Securitisation Report

Unite Group PLC
12 November 2002

Date:             12 November 2002

On behalf of:     UNITE Finance One plc

Embargoed until:  0700hrs


The UNITE Group plc - Quarterly Securitisation Report


UNITE Finance One plc, the wholly-owned subsidiary of The UNITE Group plc
established for the purposes of the Group's first securitisation in April 2002,
has today issued its second quarterly report to bondholders.  The report
contains trading information relating to the Group's securitised portfolio of
student and key worker accommodation, comprising 9,961 beds representing
substantially all of the Group's income generating property portfolio as at 31
December 2001.  The Group currently has a total of 14,604 income generating
beds.  The full text of the report is appended to this announcement.

As anticipated at the time the securitisation was completed, certain annualised
calculations will not be provided until the fourth quarterly report is issued in
April 2003.

The Directors of UNITE Finance One plc have confirmed that the portfolio is
trading in line with the forecasts on which the securitisation was based and
rated by Standard and Poors.  Occupancy across the securitised portfolio
averaged 95.3% for the academic year 2001/02, although certain bedspaces were
not available for occupation for all or part of the academic year and, if the
effect of this is excluded, occupancy for the academic year averaged 96.8%.

Occupancy levels for the 2002/2003 academic year started at 98.6% for the
securitised portfolio and at 98.1% for all available student rooms compared with
94.8% for the same time last year.


Enquiries:


UNITE
Simon Bernstein, Chief Financial Officer           [phone]

Redleaf Communications
Emma Kane                                          [phone]/
                                                   07876 338339




                            Obligor Quarterly Report


Pursuant to clause 14.1 of the Issuer-Borrower Loan Agreement, UNITE Finance One
(Borrowing) Limited has covenanted to make certain calculations relating to the
securitisation transaction and the trading performance of the securitised
assets.  Several of these calculations require the inclusion of historic data,
typically relating to the previous twelve months' trading.  These calculations
will not be capable of performance until a period of twelve months has elapsed
and, consequently, cannot be disclosed to bondholders until the fourth Loan
Determination Date, scheduled for 24th April 2003.  These calculations are
annotated 'n/a' below and the disclosure has been agreed with the Trustee.

Notwithstanding the non-availability of the information referred to above, the
Directors have sought to disclose such trading performance indicators as are
available and these are included below.  Furthermore, the Directors confirm that
the securitised assets are trading in line with expectations and the forecasts
reviewed by Standard and Poors for the purposes of rating the transaction.

                            Obligor Quarterly Report

Loan Determination Date: 24th October 2002

Date of Report:  November 2002
                                                             Opening Balance      Amortisation    Closing Balance
                                                                           £                 £                  £

Initial Class A Advance                                          145,500,000           136,479        145,363,521
Initial Class B Advance                                           65,000,000               Nil         65,000,000
Initial Class C Advance                                           63,000,000               Nil         63,000,000

                                                                                     Scheduled               Paid
                                                                                             £                  £

Interest in respect of the initial Class A Advance                                   2,155,728          2,155,728
Principal in respect of the initial Class A Advance                                    136,479            136,479
Interest in respect of the initial Class B Advance                                   1,076,530          1,076,530
Principal in respect of the initial Class B Advance                                        Nil                Nil
Interest in respect of the initial Class C Advance                                   1,346,436          1,346,436
Principal in respect of the initial Class C Advance                                        Nil                Nil
                                                                                     4,715,173          4,715,173

                                                                                                                £

Unscheduled prepayment of the Initial Class A 
Advance                                                                                                       Nil
Unscheduled prepayment of the Initial Class B 
Advance                                                                                                       Nil
Unscheduled prepayment of the Initial Class C 
Advance                                                                                                       Nil

                                                                                                                £
Net Rental Income                                                                                             n/a
Gross Rental income                                                                                           n/a
Permitted Operating Costs                                                                               1,068,373
Capital Expenditure                                                                                       115,281
Available Funds                                                                                         9,938,413
Debt Service                                                                                            6,211,039
Adjusted Debt Service                                                                                   6,211,039
Alternative Debt Service                                                                                6,211,039
Anticipated Debt Service                                                                                4,714,897
Spot Coverage Ratio                                                                                           n/a
Coverage Ratio                                                                                                n/a
Relevant Shortfall                                                                                            n/a
Anticipated Rent                                                                                              n/a
Debt Service Excess                                                                                           n/a
P O C Overspend                                                                                               n/a
P O C Underspend                                                                                              n/a
Required Retention Amount                                                                                     n/a
Scheduled Permitted Operating Costs Allowance                                                                 n/a
Scheduled Property Management Fee                                                                             n/a
Average Portfolio Occupancy                                                                                 90.1%
Average Portfolio Occupancy - excluding vacation 
periods                                                                                                     95.3%
Credit Reserve Level                                                                                   12,000,000
Periodic Fee                                                                                                  n/a
Refinancing LTV                                                                                             77.8%

Details of any Structural Alterations:                                                                       None
Property/Property, Property/Cash or Cash/Property                                                            None
Substitutions
Property or Cash Collateral Withdrawals:                                                                     None


                      This information is provided by RNS
            The company news service from the London Stock Exchange