Acquisitions and Sales of £107 Million

Great Portland Estates PLC
2 November 1999


                  ACQUISITIONS AND SALES OF £107 MILLION BY
                               GREAT PORTLAND
                                      
                                      
In  three  separate  transactions totalling more  than  £107  million,  Great
Portland  Estates  have  increased  the  concentration  of  their  investment
portfolio in Central London offices and major shopping centres by £73 million
through the acquisition of Barnard's Inn, Fetter Lane, E.C.4, and the  Quedam
Centre,  Yeovil,  for  £35  million  and  £38  million  respectively,  whilst
simultaneously disposing of 8 individual shop holdings for over £34 million.

Developed  in  1992  by The Mercers Company, Barnard's Inn comprises  105,400
sq.ft. of air-conditioned offices principally let to MCIWorldcom for 15 years
from  March this year with a break in 2010. The acquisition at a nominal rent
of a 140 year ground lease, allowing scope for redevelopment, will give Great
Portland  a  net initial yield of 7.7% from a current total income  of  £2.78
million  per  annum and adjoins their existing holdings at  Dyers  Buildings,
Holborn  and Norwich Street. The combined ownership now extends to more  than
260,000 sq.ft. of offices producing a total income of £5.8 million per  annum
on  a  site  of some 1.5 acres opposite the new 335,000 sq.ft. Holborn  Place
Headquarters  being developed for Anderson Consulting. Ingleby Trice  Kennard
advised Great Portland and DTZ acted for The Mercers Company.

The Quedam Centre is the focus for prime shopping in Yeovil and its catchment
area, and provides a total of 163,000 sq.ft. in 43 units with an anchor store
for  BHS. Marks & Spencer, Woolworths and Boots have retail frontages to  the
scheme  and over 88% of the total income of £2.6 million per annum is derived
from national multiple covenants including Superdrug, Iceland, Burtons, Etam,
Littlewoods  and River Island. The net initial yield of 6.6% is  expected  to
rise  to  more  than  7% within 12 months following the  settlement  of  rent
reviews, and the freehold purchase price reflects a true equivalent yield  of
7.5%.  Strutt  &  Parker acted for Great Portland and the  vendors,  Standard
Life, were represented by Colliers Erdman Lewis.

The rationalisation of Great Portland's property portfolio by the disposal of
non-core  assets  has  been  further advanced  with  the  sale  of  shops  in
Blackpool, Brighton, Chelmsford, Northampton, Preston, Sheffield, Slough  and
Stevenage.  The  total current income of £1.96 million  per  annum  shows  an
average  net exit yield of 5.4% and reduces the proportion of retail property
outside London, other than shopping centres, from 4.2% in March this year  to
2.0%. The purchasers, Royal & Sun Alliance, were advised by Knight Frank  and
Healey & Baker acted for Great Portland.

Patrick Hall, Deputy Managing Director, said:

'  Barnard's  Inn  is a particularly important acquisition as it  effectively
completes  the assembly of a strategic holding where the combined  ownerships
should  produce  further value over the medium term. The Quedam  Centre  also
offers  the  prospect  of  growth  from modest  rental  levels,  as  well  as
enhancement  opportunities through amalgamation and  extension  of  units  to
satisfy retailer requirements.

The  sale  of 8 small shops has significantly reduced our non-core  holdings,
and  produced £1.5 million by way of a healthy combination of trading  profit
and valuation surplus.

The  combined effect of these transactions is to halve our holdings  in  non-
core retail assets, at the same time raising to almost 60% the percentage  of
our  portfolio in the favoured areas of Central London offices  and  shopping
centres.'

Enquiries:

Patrick  Hall,  Deputy Managing Director                        0171 580 3040