Conversion to REIT

Land Securities Group Plc
02 January 2007

2 January 2007

Land Securities Group PLC ('Land Securities' / 'Group')
LAND SECURITIES CONFIRMS CONVERSION TO BECOME ONE OF THE
WORLD'S LARGEST REAL ESTATE INVESTMENT TRUSTS 


Land Securities confirms that as at 1 January 2007 it has now elected Real
Estate Investment Trust ('REIT') status.  This follows acceptance by HM Customs
and Revenue of its notification letter in late December 2006.


The Group will now be carrying out the required valuation of its qualifying
property assets to establish the precise amount of the 2% conversion charge,
expected to be around £300m and due to be paid in full in July 2007.  The
December valuation is a one-off exercise and will include an external valuation
of both the investment portfolio and also the qualifying properties held by Land
Securities Trillium, representing the first valuation of these assets since
Trillium was acquired in 2000.  It is anticipated that the results of this
valuation exercise will be announced to shareholders in February 2007.


Commenting on the conversion, Francis Salway, Land Securities' Group Chief
Executive, said:


'From 1 January, we have become one of the three largest REITs in the world and
the UK's largest REIT by market capitalisation.  REIT investors can benefit from
our market leading positions in London offices, retail and property partnerships
as well as our long-term track record of generating strong returns for our
shareholders.  The tax efficiencies afforded by this change in status will
result in an enhanced future dividend and we are confident that Land Securities
will be one of the UK real estate investment vehicles of choice for both UK and
international investors.



'We concluded 2006 with one of our largest ever transactions in the acquisition
of the Secondary Market Infrastructure Fund.  Backed by our new REIT status, a
newly appointed chairman, Paul Myners, and an evolving business model, we look
forward to 2007.'



                                     -Ends-



For further information, please contact:
Francis Salway / Emma Denne                              Stephanie Highett
Land Securities                                          Financial Dynamics
T [phone]                                    T [phone]







Notes to Editors

Land Securities Group PLC

Land Securities is the UK's leading real estate investment trust. Our national
portfolio of commercial property, worth many billions of pounds, includes some
of Britain's best-known shopping centres, such as the Birmingham Bullring and
Gunwharf Quays in Portsmouth, as well as London landmarks such as the Piccadilly
Lights and Westminster City Hall.  We are leading urban renaissance through our
billion pound development programme, transforming Exeter, Bristol and Cardiff
city centres as well as key sites in Central London.  We are also one of the
leading names in property partnerships and through urban community development
are involved in long-term, large-scale regeneration projects in the south-east.
www.landsecurities.com


                      This information is provided by RNS
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