Interim Management Statement

Invista Foundation Property Tst Ltd
10 August 2007


Invista Foundation Property Trust Limited


Interim Management Statement  and Factsheet
From 31 March to 10 August 2007


Key highlights
     
•    Quarterly NAV uplift of 6.69 pence per share or 4.70% as at 30 June 2007.
•    Total NAV return for the year to 30 June 2007 of 22.40%
•    Considerable transactional, finance and asset management activity


Investment Objective

To provide shareholders with an attractive level of income together with the
potential for income and capital growth from investing in UK commercial
property.


Key Statistics

NAV per share (30/06/2007)                                                         148.89 pence per share
Mid share price (09/08/2007)                                                       122.25 pence per share
Gross property value (30 June 2007)                                                       £722.07 million
On-balance sheet debt (LTV)                                                      £263.50 million (33.16%)
Total Consolidated debt (LTV)                                                    £449.56 million (45.85%)
Ex Div date                                                                                 1 August 2007


Company performance overview


Net Asset Value

As at 30 June 2007 the Company's NAV was 148.89 pence per share (pps), an uplift
of 6.69 pps or 4.70% over the March figure of 142.2 pps.  The sustained NAV
growth in the quarter to June is ahead of each of the three month periods to
December 2006 and March 2007 of 4.10 pps and 4.45 pps respectively.  Over the 12
months to 30 June 2007 the Company's NAV increased by 21.09 pps or 16.50% and
combined with the dividend provided our Shareholders with a total NAV return of
approximately 22.40%.  These results are after the accrual of a performance fee
to the Investment Manager.


Property performance relative to peer group

The UK IPD Property Index has independently assessed the underlying performance
of the Company's property portfolio.  Over the quarter to 30 June 2007, IPD
calculate a total return for the Company of 4.0%, reflecting capital growth over
the quarter of 2.9%.  This compares with the IPD Benchmark for the quarter of
2.1% and 0.9% respectively.  The Company is placed top in its IPD Benchmark of
63 Funds for the three, six and 12 months to 30 June 2007.


Portfolio value

The Company's property portfolio was valued at £722.07 million as at 30 June
2007, comprising 74 properties with an average lot size of £9.78 million.  The
like-for-like capital uplift of properties held over the quarter was £17.77
million, or 2.54%.  Central London properties contributed £11.65 million, 65% of
this uplift, with the balance generated by significant progress on key asset
management initiatives.  Significant profits were also realised over the quarter
through transactions. The Company is focused on actively managing assets to add
value and acquiring good quality income producing assets to continue its income
support.

Market - Higher interest rates are slowing capital growth in the UK property
market, with secondary property yields the most affected.  The divergence of
returns between the sectors is becoming increasingly pronounced in IPD Monthly
data for the three months to 30 June 2007, illustrated by the contrasting three
month annualised total return of Standard Retail and Central London offices of
6% and 19.2% respectively.  The differential is being driven by rental growth
with rates becoming increasingly polarised.


Sector weightings

Retail                                                                                                21%
Offices                                                                                               54%
Industrial                                                                                            22%
Other                                                                                                  3%
Total                                                                                                100%


Regional weightings

Central London                                                                                        33%
South East excl. Central London                                                                       34%
Rest of South                                                                                         11%
Midlands and Wales                                                                                    13%
North and Scotland                                                                                     9%
Total                                                                                                100%


10 largest holdings                                                                   Value (£)         %*
National Magazine House, Broadwick Street, London W1                                £58,700,000       8.4%
Plantation Place, London EC3                                                        £57,635,000       8.3%
Minerva House, London SE1                                                           £57,400,000       8.2%
Portman Square, London W1                                                           £33,565,000       4.8%
6-8 Tokenhouse Yard, London EC2                                                     £25,100,000       3.6%
The Galaxy, Luton                                                                   £22,100,000       3.2%
Reynards Business Park, Brentford                                                   £20,500,000       2.9%
Victory House, Brighton                                                             £20,500,000       2.9%
Union Park, Fifers Lane, Norwich                                                    £18,000,000       2.6%
Churchill Way West, Salisbury                                                       £16,450,000       2.4%
Total as at June 2007                                                              £329,950,000      47.3%

*Percentage of Value as at 30 June 2007 excluding disposals between 30 June 2007
and 9 August 2007.


10 largest Tenants                                                                         Rent         %*
The National Magazine Company Limited                                                £2,300,587       7.5%
Reed Smith Services                                                                  £1,326,190       4.3%
Mott McDonald Limited                                                                £1,307,148       4.3%
The British Broadcasting Corporation                                                   £850,100       2.8%
Grand Metropolitan Estates Ltd                                                         £795,975       2.6%
Recticel SA                                                                            £727,128       2.4%
Partners of Cushman & Wakefield                                                        £574.128       1.9%
Motorhouse 2000 Limited                                                                £570,150       1.9%
Partners of Irwin Mitchell Solicitors                                                  £547,000       1.8%
Snowden & Bridge Limited (Trading as Booker )                                          £517,000       1.7%
Total as at June 2007                                                                £9,515,406      31.2%

*Percentage of Rent per annum as at 30 June 2007 excluding disposals between 30
June 2007 and 9 August 2007.


Disposals

During the period from March to June, the Company exchanged and has subsequently
completed the disposal of a shop in Northampton for £2.54 million, reflecting a
net initial yield of 4.5%.  The shop was acquired in July 2004 for £1.54 million
and the disposal followed the granting of a new 15 year lease to a good quality
tenant at an increased rent.  The Company has also sold a health and fitness
unit in Sefton, acquired in March 2007 for £12.83 million, crystallising a £1.9
million profit over the gross purchase price of £10.9 million.

Since the quarter end, the Company has completed the disposal of a small retail
property in York for £1.94 million. The sale price was 2% ahead of the June 2007
valuation of £1.9 million and 28% ahead of the March 2007 valuation. More
significant since the quarter end is completion of the sale of the Company's
19.73% stake in MidCity Place, London WC1.  The property comprised a high
quality office building in the Mid Town of London. The Company's stake was
acquired in August 2005 for £9.8 million. A lease restructuring during 2006
repaid £8.2 million of the Company's original investment and a further receipt
of £21.5 million on completion in August 2007 concludes a profitable deal,
tripling the Company's initial investment over 24 months.


Active Asset Management

Having secured a retail warehouse planning consent at the Company's industrial
site at Hinckley last quarter, another planning consent has been obtained for a
major refurbishment and extension of the office in Uxbridge. The consent
increases the  potential floor area from 39,000 sq ft to 70,000 sq ft.  The
current leases at the property expire this September and a re-development is
being considered.  At Salisbury, a lease of the vacant unit was completed at a
rental level some 20% ahead of the independent valuation assumption.  The new
lease increases the rent receivable by £300,000 to £820,000 per annum, which
following forthcoming rent reviews, should result in a yield on gross purchase
cost of approximately 6.0%.  The valuation is £16.45 million at June 2007
compared with the purchase price in February of £15.02 million.

The Company has now exchanged all the agreements required to commence the major
refurbishment project at the retail investment at Victoria Plaza, Bolton.  This
will increase the current rent from £470,000 per annum to £720,000 per annum
following capital expenditure of £1.8 million.


Finance

The Company raised a further £111 million of securitised debt, increasing total
securitised borrowings to £263.5 million. This has been used to repay the
previous more expensive debt with the surplus being used to fund ongoing asset
management projects and selective acquisitions. This issue was well timed and is
immediately accretive to returns.


Contacts


Broker:

JP Morgan Cazenove
Tel:  [phone]
Richard Cotton (Managing Director, Corporate Finance)
Angus Gordon Lennox (Managing Director, Corporate Finance)

Public Relations:

Financial Dynamics
Tel:  [phone]
Stephanie Highett
Dido Laurimore


Notes:

This Statement has not been audited.


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