Chairman's AGM Statement

Gleeson(M J)Group PLC
12 January 2000


The Annual General meeting of the Company was held at 12.00 noon on 12th January
2000 at North Cheam Surrey.

The Chairman, Mr. D. J. Gleeson's address to Shareholders: -

The Financial Review appearing on Page 12 of the Annual Report provides a
detailed commentary on the financial results. Nonetheless, before putting the
formal resolution to you for approval, it may be helpful if I remind you of some
of the more significant numbers.
     
Group turnover increased by £51,431,00 or 20.9%, to £298,103,000. Net Operating
Expenses - in other words overheads - totalled £18,946,000 and represented 6.36%
of turnover. The comparable figure for 1997/98 was £16,544,000 which
equated to 6.71% of turnover.

Income from Investment Property increased to £7,278,000 largely as the result of
premiums totalling £975,000 payable by tenants on the surrender of two
leases on the Group's London Wall property which is about to be refurbished,
prior to being re-let.
       
The Group's share of the net profit on PFI Investments and on a Joint Venture
Housing Development contributed a further £529,000 to pre-tax profits.
       
The increase in the amount of interest payable less receivable reflects the
expansion of activity in both Gleeson Homes and the Group's Property
Development Division.
       
Profit after Tax of £9,522,000 provides adequate cover fox the the proposed
final dividend of 17.40 pence per share - an increase of 11.54% over that paid
for 1997/98. Total dividends will aggregate 22.07 pence per share compared with
20.04 pence in the previous year.

The Balance Sheet remains strong and, during the year ended 30th June 1999,
Shareholders' funds rose by £10,026,000 to £126,574,000, which is equivalent of
£12.38 per share.
       
As regards current trading and future prospects, I have little to add to my
Statement in the Report and Accounts. The Group's Order Books are at an all
time high. Moreover, the proportion of our contracting turnover secured on a
partnering or negotiated basis continues to increase and now exceeds 70%.
Recent partnering awards include a five year agreement with Thames Water plc
with an anticipated total value of £150m.

The value of house sales in the six months to December 1999 was 55% above the
figure for the equivalent period last year; and demand for new homes remains
strong in all of Gleeson Homes' operating regions. Our recent success in
winning two 'What House?' Gold Awards for, respectively, the best refurbishment
scheme and the best urban renewal project in the whole of the U.K. has further
enhanced our reputation as one of the country's leading developers of
brownfield sites.
       
Good progress has been made with the Group's commercial property development
programme. A recently completed 15,000 sq.ft. retail scheme in Grantham is now
fully let and a tenant has been secured for 23,000 sq.ft. of warehouse and
office space in Milton Keynes. The Board expects the sale of commercial
developments to make a significant contribution to Group profits in the current
year.
       
The resolution to pay a final dividend of 17.40 pence per share on 12th
January 2000 to shareholders on the Register of members on 10th December 1999
was unanimously approved.