Contract Win

LSL Property Services
29 June 2007



For Immediate Release                                               29 June 2007


                LSL Property Services plc ('LSL' or 'the Group')


                            Pre-Close Trading Update
                                      and
                          Major Surveying Contract Win


LSL, a leading provider of residential property services incorporating estate
agency brands Your Move and Reeds Rains and surveying brands e.surv and
Chancellors Associates, is today providing a pre-close update for the half year
ending 30 June 2007, together with the announcement of a major outsourcing
contract.

LSL is proposing to announce its interim results on 9th August 2007

Pre-Close Trading Update

The UK housing market has remained relatively robust with house sale exchanges
during the first half of 2007 down by 3% on strong comparatives for the same
period in 2006. Against this backdrop LSL's surveying and agency businesses have
performed well and the results for the half year ending 30 June 2007, will be
slightly ahead of our expectations.

For this period, LSL estimates that:

* Group turnover is up 13%

* Estate agency and financial services turnover is up 12%

* Surveying turnover is up 15%

Turnover has benefited from maiden contributions from Chancellors Associates and
InterCounty. In addition, significant growth has been achieved in
property-careers.com and Linear Mortgage Network.


Contract Win

LSL is delighted to announce a major contract win as part of the ongoing
development of its surveying division. For a cash consideration of £30m LSL is
taking over the existing valuations infrastructure of C&G and assuming the
exclusive panel management rights with effect from 30th June 2007. The initial
contract period is five years and the contract involves providing exclusive
physical valuation panel management services to Cheltenham & Gloucester plc, a
leading UK mortgage provider with a mortgage stock market share of circa 8% as 
at the 31 December 2006.

The contract is expected to enhance earnings significantly and provides an
opportunity to leverage the surveying assets across the group, which taking into
account the agreed valuation fee and the current cost base, will deliver an
enhanced profit margin, well in excess of the current survey margin.

Paul Latham, the Group's Deputy Chief Executive with responsibility for the
surveying division, welcomed this major contract win saying;

'I am delighted that C&G, which last year conducted in excess of 150,000
physical valuations, has chosen LSL as its partner to provide this important
service and once again this demonstrates the market leading proposition that LSL
is able to offer to UK lenders.'

Commenting on the trading update Simon Embley, Group Chief Executive, said;

'Whilst the trading in the first half of 2007 provides us with a strong
foundation for the full year, we remain cautious about the short term housing
cycle given the recent successive interest rate rises. However our operating
model demonstrates resilience to the housing market, particularly as the less
cyclical surveying division represents a high proportion of the Group's profits.
Today's C&G contract win is an important milestone and further strengthens the
Group for future growth.'


For further information please contact:

LSL Property Services plc                        01904 715324

Simon Embley CEO

Dean Fielding Group Finance Director
Buchanan Communications                          020 7466 5000
Richard Darby, Nicola Cronk, Catherine Breen











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