Agreement to Sell Properties to Safestore

Safeland PLC
23 December 1999



The Company announces that, yesterday, it conditionally agreed to sell seven
of its investment properties to Safestore PLC ('Safestore') for a cash
consideration of £8 million.

In March 1998, shareholders approved a demerger of Safestore, a self-storage
business, by way of a dividend in specie to Safeland plc ('Safeland')
shareholders of Safestore shares.  In the circular to shareholders, your
Directors stated that Safeland intended to seek suitable sites for Safestore
to lease on arms length terms.  Seven such sites were identified and leased to
Safestore on standard 15 year leases with 5 yearly rent reviews, yielding, in
a full year, an aggregated income of £706,500.  The Directors believed that as
Safestore grew, the strength of its covenant as a tenant would increase along
with the value of the reversionary interests held by Safeland.  Indeed, each
of the Investment Properties has increased in value and your Directors feel
that they should now be sold and the proceeds utilised in the core activity of
the Group, that of property trading.

The Investment Properties, have a book value of £7.3 million.  Accordingly,
the disposal of the Investment Properties will result in a profit before tax
of £700,000.  After the repayment of loans of £3.6 million, secured on the
Investment Properties, the Group will receive a cash inflow of £4.4 million. 
When added to existing facilities, the £4.4 million will enable the Company to
purchase property up to a value of £12.5 million.

A circular, including a notice convening an Extraordinary General Meeting,
will be despatched to shareholders in due course.