RNS Number:6568U
Development Securities PLC
27 January 2004


27 January 2004

              DEVELOPMENT SECURITIES SELLS #25 MILLION OF PROPERTY

Development Securities PLC announced today the completion of several disposals
totalling #25.25 million.

The primary rationale for the sales is the maximisation of returns, with value
having been crystallised through the asset management process.

Following these disposals, the investment portfolio is now valued slightly in
excess of #100 million.  The Company will seek to increase this to its stated
objective of #150 million during the course of 2004.  Acquisitions will continue
to be made on a selective basis where management can identify opportunities to
add value.

Details of each disposal are as follows:

Retail warehouse portfolio

In December three units (Newton Heath, Wigan and Birkenhead) leased to
Carpetworld were sold for a combined sum of #4.2 million, reflecting a yield of
approximately 7.8%.  The proceeds reflected a net profit on disposal of 10%.
Eight Carpetworld stores were purchased by Development Securities in July 2003.

9/11 The Quadrant, Richmond

Initially purchased in 2001 for #2.8 million, this property, comprising 6,800 sq
ft of retail space with 6,300 sq ft of additional office space, was sold to CSFB
acting on behalf of GE Pension Fund for #5.4 million, reflecting a net initial
yield of 6.2%.

When the building was acquired, the office space was vacant.  Development
Securities subsequently undertook a #1 million comprehensive refurbishment
program and during the course of 2003, achieved lettings at rental levels of
approximately #20 per sq ft.

The Unicentre, Preston

This 12-storey office, 86,000 sq ft office building with a rent passing of
#800,000 was purchased during the second half of 2003.  The Company undertook a
lease restructuring with the major tenant and subsequently completed the sale to
Landmarq LLP in December for an approximately   10 % profit on disposal.

Phase Two, The Beacons

These offices, purchased in mid 2001 for #4.4 million, have now been sold to the
Duchy of Cornwall for #5.1 million. These proceeds, reflecting a net initial
yield of 7.5%, were slightly in excess of book value.  This deal is consistent
with the Company's strategy to divest itself from those office properties where
unexpired lease terms are under 10 years.

Matthew Weiner, Director of Investments, Development Securities PLC, commented:

"December 2003 was a busy month as we completed these transactions, all of which
related to properties that were acquired in the last two or three years. The
rapid turn-around is consistent with Development Securities' proactive
investment management strategy.

For further information:

Matthew Weiner
Development Securities PLC               Tel: 020 7828 4777

Richard Evans
The Communication Group plc              Tel: 020 7630 1411
Or visit:                                www.developmentsecurities.com


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