Directorate Change

Terrace Hill Group PLC
23 June 2004

For embargoed release at 7 a.m.                                23 June 2004


             Terrace Hill Group plc ('the Group' or 'Terrace Hill')

               TERRACE HILL STRENGTHENS BOARD WITH APPOINTMENT OF
                          NEW NON-EXECUTIVE DIRECTORS

Terrace Hill is pleased to announce the appointment of Douglas Blausten, Guy
Brennan,  Chris Phillips and William Wyatt as non-executive directors of the
Group with effect from yesterday.

Robert Adair, Chairman, commented:

'We are extremely pleased that Guy, Douglas, William and Chris have all agreed
to join the Board of Terrace Hill. The new directors bring with them a wide
variety of industry expertise and experience which will prove invaluable for the
future development of the Group.'

Mr Douglas Blausten (53) was executive director of Grosvenor Land Holdings plc
prior to the completion of the recommended cash offer by Terrace Hill earlier
this year.  He holds an honours degree from Cambridge University in Land
Economy, is a fellow of the Royal Institution of Chartered Surveyors and a
General Commissioner of Taxes. He is also an equity partner in Cyril Leonard,
where he is responsible for corporate real estate strategic advice, investment
acquisitions and sales and is also responsible for their office in Munich and
affiliates in Paris, Amsterdam and the United States. He holds a number of
directorships and is a director and shareholder in Oakburn Properties plc.

Mr Guy Brennan (43) is a former Managing Director in Corporate Finance of ABN
Amro Bank N.V. He began his career as a graduate recruit to Barclays Merchant
Bank Ltd in 1982 moving on to the corporate finance department of Laurence Prust
Ltd, a member firm of the London Stock Exchange, in 1984. In 1986 he joined EBC
Amro Bank Ltd, the merchant banking subsidiary of Amro Bank N.V., and served in
a variety of corporate finance posts in London, Amsterdam, New York and The
Middle East culminating in the position of Managing Director in Corporate
Finance upon his departure from the bank in 2001. He also served as General
Manager of a Gulf-based investment group from 1994 to 1997 and in 2002 he
co-founded Greenpark Capital, an asset management firm dedicated to making
secondary investments in private equity. He has served in an advisory capacity
or as a non-executive director to a number of companies in the UK, Europe and
the US.

Mr Chris Phillips (54) is managing director of Colliers Capital UK Ltd, the
property fund management business which is a wholly owned subsidiary of
Fitzhardinge plc. He is the non-executive chairman of Leaders Group Limited, a
large, privately owned, residential letting agency in the UK and a non-executive
director of Spring Grove Property Maintenance plc, an emergency repairs company
traded on AIM. He is also a non-executive director of Blueroom Properties
Limited, the commercial property arm of Places for People Group Limited, a large
UK housing association, and non-executive chairman of Your Space plc, an asset
backed support services company traded on AIM. He is also the non-executive
chairman of Marchpole Group plc, a company listed on the Official List of the
London Stock Exchange, and non-executive chairman of The Creative Education
Corporation plc which is trading on AIM. He holds a number of other
non-executive directorships.

Mr William Wyatt (36) is an Associate Director of Caledonia Investments plc, a
London listed investment holding company and parent company of Caledonia Land &
Property Ltd. After holding a regular commission in the Army, William worked for
Close Brothers Corporate Finance for 3 years before joining Caledonia in 1998 as
a project manager for Sterling Industries. He transferred to head office in 2000
as investment executive and was appointed as associate director in February
2002. Caledonia Investments plc is a significant shareholder in Terrace Hill
following the recent share placing.

In accordance with schedule 2 (f) of the AIM Rules, the following information in
relation to the new appointees to the board of the Company, is disclosed below:

Mr Douglas Blausten, 53, holds, and has held within the five preceding years the
following directorships and partnerships:

Current directorships and partnerships:

Oakburn Properties plc                              Hodgson & Faraday Ltd
The River Bure Property Company Limited             Linnell Developments Limited
Oakburn Properties (Newcastle) Limited              CLPS Limited
Canterbury Best Limited                             Hollydale Properties Limited
Cyril Leonard
Hodgson & Faraday Property Management Services Limited

Past directorships and partnerships in preceding five years:

Grosvenor Land (Maidstone) Limited                Grosvenor Land (North) Limited
Chambers and Newman Limited                       Abraxus Investments plc
Grosvenor Land (South) Limited                    Grosvenor Land Holdings plc
Plymouth & Exeter Properties Limited              Grosvenor Land (North) Limited

Mr Blausten held directorships at Bluett Oriental Arts Limited and Garton
European Prints plc which were both Business Expansion Scheme companies created
with fixed lives. Both companies were put into voluntary liquidation and funds
were returned to shareholders.

Mr Guy Brennan, 43, holds, and has held within the five preceding years the
following directorships and partnerships:

Current directorships and partnerships:

Cedar Audio Limited                              Cedar Digital Systems Limited
The Hawks' Company Limited

Past directorships and partnerships in preceding five years:

Greenpark Capital Limited

Mr Christopher Robin Leslie Phillips, 54, holds, and has held within the five
preceding years the following directorships and partnerships:

Current directorships and partnerships:

Garnham & Co. Management (U.K.) Limited          The Niche Group plc
Relocate UK Limited                              Phillips & Associates Limited
Leaders Limited                                  Your Space (UK) Limited
Leaders Group Limited                            Kingsbridge Residential Limited
Blueroom Properties Limited                      Marchpole Holdings plc
Your Space plc                                   Marchpole Trading Ltd
Spring Grove Property Maintenance plc            Marchpole Group plc
Froglet Dotcom Limited                           Glolite Ltd
Adrenaline Media plc                             Artpower Limited
Falconstate Limited                              CRE Vantage Limited
The Creative Education Corporation plc           Gooch Webster Limited
Solitaire Group plc                              Colliers Capital UK Limited
Development Capital Management Limited           Microcap Equities plc
Seaton Boyd Limited                              R.C. (Holdings) Limited
Entertainment Management Services plc            Retirement Care Group Ltd
Central European Acquisitions plc                Fundus Limited
I.C.G. Securities Limited                        MPS Retail Ltd
Colliers International Services Europe Ltd       CRE Touchstone Limited

Past directorships and partnerships in preceding five years:

COLJAR (UK) Ltd                                  Leaders Holdings Limited
Unused (One) March 2000 Limited                  Zedco Properties Limited
Property Investment Exchange Limited             Life Brand Holdings plc
STR Realisation Ltd                              Space to Manage Limited
Colliers Residential & Hotels International Ltd  Colliers Residential UK Ltd
Unchained Growth II plc (liquidation) *          Spacetorent.com Limited
Unchained Growth III plc (liquidation) *         E Property Investor Limited
Unchained Growth IV plc (liquidation) *
Unchained Growth V plc (liquidation) *
Unchained Growth VI plc (liquidation) *
Unchained Growth VII plc (liquidation) *
Unchained Growth VIII plc

* All of the 'Unchained Growth' companies above were property Business Expansion
  Scheme companies that were created with an intended short lifespan.

Mr William Penfold Wyatt, 36, holds, and has held within the five preceding
years the following directorships and partnerships:

Current directorships and partnerships:

Crewkerne Investments Limited                    Amber Industrial Holdings plc
Dunchurch Lodge Stud Company                     Thermo Engineers Limited
Huntley & Sparks Limited                         May Acoustics Limited
Exactor Sterling Limited                         Sterling Industries plc
Lakers Process Engineering Limited               Mori Group Limited
Sterling Process Engineering Limited             FB Realisations Limited
Causeway Steel Products Limited                  Argo Flare Services Limited
Steam & Combustion Engineering Limited           PCC Sterling Limited
Sterling Hydraulics Limited                      Nova Capital Group Limited
Caledonia Land & Property Limited                Gle Hi-Tech Seals Limited
Urquhart Engineering Company Limited             GCD International Pty Limited
Quality Heat Technologies Pty Limited            Meinl European Land Limited
Omniport Holdings Limited                        Cobehold SA

Past directorships and partnerships in preceding five years:

Bateman Chapman (Holdings) Limited               Caledonia Industrial Limited
Pathoak Property Management Limited              G & G Properties (Saxelbye) 
                                                 Limited

Mr Wyatt was a Director of Caledonia Industrial Limited which was put into
liquidation on  7 May 2003.

There are no further disclosures to be made in accordance with Rule 15 and
schedule 2(f) of the AIM Rules.

For further information please contact

Robert Adair, Terrace Hill Group PLC, Chairman                     01845 537 037

Ross Macdonald, Terrace Hill Group PLC, Joint Managing Director    0141 332 2014

Alasdair Robinson, Noble & Company Limited                         0131 225 9677


Notes to editors:

Terrace Hill Group plc is an AIM traded property company. It has two divisions
(i) commercial development where the current development programme shows over
£200 million in hand and a further £200 million projected and (ii) residential
investment where it has 578 units, almost entirely in Scotland and the North of
England. The Group recently reported a 15% increase in the value of its
underlying investment property assets since last October.

END

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