Sale of Office Development

Terrace Hill Group PLC
05 October 2004



TERRACE HILL GROUP PLC ('the Group' or 'Terrace Hill')


Sale of Office Development


Terrace Hill announces that its 83% subsidiary SERAH Properties plc has sold the
office element of its 10,500 sq ft office and 4,000 sq ft retail development at
22 King Street, London (in joint venture with Canada Life) for a consideration
of £9.2 million to a major financial institution.


For further information please contact:


Nigel Turnbull, Joint Managing Director, Terrace Hill Group plc, 0207 631 1666


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, including
those in joint venture, 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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