Acquisition

Grainger Trust PLC
02 March 2006





FOR IMMEDIATE RELEASE

2nd March 2006



GRAINGER JOINT VENTURE ACQUIRES £167M CHURCH COMMISSIONERS RESIDENTIAL PORTFOLIO


Grainger Trust plc ('Grainger') today announces that, in a joint venture with
Genesis Housing Group ('Genesis'), it has exchanged contracts to acquire 976
predominantly residential properties from the Church Commissioners for a total
consideration of £167m. Completion is anticipated within the next few weeks.


Subsidiaries of Grainger and Genesis have formed Grainger GenInvest No. 2 (2006)
LLP ('Grainger GenInvest'), a new 50/50 joint venture limited liability
partnership to acquire a London-based portfolio located in Waterloo, Winchester
Park, Vauxhall, Walworth (all south London) and Pimlico.  Of the total, 327
units are held under regulated tenancies while the remainder are assured and
other tenancies.


The consideration is intended to be satisfied by contributions from both members
of Grainger GenInvest contributing up to £10m in cash from their existing
resources with the balance funded by Grainger GenInvest through non-recourse
finance.


Grainger GenInvest intends to continue the programme of improvements initiated
by the Church Commissioners and to that end it plans to allocate resources to be
invested in the portfolio over the next five years.


Following completion of the acquisition a subsidiary of Grainger will provide
asset management services to the portfolio and the day-to-day management of the
portfolio will be undertaken by Pathmeads Housing Association, a subsidiary of
Genesis, one of the UK's oldest and most respected social landlords.



Rupert Dickinson, Chief Executive of Grainger, said: 'We are delighted that
through Grainger GenInvest we are able to acquire a first class residential
portfolio. It also reflects well on our ability to responsibly manage portfolios
in the best interests of both our tenants and our shareholders.'




                                      Ends




Contact:

Grainger Trust plc

Rupert Dickinson, Chief Executive                            Tel: [phone]

Andrew Cunningham, Deputy Chief Executive 
and Finance Director                                         Tel: [phone]

Baron Phillips Associates

Baron Phillips                                               Tel: [phone]
                                                                  07050 124119


                      This information is provided by RNS
            The company news service from the London Stock Exchange    

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