Acquisition

Land Securities PLC
7 February 2001




       LAND SECURITIES ACQUIRES WHITECLIFF PROPERTIES FROM BLUE CIRCLE

 Whitecliff's portfolio constitutes some 80% of Kent Thames-side development
                                     land

            Heads of Terms agreed with Blue Circle Industries plc



Land Securities PLC ('Land Securities') and Blue Circle Industries PLC ('Blue
Circle') announce that they have agreed Heads of Terms for Land Securities to
acquire Whitecliff Properties together with 1013 acres of its Kent Thames-side
and Cambridge portfolios for £60 million. The Kent Thames-side projects to be
acquired include Crossways Business Park, Stone Castle and Eastern Quarry,
together with Cambridge Lakes on the outskirts of Cambridge.

In addition Blue Circle and Land Securities will develop in partnership a
further 825 acres of Kent Thames-side which comprise Ebbsfleet and Swanscombe
Peninsula. Under the terms of the agreement Blue Circle will retain ownership
of the land while Land Securities will provide development expertise and
development funding.

Ebbsfleet, the agreed site for the Channel Tunnel Rail Link ('CTRL')
international and domestic passenger stations, received a boost last month
through London & Continental Railways' announcement of their placing £600
million of contracts to deliver Section Two of the CTRL from Ebbsfleet to St
Pancras.

Commenting on the Agreement, Peter Walicknowski, Director of Strategy at Land
Securities, said: 'This acquisition is a further advance towards fulfilling
Land Securities' aim to become one of the recognised leaders in creating value
through mixed-use regeneration in the UK. It also corresponds with one of Land
Securities' strategic objectives of working in partnership with major
corporates, whose core business is not real estate, to release balance sheet
value.'

Rick Haythornthwaite, Chief Executive of Blue Circle, said: 'This is a further
important step in the disposal strategy that we set out to shareholders last
year. We are very pleased to have reached agreement with such a major and
respected property company as Land Securities, who will ensure that the
projects continue to be world-class.'

Kent Thames-side is a 22 square-mile region incorporating the boroughs of
Dartford and Gravesham. Adjacent to the M25 at the Queen Elizabeth II Bridge
crossing, Kent Thames-side benefits from an extensive transport infrastructure
and includes the Bluewater regional shopping centre. The region is a major
component of the Government's larger Thames Gateway regeneration strategy.
Kent Thames-side could support up to 30,000 new homes and over 10 million sq
ft of commercial, retail and leisure usage - which will benefit from a reduced
journey time of 17 minutes to Central London as a result of the CTRL station
and new line.

Mr Walicknowski added: 'Kent Thames-side is recognised by regional and central
government as one of the most important regeneration regions in the UK. Its
success is vital to ease the development pressure on London and the South-East
through the provision of de-centralised employment opportunities and housing.
Land Securities recognises that a visionary solution based on sustainable and
balanced environmental planning principles can deliver added value for the
benefit of all stakeholders.'

The existing Whitecliff Properties' team will continue to deliver the
regeneration vision for the Kent Thames-side region.

                                   - ENDS -



For further information:

Land Securities PLC:

Peter Walicknowski/Emma Denne.

Tel: [phone]; or

Financial Dynamics

Stephanie Highett

Tel: [phone]

Blue Circle Industries PLC:

Jacqueline Sinclair-Brown

Tel: [phone]; or

Brunswick

Sophie Fitton

Tel: [phone]

Whitecliff Properties:

Hugo Peel

Tel: [phone]