£285m Return of Capital to Shareholders - Part 1

Great Portland Estates PLC
18 April 2000

                                       
                         GREAT PORTLAND ESTATES P.L.C.
                         -----------------------------
           GREAT PORTLAND ANNOUNCES THE TERMS OF THE GBP 285 MILLION
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         RETURN OF CAPITAL TO SHAREHOLDERS AND POSTING OF THE CIRCULAR
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PART I OF II
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Summary
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*         On 8th March, 2000, the Board of Great Portland announced a major
          strategic initiative comprising, inter alia, a refocusing of the
          Group's property portfolio and a return of capital to Shareholders

*         The Board is now proposing to return 80 pence per ordinary share in
          cash to Shareholders, representing some GBP 285 million in
          aggregate.  The Return of Capital will be effected by way of a Court
          approved capital reduction

*         The Return of Capital represents some 40 per cent. of Great
          Portland's market value as at 17th April, 2000

*         The special resolutions relating to the capital reduction will be
          put to shareholder vote at an extraordinary general meeting on 26th
          May, 2000

*         Great Portland is also proposing to redeem, on 1st June, 2000, all
          of its outstanding CULS at GBP 110.50 per GBP 100 (nominal),
          representing a premium of GBP 10.50 per GBP 100 (nominal)

*         In addition, Great Portland is seeking authority from Shareholders
          to make market purchases of up to a further 15 per cent. of the
          issued ordinary share capital

*         Further details of the Proposals and Redemption of CULS are detailed
          in a circular to Shareholders and CULS Holders which is being posted
          today


Commenting, John Whiteley, Finance Director, said:

'We are pleased to announce a firm proposal to return capital of 80 pence per
share to shareholders.  The return of capital and our corresponding disposal
programme will further focus the company's activities and provide us
with a platform to create further shareholder value.'

This summary should be read in conjunction with the full text of the following
announcement.

Enquiries
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Great Portland Estates P.L.C.                     Tel: [phone]
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Patrick Hall (Joint Managing Director)
Peter Shaw (Joint Managing Director)
John Whiteley (Finance Director)

Lazard                                            Tel: [phone]
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Nicholas Jones
William Rucker

Cazenove & Co                                     Tel: [phone]
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Richard Cotton
Duncan Hunter

Citigate Dewe Rogerson                            Tel: [phone]
----------------------
Sue Pemberton

Words defined in the circular to Shareholders dated 18th April, 2000 shall
have the same meaning in this announcement unless the context otherwise
requires.

Lazard, which is regulated in the United Kingdom by the Securities and Futures
Authority Limited, is acting for Great Portland and no one else in connection
with the Proposals and will not be responsible to anyone other than Great
Portland for providing the protections afforded to customers of Lazard or
for providing advice in relation to the Proposals.


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