Joint Venture

Berkeley Group Holdings (The) PLC
23 October 2006



            JOINT VENTURE BETWEEN PRUDENTIAL AND THE BERKELEY GROUP


The Prudential Assurance Company Limited ('Prudential') and The Berkeley Group
Holdings plc ('Berkeley') are delighted to announce that their agreement to
establish a joint venture is now unconditional.

On 4th July 2006, Prudential and Berkeley announced the establishment of a new
joint venture to develop major residential and mixed-use development schemes
across the UK, trading as St Edward Homes Limited. The agreement was conditional
on St Edward Homes finalising terms to acquire land at GreenPark in Reading and
a building in Kensington, both from Prudential, and for Berkeley to provide land
and properties for the joint venture.

St Edward Homes has now agreed the purchase of both of the Prudential's sites
and the purchase of a site at Stanmore from Berkeley. These three major
residential schemes in the South East create a land bank for St Edward Homes of
over 2,500 homes. St Edward Homes will now work towards obtaining the necessary
planning permission and it is hoped to commence development activity on at least
one site in 2007.

PRUPIM has facilitated the agreement on behalf of its client Prudential. PRUPIM
will continue to work in conjunction with Berkeley to pursue land and properties
for major redevelopment and the delivery of sustainable residential, commercial
and mixed-use schemes.


                                      Ends


Notes to Editors

PRUPIM

PRUPIM is one of the largest property investors in the UK with over £17.2
billion invested in a broad spread of properties across all UK sectors and
overseas (as at 31/12/05). PRUPIM is part of M&G, the investment arm of
Prudential plc in the UK and Europe.


For further information, please contact:

A W Pidgley, Berkeley (01932 868555)      Natalie Brooke, PRUPIM (0207 548 6976)

R C Perrins, Berkeley (01932 868555)      Martin Moore, PRUPIM (0207 548 6571)



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