New Year Update

Slough Estates PLC
8 January 2001



                     SLOUGH ESTATES plc - NEW YEAR UPDATE


In  the  last  quarter of 2000 Slough Estates made significant progress  on  a
range of projects.

Farnborough Business Park

Planning consent for 155,000 sq.m. (1.7 million sq.ft.) of new office and  R&D
development  has  been confirmed and the infrastructure  work  commences  this
month.   This  will  involve  over  one mile of  estate  roads  and  utilities
provision.  The first phase of development, to start construction at the  same
time,  will  be  two  speculative office developments on prime,  airfield-view
sites.   Norman  Foster has designed the larger 9,290 sq.m.  (100,000  sq.ft.)
(gross)  office building and Allies & Morrison a smaller 4,180  sq.m.  (45,000
sq.ft.)  office.  In  addition,  discussions  are  progressing  on  a   campus
development for an international electronics company.

Cambridge Research Park

Since  the  acquisition of the Cambridge Research Park in June 2000,  planning
consent  for  the  masterplan and infrastructure has been obtained  confirming
approval  for a total of 46,450 sq.m. (500,000 sq.ft.) of development capacity
for  office  and R&D space, in addition to the ntl Group 6,970  sq.m.  (75,000
sq.ft.)  office  acquired with the site, and the 2,325 sq.m.  (25,000  sq.ft.)
Diomed facility acquired later.

A  first  speculative  phase of 12,540 sq.m. (135,000  sq.ft.)  will  commence
construction  this month and the infrastructure should be completed  by  June.
The  site  also  has  a  consent for a hotel and other  ancillary  activities.
Demand  for  new space in Cambridge is strong and the prospects for  Cambridge
Research Park are considered to be very good.

Slough Trading Estate

The  190  to  208 Bath Road office development is progressing well.   Celltech
will occupy the first building of 4,655 sq.m. (50,000 sq.ft.) in February  and
a  second  building of 2,970 sq.m. (32,000 sq.ft.) has been let to  Ipsen  for
occupation  in July.  The third building of 5,390 sq.m. (58,000  sq.ft.)  will
commence construction in May.

Elsewhere on the estate, leasing of new developments has been very good.   For
example,  the 4,270 sq.m. (46,000 sq.ft.) industrial development on Buckingham
Avenue completed in October is already fully committed.

South San Francisco, Oyster Point

Early in 1999 Slough acquired a new brownfield site of 8.9 hectares (22 acres)
in South San Francisco for $32 million.  In November the City Council approved
the  masterplan  for  the  construction of 52,950 sq.m.  (570,000  sq.ft.)  of
office/R&D/ laboratory space together with restaurant and creche facilities.

Formerly known as Shearwater, this development has been renamed Oyster  Point.
It  is  located  close to Slough's 23,225 sq.m. (250,000 sq.ft.)  Gateway  and
51,100 sq.m. (550,000 sq.ft.) Pointe Grand health science parks which are  now
all  but fully built out.  Demand for laboratory and office space from  health
science  companies  remains very strong and it is probable  that  construction
will commence in May on a first phase of 23,520 sq.m. (350,000 sq.ft.), all of
which is likely to be pre-let.

The  strong  demand prompted Slough to acquire in December a further  site  of
10.9  hectares  (27  acres),  also  in South  San  Francisco,  which  will  be
progressed through the planning process during 2001.  This site, to  be  known
as  East Grand, is capable of supporting some 65,000 sq.m. (700,000 sq.ft.) of
new  development  and is likely to be attractive to health science  occupiers,
sited as it is immediately adjacent to the vast Genentech complex.

Pegasus Park, Brussels

Development   of  Slough's  prestigious  Pegasus  Park,  close   by   Brussels
International  Airport  continues  at  great  pace.   Currently  42,750  sq.m.
(460,000  sq.ft.) is under construction, 61% of which is pre-let.   The  third
and  fourth office buildings for Cisco Systems will be completed by  September
2001.  This brings to 30,660 sq.m. (330,000 sq.ft.) Cisco's total occupancy on
the  Park.   In  December a 6,930 sq.m. (75,000 sq.ft.) European  headquarters
office for Johnson Controls was agreed for construction start immediately.  In
October,  work  began on a speculative 6 floor 16,000 sq.m.  (172,000  sq.ft.)
office  building  which will be available for occupancy in February  2002  and
which  is receiving considerable pre-letting interest.  Additionally, on  land
sold  for  the  development of a 232 room hotel, construction  is  progressing
under Slough's project management team.

On the adjacent Pegasus II site, following the completion of a new 7,800 sq.m.
(84,000  sq.ft.)  office for Deloitte & Touche in June, a second  building  of
8,140  sq.m.  (87,000 sq.ft.) began construction and Deloitte  &  Touche  have
recently committed to lease it completely.

Finally, at the end of December, we purchased and leased back the 2.7  hectare
(6.7  acre)  Scania site, needed by Slough to complete land  assembly  of  the
entire  island  site.   It  is  expected that this  will  increase  the  total
construction  capacity  of  the Pegasus Park sites  from  220,000  sq.m.  (2.4
million sq.ft.) to 275,000 sq.m. (3.0 million sq.ft.).

Derek Wilson, Chief Executive, comments:

'The  Group  focuses  on  the creation of new income  streams  from  the
development  of  business parks in prime business  centres.   These  new
developments  will  play a significant part in the Group's  plans  going
forward.'
     
For further information:

Derek Wilson, Chief Executive          
Slough Estates plc                     01753 537171
                                       
Andrew Best                            
Shared Value Limited                   0207 321 5010