Re. Property Acquisitions

Land Securities Group Plc
05 January 2005



5 January 2005

LAND SECURITIES GROUP PLC ('Land Securities')

Land Securities purchases London properties


Land Securities announces that it has acquired two London office properties for
a total of £110.7m.


City Forum, EC1 was purchased from REIT Asset Management for £43.7m.  The 12,230
sq m (131,640 sq ft) scheme, comprising 13 buildings, is situated on the edge of
the City core and offers well-secured income of £2.9m per annum, representing an
initial yield of 6.5%.  Occupiers include Goldman Sachs, Deloitte & Touche LLP
and NatWest.


The scheme offers medium-term redevelopment potential and Land Securities
intends reviewing the development strategy for the property, which benefits from
an existing planning permission for an office development in the centre of the
site.


Contracts have also been exchanged for the purchase of the Red Lion Court,
Bankside and Park Street, SE1 from Jesta Corporation for approximately £67m.
The 11,920 sq m (128,324 sq ft) office building is let to Lloyds TSB and
currently produces rent of £4.3m per annum, providing an initial yield of 6.4%.



This acquisition further consolidates Land Securities' holdings in Southwark,
where it is now developing Bankside1 on behalf of IPC Media and where it has
planning consent for a further two commercial properties on the Bankside123
scheme adjacent to Tate Modern.  Land Securities is also preparing plans for a
residential development on a site nearby and will be developing some affordable
housing at 20 Blackfriars Street.


Mike Hussey, Managing Director, London Portfolio at Land Securities, commented:


'The acquisition of City Forum will give us the opportunity to generate a good
income return from a medium term redevelopment prospect.  In due course we will
submit a new planning application for the scheme with a significant residential
component.


'Red Lion Court provides stable and improving income off a sensible rental base
of £34 per square foot and will benefit from our own and others' considerable
investment into the Bankside area.'


On the City Forum transaction, Jones Lang LaSalle acted for Land Securities and
Franc Warwick acted for REIT Asset Management.


On the Red Lion Court acquisition, FPD Savills acted for the Jesta Corporation
and Strutt & Parker acted for Land Securities.



                                     -ends-


For further information please contact -



Land Securities
Mike Hussey/Melissa Winsor
020 7413 9000



Financial Dynamics
Stephanie Highett/Dido Laurimore
020 7831 3113




Note to Editors

Land Securities is a FTSE 100 company, quoted on the London Stock Exchange.  It
has been at the forefront of the UK's commercial property industry for 60 years.
Today, the Group maintains its market leading position as the UK's largest
quoted property company by providing commercial accommodation and property
services to a wide range of occupiers.  The Group's objective is to create
attractive and sustainable returns for its shareholders through its activities,
which include property investment, development and property outsourcing.


Land Securities holds a market leading position in three areas of the UK
commercial property market:


•         Retail
•         Central London offices and
•         Property outsourcing.


Its £8 billion investment portfolio includes more than 810,000 m2 of office
space in Central London and substantial retail holdings in Oxford Street,
Tottenham Court Road and Notting Hill Gate.  In addition the Group owns 18
shopping centres and 25 retail parks located across the UK.










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