£3.7m Disposal of London Based Property

Workspace Group PLC
8 May 2000

                                       
                     WORKSPACE GROUP IN £3.7M DISPOSAL OF
                             LONDON BASED PROPERTY
                                       
Workspace   Group  PLC  ('Workspace'),  the  largest  provider   of   flexible
accommodation for small and growing enterprises in London, the South East  and
the Midlands, today announces the sale of four properties totalling 80,000 sq.
ft. of office and light industrial space for £3.7 million.  All the properties
are  based in London and were sold in three lots.  The total income  from  the
properties was £290,000 per annum, showing an overall exit yield of 7.8%.

All  four properties were acquired from Tonex Properties Limited in July  1999
as  part  of  a  significant expansion programme by Workspace.  The  expansion
involved  the purchase of 23 new estates, mainly in London and the South  East
for £74.7 million.  This added to the 73 estates already owned and managed  by
Workspace.

The  properties  are Tysoe Street Studios in EC1, Cape House  and  St.  Anne's
Trading  Estate on the A13 at Limehouse and Church Road Commercial  Centre  in
Manor Park E12.

Patrick Marples, Property Director at Workspace said,

'   Workspace has taken advantage of the buoyant property market to sell  four
properties  at an excellent price.  We continue to concentrate on  the  active
management  of  our  property portfolio.  This deal is a  typical  example  of
Workspace  seizing  the  opportunity to improve the quality  of  its  property
portfolio.  The sales show a 22% surplus over the purchase cost.'

Bailey  Cox  & Edwards acted for the vendors in the sale of the Limehouse  and
Church  Road  properties, with Kenningtons acting in the sale of Tysoe  Street
Studios.

For further information contact:

Harry Platt, Chief Executive            Workspace Group PLC      020 7247 7614
Patrick Marples, Property Director      Workspace Group PLC      020 7247 7614
Jonathan Gillen                         City Profile Group       020 7726 8588
Simon Courtenay                         City Profile Group       020 7726 8588