Acquisition

Workspace Group PLC
7 February 2001

                              Workspace Group PLC

                               WORKSPACE TINKLES
                           THE IVORIES IN ISLINGTON

Workspace   Group   PLC  ('Workspace')  the  leading  provider   of   flexible
accommodation to small and medium sized enterprises (SME's) in London and  the
South  East,  has exchanged contracts to acquire The Ivories Business  Centre,
Northampton Street, Islington, London N1 for £4 million.

The  24,800  sq. ft (2,300 sq. m) property comprises 24 small business  units.
The property is 94% let, and produces an annual rental income of £332,000 with
substantial  reversionary  potential.  The  Ivories  is  well  located  in   a
prosperous  area and current tenants include architects, publishing companies,
recruitment and IT consultancies.

The acquisition strengthens further Workspace's holdings in this affluent area
of  North  London.  Workspace owns the nearby 64,000  sq.  ft  (6,000  sq.  m)
Aberdeen  Centre on Highbury Grove, and the 51,991 sq. ft (4,800 sq. m)  Leroy
House  on  Essex Road. Both properties have benefited from Workspace's  active
management strategy. Capital values and rental returns have been significantly
raised at both estates.

'  We are continuing our acquisition programme. We are taking advantage of the
financial firepower generated by our recent disposals to seek out this type of
deal.

' This excellent purchase clearly demonstrates Workspace's unique approach. We
are  buying  a well-let centre for small businesses in the heart  of  thriving
Islington.  The  site  is already producing a respectable  yield.  Our  active
management  strategy,  flexible leasing and added value  services  will  drive
returns  at  The  Ivories even  higher.  We are confident  that we can produce
further rental and capital uplift.

' London's SME sector is expanding rapidly. The nature of London's economy and
the  demand  for good quality flexible workspace is driving this growth.  With
our  acquisition and improvement programme, we are well positioned to  benefit
from this demand.'

Date: 7 February 2001

For further information contact:

Harry Platt, Chief Executive                      Simon Courtenay
Workspace Group PLC                               Ed Senior
020-7247-7614                                     020-7726-8588
e-mail: [e-mail]                 e-mail:[e-mail]
Web:   www.workspacegroup.co.uk