Trading Update

Terrace Hill Group PLC
14 December 2005

14 December 2005

             Terrace Hill Group PLC ('Terrace Hill' or 'the Group')


                                 Trading Update


Terrace Hill, the AIM-listed property development and investment company, is
pleased to announce that the Group continues to make strong progress with
significant lettings achieved at its Swansea Waterfront development and at the
Powerhub Centre in Crawley.


The Group's 70,000 Cyprium office development at the SA1 Swansea Waterfront has
been pre-let to the Welsh Development Agency ('WDA') which has sublet the
property to Admiral Insurance Services Limited for 15 years at £12.75 sq ft.
Last month the Group completed the first 40,000 sq ft and has now started
developing the remaining 30,000 sq ft, which is scheduled for completion in
2006.   A further 30,000 sq is also planned for development which will add
further value to the project and contribute to increasing the Group's Triple Net
Asset Value.


At The Powerhub Centre in Crawley, Terrace Hill has leased 22,000 sq ft and 3.5
acres open storage land to WTB Holdings trading as 'Burdens' ('WTB') builder's
merchants and wholesalers.  WTB is paying £300,000 per annum for 20 years with
five-yearly upward only rent reviews.  The first two reviews are fixed at 2.5%
per annum compounded.


Managing Director Philip Leech said: 'SA1 is a terrific 100 acre waterside
regeneration project that has attracted Admiral as a first class tenant.  We are
delighted to be working with the WDA on its first commercial phase, which we
believe will add significant value to the Group.


'We acquired the Crawley Powerhub Centre as part of the Grosvenor acquisition in
2004 and securing a first class tenant has added considerable value. We have an
impressive £820 million development programme and believe that the Group has a
very exciting future.'



                                  * * ENDS * *



For further information please contact:

Philip Leech, Group Managing Director                    Tel: [phone]
Nick Athanas, Noble & Company Limited                    Tel: [phone]
Isabel Crossley, St Brides Media & Finance Ltd           Tel: [phone]



Notes to editors:


Terrace Hill Group PLC is an AIM traded Property Group with NAV £74 million.  It
has two divisions, Commercial Development throughout the UK and Residential
Investment and Development in Scotland and the North of England, with a
development programme of £820 million with approaching £335 million underway.
Terrace Hill reported an increase of over 25% in both NAV and pro-forma Triple
NAV to 38.12p per share and 39.99p respectively in the year to 31 October 2004,
and an increase in final dividend from 0.15p per share to 0.50p per share.
Further increases to 39.66p per share and 44.02p per share respectively together
with an interim dividend of 0.5p per share (previous interims 0.3p) were
announced with the Group's half yearly report to 30 April 2005.






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