Securitisation Report

Unite Group PLC
11 November 2005

Date:                      11 November 2005
On behalf of:              The UNITE Group plc
Embargoed until:           0700hrs


            Academic Year Update and Quarterly Securitisation Report


UNITE Finance One plc, the wholly owned subsidiary of The UNITE Group plc
established for the purposes of the Group's securitisation in April 2002, has
today issued its standard quarterly report to bondholders. In conjunction with
the release of this report, The UNITE Group is also taking the opportunity to
provide an update on reservations and revenue performance across its total
portfolio as it enters the 2005/06 academic year.


Total portfolio

Reservations and rental performance for the total portfolio is as follows:

•    Entering the 2005/06 academic year, occupancy stood at 94.0% of available 
     rooms, compared to 94.8% for the 2004/05 year.

•    On a like for like basis and taking into account the above occupancy rate, 
     contracted gross rents increased by 7.2% year on year at those properties 
     that were open for the full 2004/05 academic year, (2004/05: 6.8%).


Securitised portfolio

The securitised portfolio continues to perform in line with expectations:

•    Term time occupancy averaged 94.8% for the twelve months to October 2005, 
     broadly in line with the 95.6% achieved in the twelve months to October
     2004.

•    It has again achieved steady income growth, with gross rents contracted for
     the 2005/06 academic year 2.8% higher than those for 2004/05, compared to a
     4.7% increase last year and after reflecting the above occupancy rates.

•    The debt service coverage ratio for the year to October 2005 stood at 122% 
     versus 123% for the previous twelve months.

•    The interest coverage ratio for the year to October 2005 increased to 135% 
     from 130% for the previous twelve months.


The full text of the Quarterly Securitisation Report is appended to this
announcement.


ENDS

Enquiries:

UNITE
Mark Allan, Group Finance Director                020 7902 5060

Redleaf Communications
Emma Kane/Wendy Timmons                           020 7955 1410 / 07876 338 339

Further information on UNITE is available at www.unite-group.co.uk


Note:

The Quarterly Securitisation Report contains trading information relating to the
Group's securitised portfolio of student and key worker accommodation,
comprising 9,961 beds completed prior to 31 December 2001 and representing 32%
of its total completed portfolio as at 31 October 2005.


Obligor Quarterly Report

Loan Determination Date: 25 October 2005

Date of Report: 11 November 2005

                                                     Opening Balance        Amortisation      Closing Balance
                                                                   £                   £                    £

Initial Class A Advance                                  142,230,033             566,577          141,663,456
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                             2,107,131            2,107,131
Principal in respect of the Initial Class A Advance                              566,577              566,577
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

                                                                               5,096,674            5,096,674

                                                                                                            £

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


                                                                       4 Quarters to LDD         This quarter
Net Rental Income                                                             31,025,725            9,751,824
Gross Rental Income                                                           30,312,986            9,393,915
Permitted Operating Costs                                                      3,486,312              692,145
Capital Expenditure                                                              883,280              709,808
Available Funds                                                                                     8,758,422
Debt Service                                                                  26,569,309            6,637,665
Adjusted Debt Service                                                         26,569,309            6,637,665
Alternative Debt Service                                                      20,108,500            5,096,674
Anticipated Debt Service                                                                            6,629,971
Spot Coverage Ratio                                                                                      161%
Coverage Ratio                                                                                           122%
Relevant Shortfall                                                                                        Nil
Anticipated Gross Rent                                                                             21,742,454
Debt Service Excess                                                                                 4,958,551
POC Overspend                                                                        Nil                  Nil
POC Underspend                                                                   712,739              357,909
Required Retention Amount                                                                                 Nil
Scheduled Permitted Operating Costs Allowance                                                       1,049,763
Scheduled Property Management Fee                                                485,341               37,492
Capital Expenditure Reserving                                                  1,788,025              453,736
Average Portfolio Occupancy                                                                               90%
Average Portfolio Occupancy - excluding vacation periods                                                  95%
Credit Reserve Level                                                                               12,000,000
Periodic Fee                                                                                              Nil
Refinancing LTV                                                                                         70.4%


Details of any Structural Alterations:                                                                   None

Property/Property, Property/Cash or Cash/Property                                                        None
Substitutions:

Property or Cash Collateral Withdrawals:                                                                 None

Coverage Ratio Calculation
                                                                          Coverage Ratio  Spot Coverage Ratio

Gross Rental Income                                                           30,312,986            9,393,915
Permitted Operating Costs                                                    (3,486,312)            (692,145)
Scheduled Property Management Fee                                              (485,341)             (37,492)
Capex Reserving                                                              (1,788,025)            (453,736)
                                                                              24,553,308            8,210,542

Alternative Debt Service                                                      20,108,500            5,096,674

                                                                                    122%                 161%




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