NAV,Dividend & Int Mgmt State

Invista Foundation Property Tst Ltd
30 January 2008


           Invista Foundation Property Trust Limited (the "Company")

         ANNOUNCEMENT OF NAV, DIVIDEND AND INTERIM MANAGEMENT STATEMENT


Net Asset Value


As at 31 December 2007 the Company's NAV was 117.4 pence per share (pps), a fall
of 19.8 pps or -14.4% relative to the September 2007 figure of 137.2 pps. The
impact of marking to market the Group's interest rate swaps reduced the NAV by
£10.3 million, representing 2.1% of the -14.4% fall in NAV.

The Company will pay an interim dividend of 1.6875 pence per share in respect of
the period 1 October 2007 to 31 December 2007. The dividend payment will be made
on 22 February 2008 to Shareholders on the register on 8 February 2008. The
ex-dividend date will be on 6 February 2008.


Over the 12 months to 31 December 2007 the Company's NAV fell by 19.5 pps or
-14.3%. Including dividends, the total NAV return over last 12 months has been
approximately -10%. Since inception in July 2004 to December 2007 the Company's
total NAV return has been approximately 12% per annum.


A breakdown of the NAV is set out below:

                                         31/12/2007      30/09/2007     3 month
                                                                         Change
                                           (£m)            (£m)            (£)
Direct property independent
valuation                                  582.36          616.50        (34.14)

  Capital expenditure during the
  quarter                                        -             8.4            -
  Like for like direct property             582.36          624.86        (42.5)

Joint venture investments (excl
swaps)                                      37.82           51.53        (13.70)
Market value - On-balance sheet
swaps                                       (5.70)           1.73         (7.43)
Market value - Off-balance sheet
swaps                                        2.30            5.18         (2.88)
Net current assets                          54.70           69.30        (14.60)
On-balance sheet loan                     (259.42)        (259.30)            -
Net Asset Value                            412.06          484.94        (72.88)
Net Asset Value per share (pps)             117.4           137.2         (19.8)



Property Portfolio and Performance Relative to IPD Peer Group


The Company's property portfolio was valued at £622.8 million as at 31 December
2007, and comprises 71 properties with an average lot size of £8.8 million. The
like-for-like capital fall of direct properties over the quarter was -6.6% which
increases to -8.7% including joint venture investments.


Sector weightings

Sector                                                                Weighting
Retail                                                                      21%
Offices                                                                     53%
Industrial                                                                  22%
Other                                                                        4%
Total                                                                      100%


Regional weightings

Region                                                               Weighting
Central London                                                              32%
South East excl. Central London                                             35%
Rest of South                                                               11%
Midlands and Wales                                                          13%
North and Scotland                                                           9%
Total                                                                      100%


Top ten properties

                                                        Value (£)            %
  1   Minerva House, London SE1                         57,650,000         4.6
  2   National Magazine House, London W1                52,100,000         4.2
  3   Portman Square House, London W1                   34,475,000         2.8
  4   Plantation Place, London EC3                      33,896,000         2.7
  5   The Galaxy, Luton                                 23,130,000         1.9
  6   6-8 Tokenhouse Yard, London EC2                   21,700,000         1.7
  7   Reynard Business Park, Brentford                  18,000,000         1.4
  8   Victory House, Brighton                           17,500,000         1.4
  9   Churchill Way West, Salisbury                     15,900,000         1.3
 10   Union Park, Fifers Lane, Norwich                  15,750,000         1.3
      Total as at 31 December 2007                     290,101,000        23.3


Top ten tenants excluding joint ventures

                                                         Value (£)           %
  1   The National Magazine Co Ltd                       2,311,125         7.6
  2   Synovate Limited*                                  1,900,000         6.2
  3   Reed Smith Services                                1,326,190         4.4
  4   Mott MacDonald Limited                             1,307,148         4.3
  5   Wickes Building Supplies Limited                   1,092,250         3.6
  6   The British Broadcasting Corporation                £850,100         2.8
  7   Recticel SA                                         £713,538         2.3
  8   Partners of Cushman & Wakefield                     £574,128         1.9
  9   Motorhouse 2000 Limited                             £570,150         1.9
 10   Partners of Irwin Mitchell                          £555,000         1.8
      Total as at 31 December 2007                      11,199,629        36.8

* Synovate Limited will commence paying this rent in mid 2009


Investment Property Databank ('IPD') has prepared an initial analysis of the
Company's underlying property portfolio relative to the IPD Monthly Index, a
good proxy for the IPD peer group Benchmark. Over the quarter to December 2007
the Company's directly held assets and joint venture investments produced a
total return of -7.9% relative to the Benchmark of -9.7%. Over 12 months the
Company's directly held assets and joint venture investments produced a total
return of -2.3% relative to the IPD Monthly Index return of -5.5%.


The decline in capital values of the direct portfolio over the quarter has been
less than the IPD Monthly Index and was consistent across the sectors with
retail falling 8.6% (IPD -9.8%), offices falling 7.1% (IPD -10.5%) and
industrial falling 6.8% (IPD -8.3%).


Share Repurchases


Between 2 November and 6 December the Company has acquired and cancelled 2.7
million shares for £2.19 million, reflecting an average price of 81 pence per
share. The Board will continue to consider share repurchases if they appear
attractive on investment grounds, while taking account of other calls on the
Company's cash resources.


Market Background


The IPD Monthly Index reported a capital value fall of 4.2% for December alone,
the largest monthly capital fall recorded. This results in a total return for
2007 of -5.5% compared with 2006 of 18%. UK capital values have fallen 12.1%
from the June 2007 peak, which disaggregate to -12.3% offices (July peak), -13%
retail (May peak) and -11.3% industrial (June peak).

With the risk of recession in the US and financial market volatility in the UK,
it is difficult to predict the outcome for 2008 and a further fall in values in
the short term cannot be ruled out. In contrast to the cyclical downturn of the
early 1990s, occupational demand remains at healthy levels with limited tenant
default. The early 1990s were also characterised by high inflation and interest
rates. The current consensus is for falling interest rates and we anticipate a
bottoming out in the direct market with some recovery in the direct real estate
market during the second half of the year.

Strategy


As the issues affecting the UK commercial property markets and the wider
financial markets continue, the Group's strategic focus remains on maintaining
and increasing income. This is balanced with the objective of reducing total
debt whilst retaining cash to ensure operational flexibility.


Whilst some disposals have been concluded and more are being considered where
asset management plans have been successfully implemented, assets will not be
sold at forced sale prices.


Active Asset Management


The period under review has included some asset management successes. At Portman
Square House, London W1, where the Group owns a 21.6% share, a major new letting
has exchanged at a new benchmark rent for the prime office building. The
building was acquired in 2006 for £127.5 million (Group share £27.55 million)
with an average rental value of £62.50 per sq ft. In December, one tenant who
was paying £827,000 million per annum has vacated in exchange for a payment of
£750,000, and in December a simultaneous new lease with a new tenant was
exchanged at a rent of £1.425 million, equating to £95 per sq ft. This
transaction has supported the valuation with the Groups share valued at £34.5
million as at 31 December 2007.


At Solent Road Industrial Estate, Havant, the Company has secured planning at
appeal for a 15,000 sq ft trade counter unit including 2,800 sq ft of retail
space. Detailed negotiations are continuing with two potential pre-lets. The
consent is the first phase of the strategy to convert the secondary industrial
estate into a high quality trade park close to a retail park and Tesco
superstore.


Finance


As at 31 December 2007 the Group had securitised on-balance sheet debt of £263.5
million fully hedged against interest rates until 2014 at a total cost of funds
of 5.58%. This debt is secured against £555.14 million of property and cash of
£10.1 million, reflecting a loan to value of 46.6% relative to a bank covenant
of 60%. The value of the security would need to fall by £126.2 million or 22% to
be in breach of the covenant. Secured assets can be sold without penalties or
restriction provided that the proceeds are used to pay down the loan.


The security provides a well diversified income stream with an interest cover
ratio of 203% relative to the bank covenant of 150%. In addition, the Group has
£27.1 million of unsecured property and free cash of £49.1 million, with cash
providing important operational flexibility. This results in an overall
on-balance sheet loan to value of 38.6%. As at 31 December 2007 the Group has
off-balance sheet debt of £142.75 million that results in a fully consolidated,
on- and off-balance sheet loan to value of 49.3%. If cash balances are netted
against borrowings, this ratio falls to 45.3%.


As at 31 December 2007 the loan to value ratio of the separate, non-recourse
Plantation Place debt facility is 81.47% relative to a covenant of 82.14%. In
the event of a further deterioration in the value of Plantation Place over the
quarter to March 2008 the Group has cash resources to address covenant issues in
the Plantation Place investment structure.


Contacts


Investment Manager
Invista Real Estate Investment Management
Exchequer Court
33 St Mary Axe
London EC3A 8AA
Tel: [phone]
Duncan Owen (Chief Executive)



Broker:
JP Morgan Cazenove
20 Moorgate
London EC2R 6DA
Tel: [phone]
Richard Cotton (Managing Director, Corporate Finance)


Public Relations:
Financial Dynamics
Tel: [phone]
Stephanie Highett
Dido Laurimore



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