Statement re Expansion into Central Europe

Slough Estates PLC
                  

SLOUGH ESTATES PLC SIGNS HEADS OF TERMS FOR EXPANSION INTO CENTRAL EUROPE

Slough Estates International ('SEI'), has agreed heads of terms to acquire the
Central European property development operations of Grontmij - a leading
European engineering firm - for a provisional €19.5m, with an option to buy
further development operations in Italy for a provisional €3.5m plus debt.

The transaction would expand SEI's core European sectors (logistics, light
industrial and suburban office) into strategic locations in Poland, the Czech
Republic and Hungary and also give it an option to move into Italy. The business
includes a highly respected team of staff based in both Central Europe and in
Holland.

SEI's Managing Director in Europe, Walter Hens, said

'These businesses would give SEI up to 170 hectares of well located development
land in attractive new geographies - and a strong team with excellent local
knowledge. For strategic reasons Grontmij are exiting these businesses - the
timing should work well for SEI, with sites assembled, zoned, serviced and ready
for development.

This transaction would complement SEI's June 2005 entry into the Dutch market
with the acquisition of a majority shareholding in Mainland BV - that move also
gave us strong local talent, and a significant pipeline of development
opportunities including key locations around Schiphol Airport.'

The signing of these heads of terms is being announced today because this is now
a discloseable situation for Grontmij - the transaction is still subject to due
diligence and to contract. On completion SEI would publish more detailed
information on the assets being acquired.

-ends-

For further information please contact:


Slough Estates                                  Shared Value Ltd
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Michael Waring                                  Andrew Best / Emily Bruning
Director of Corporate Communications            Tel: [phone] / 5027
Tel: [phone](am) 01753 213335 (pm)

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Notes to editors

Slough Estates

www.sloughestates.com

Slough Estates is a leading provider of flexible business space in business
parks in Western Europe and North America, with over 1500 customers occupying
approximately 3m square metres of business space. Slough Estates' properties are
in suburban locations in close proximity to the main business centres, where
there is long term demand for business accommodation to serve these key economic
regions. The company's main activities are currently based around London,
Brussels, Paris, Düsseldorf, Amsterdam, San Francisco and San Diego and the
company continues to develop new business parks with the long term objective of
building shareholder value and enhancing its reputation for quality buildings
offering excellent value to customers. www.sloughestates.com

At its interim results this year Slough Estates highlighted increased
development starts in Europe with 5,509 sq m completed in H1, 64,029 sq m under
construction at the end of the first half of 2005 and with 56,112 sq m of
possible starts in the second half of 2005.

Grontmij

www.grontmij.com

Grontmij is one of the top ten engineering firms in Europe - in 2004 it
announced that it would gradually divest of its non-core activities in order to
reduce its debts and strengthen its cash position.

The depositary receipts for ordinary shares in Grontmij are quoted on the
Euronext Stock Exchange in Amsterdam.