT VALLEY HOLDINGS PLC
7 September 1999


       DERWENT VALLEY ACQUIRES £12M OF CENTRAL LONDON PROPERTY

The Derwent Valley Group (Derwent) has agreed a property swap with Compco
Holdings plc (Compco), whereby it will acquire Compco's 3,110m2 (33,500 sq. ft.)
freehold office buiding at 16-19 Gresse Street, W1 for £9.25 million.  The
property, which has 26 surface car parking spaces, is let to the Building Design
Partnership until September 2003 at £780,000 per annum.  Derwent will satisfy
£5.5 million of the consideration by transferring to Compco 12 properties of
principally office and retail accommodation in Lambs Conduit Street, WC1,
totalling 3,810m2 (41,000 sq. ft) and currently producing £425,000 per annum.
The balance of the consideration will be paid by cash.

In a separate transaction, Derwent has also exchanged contracts to acquire, for 
£2.75 million, a 48 year headlease of a 1,020m2 (11,00 sq. ft.) office building
at 7/8 Rathbone Place, W1, with a current income of £214,500 per annum.  This
property, together with 16-19 Gresse Street, have the potential for a
substantial future development opportunity.  Both buildings are located close
to a number of Derwent's existing properties, including Holden House, 57
Rathbone Place, W1, where Derwent are currently refurbishing 3,715m2 (40,000sq.
ft.) of office accommodation.

Contact: John Burns
         Derwent Valley Holdings plc
         0171 486 4848


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