Unite is Preferred Bidder

Unite Group PLC
23 February 2001

Date:               23 February 2001



UNITE NAMED PREFERRED BIDDER

FOR PORSTMOUTH UNIVERSITY

UNITE to build and manage £44 million portfolio of student accommodation in
partnership with Portsmouth University

UNITE, the UK's leading specialist provider of accommodation services for
students, has today announced that it is the sole Preferred Bidder for the
University of Portsmouth's residential accommodation requirements. UNITE is
currently undertaking three schemes with an end value of £44 million, which
will be designed, built, and managed by the Company for the University of
Portsmouth.

Connaught Drill Hall, Stanhope Road, which UNITE has recently acquired is
situated very close to the University of Portsmouth main campus and, subject
to planning permission, will deliver 641 en-suite study bedrooms. Together
with student facilities such as laundry room, vending area, reception and IT
common room, the plans also feature retail units at ground level to service
both the residents above and the surrounding local community.

UNITE is also currently building a brand new 328 bed facility on a brownfield
site at Winston Churchill Avenue. The fourteen storey building is due to
receive its first student intake in Autumn 2002.

Chaucer House, UNITE's first acquisition for students in Portsmouth will
feature 348 new student rooms. Similar to all UNITE's high quality, affordable
student accommodation, the state-of-the-art facilities provided will include
en-suite bathrooms, internet access and swipe-card door entry systems.
Students will be moving into Chaucer House in September this year.

Mike Bateman, Pro Vice Chancellor of Portsmouth University said:

'We can confirm that UNITE is the Preferred Bidder for our programme of
residential expansion. We have been impressed by the speed and competency of
the UNITE team and in partnership we are providing exciting new facilities to
meet the needs of our growing student population.'

Nicholas Porter, Chief Executive of UNITE, comments:

'We are delighted to have been awarded sole preferred bidder status with
Portsmouth University. The three brand new residences will provide over 1300
affordable beds for students at the University. They represent a significant
proportion of the University's accommodation requirement and reflect the fact
that UNITE has become the preferred choice when selecting a partner in this
sector. We look forward to working with the University on this project and
maintaining and managing the properties over the long term.'

                                    -ends-


Press Enquiries to:

Emma Kane, Chief Executive             Tel:     [phone]

Redleaf Communications Ltd             Mob:     [phone]

Nick Porter, Chief Executive           Tel:     [phone]

UNITE


Notes to Editors:

About UNITE

  * UNITE was founded in 1991 by Nick Porter
  * UNITE is fully listed on the London Stock Exchange and is currently
    capitalised at £140.7 million.
  * UNITE is the UK's leading specialist provider of accommodation services
    for students and key workers.
  * Further information is available at the Company's website at
    www.unite-group.co.uk
  * www.bunk.com is a comprehensive, on-line accommodation service for
    university students launched by UNITE in September 2000.