Sale of Investment Property

Terrace Hill Group PLC
16 August 2004


TERRACE HILL GROUP PLC ('Terrace Hill')

Sale of Investment Property


Terrace Hill announces the sale of a sport and fitness centre at Rayleigh Road,
Thundersley, Essex, developed by it for occupancy of Virgin Active and currently
held as an investment at a price of £6.6 million.


The property has been held at cost of £5.3 million and is not yet producing
income. The price, payable in cash, will be used to repay borrowings incurred in
development and provide funds for other projects.


For further information please contact:


Ross Macdonald, Joint Managing Director, Terrace Hill Group plc, 0141 332 2014


Alasdair Robinson, Noble & Company Limited, 0131 225 9677

Notes to Editors:


Terrace Hill Group PLC is an AiM traded Property Group.  It has two divisions
(1) Commercial Development where the current development programme is around
£500 million, with approaching £200 million underway and £300 million projected
and (2) Residential Investment where it holds 535 units in Scotland and the
North of England.  Terrace Hill recently reported an increase of £18.986 million
(40.80%) in Net Asset Value to £65.5 million in the half year to 30 April 2004,
contributed to by a placing with institutional shareholders of £8.128 million,
and at the same time announced a doubling of dividend.


END


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