Interim Results

PATHFINDER PROPERTIES PLC
16 September 1999


Results for the Six Months Ended 30 June 1999

Chairman's Statement

The period under review

Our major development at Wimbledon Central is now nearing completion.  During
the period 20 apartments were sold or went under offer, leaving only two
available out of the 104 developed.   All loans on the property were repaid
during the period.

The commercial development at Bedford Row, London WC1 was also completed
during the period and a sale has been agreed, since the period end, at a
satisfactory profit.

The second-hand residential property sales market has much improved.  Ten ex-
BES units were sold in the period out of a total of 57 remaining. A further
27 units have since been sold or put under offer at prices generally well in
excess of book value.

Construction has started on the Group's joint venture at Church Street,
Manchester, which, when completed in the middle of next year, will provide 80
luxury apartments and a health club.

During the period, the Group has also acquired the former Weisfeld department
store comprising approximately 350,000 sq ft in the Merchant City area of
central Glasgow. The Company plans that this site will be the first of its
new inner city mixed use developments to be known as 'Merchant Villages'
which will comprise luxury residential, leisure and retail.

Results

Turnover and gross profit arise principally from the Wimbledon Central
development.   Gross profit reflects both the further exchanges during the
period and the completion of building works on the majority of apartments.
After taking into account administrative costs, operating profits for the
period amounted to £752,520.

Sales of properties from the Pathfinder Repossessions II portfolio have
generated a profit of £185,772 and, after deducting net interest payable,
which arises mainly on the loans funding the portfolio, the overall profit
before tax for the period was £841,860.

Year 2000 and the Euro

The Group's accounting and management systems are year 2000 compliant.   The
Group's property interests are wholly UK based and the Directors are not
aware of any issues arising with regard to the accounting and management
systems in relation to the Euro.

Dividends

The Company will pay an interim dividend for the period of 0.125p per share
to shareholders on the register at 1 October 1999.   It is anticipated that
dividend cheques will be dispatched on 20 October 1999.

Outlook

The development cycle of larger schemes such as Wimbledon Central is two to
three years and whilst the Board anticipates the sales at Church Street,
Manchester occurring during the next year, the Company's Merchant Village
concept will take time to develop.

Your Board is confident that the developments now being put into place will
achieve excellent returns for shareholders over the medium term.  However
with sales at Wimbledon Central all but completed, there is likely to be a
reduction in profits over the next eighteen months while the new developments
are progressed in other cities around the UK.

Sir Christopher Leaver
Chairman



PATHFINDER PROPERTIES PLC

PROFIT AND LOSS ACCOUNT
for the six months ended 30 June 1999


                                    6 months to   6 months to   9 months to
                                    30 June '99    30 Sep '98    31 Dec '98
                                              £             £             £

TURNOVER
Group and share of joint  ventures    8,634,841     7,832,931    10,400,005
less share of joint ventures                  -             -             -
Group Turnover                        8,634,841     7,832,931    10,400,005
                                    _______________________________________
  Ongoing operations                 8,634,841     7,791,812     10,258,386
  Acquired in period                         -        41,119        141,619
                                     ______________________________________
Cost of sales                       (7,638,695)   (7,097,563)    (8,842,638)
Gross profit                           996,146       735,368      1,557,367
Administrative expenses               (243,626)     (174,753)      (306,067)
OPERATING PROFIT                       752,520       560,615      1,251,300
                                    _______________________________________
  Ongoing operations                   752,520       549,382      1,208,702
  Acquired in period                         -        11,233         42,598
                                    _______________________________________

Profit/(Loss) on sale of 
 investment properties                 185,772       (14,211)        34,463
                                       938,292       546,404      1,285,763
Interest receivable                     83,875        16,887         43,922
Interest payable                      (180,307)      (53,388)      (156,248)
PROFIT ON ORDINARY ACTIVITIES
  BEFORE TAXATION                      841,860       509,903      1,173,437
Taxation                              (245,208)     (169,798)      (281,600)
PROFIT ON ORDINARY ACTIVITIES
  AFTER TAXATION                       596,652       340,105        891,837
Minority interests                           -           529         (1,803)
PROFIT ON ORDINARY ACTIVITIES        
  ATTRIBUTABLE TO MEMBERS              596,652       340,634        890,034
Ordinary Dividends                     (87,924)            -      _(215,240)
Retained profit for the period         508,728       340,634        674,794


Earnings per share                       0.85p         0.75p           1.65p



The operating profit arises from the Group's continuing operations.
No separate statement of Total Recognised Gains or Losses has been presented
as all such gains and losses have been dealt with in the profit and loss
account.




PATHFINDER PROPERTIES PLC

BALANCE SHEET
30 June 1999

                                      30 June 1999 30 Sept 1998 31 Dec 1998
                                                 £            £           £

FIXED ASSETS
   Investment properties                 5,631,244    7,536,005   6,932,660
   Investment in joint ventures        _____________________________________
       Share of gross assets             1,394,901            -   1,153,308
       Share of gross liabilities       (1,008,999)           -  (1,022,772)
                                           385,902            -     130,536
   Other Investments                            11           24          15
                                         6,017,157    7,536,029   7,063,211

CURRENT ASSETS
   Work-in-progress                      8,048,969    1,765,784   2,262,565
   Debtors                               1,911,794   14,151,692   9,647,351
   Cash at bank                          7,047,003    2,294,342   1,691,963
                                        17,007,766   18,211,818  13,601,879
CREDITORS: Amounts falling due within
  one year                             (10,286,464)  (8,985,546) (7,089,359)
NET CURRENT ASSETS                       6,721,302    9,226,272    6,512,520
TOTAL ASSETS LESS CURRENT LIABILITIES   12,738,459   16,762,301   13,575,731
CREDITORS: Amounts falling due in 
   more than one year
   Bank and other loans                   (300,000)  (4,800,000)  (1,600,000)
PROVISIONS: Deferred taxation             (214,000)    (260,000)    (260,000)
                                        12,224,459   11,702,301   11,715,731
Minority interests                               -     (480,566)          -
                                        12,224,459   11,221,735   11,715,731


CAPITAL AND RESERVES
Called up share capital                  7,033,972    6,847,209    7,033,972
Share premium account                    1,616,930    1,611,151    1,616,930
Capital reserve                          2,493,522    2,526,228    2,493,522
Profit and loss account                  1,080,035      237,147      571,307
                                        12,224,459   11,221,735   11,715,731


Net assets per share                        17.38p       16.39p      16.66p




PATHFINDER PROPERTIES PLC

CASHFLOW STATEMENT
for the six months ended 30 June 1999


                                      6 months to  6 months to  9 months to
                                     30 June 1999 30 Sept 1998  31 Dec 1998
                                                £            £            £

NET CASH INFLOW/(OUTFLOW)
       FROM OPERATING ACTIVITIES        5,908,778   (2,769,933)   2,187,457

RETURNS ON INVESTMENTS AND SERVICING
       OF FINANCE
Interest received                          83,875       16,887       39,672
Interest paid                            (167,747)    (300,476)    (459,551)
Net cash outflow from returns on 
investments and servicing of finance      (83,872)    (283,589)    (419,879)
 
TAXATION                                   

Corporation tax paid                            -     (157,832)    (274,729)

CAPITAL EXPENDITURE AND FINANCIAL
       INVESTMENT
Receipts from sales of investment 
 properties                             1,469,420      218,073    1,330,090
Purchase of investment properties        (247,451)     (34,445)    (514,547)
Net cash inflow from capital 
 expenditure and Financial investment   1,221,969      183,628      815,543
ACQUISITIONS AND DISPOSALS
Investment in joint venture              (255,366)           -     (130,536)
Purchase of subsidiary undertaking              -   (2,554,784)  (2,752,085)
Net cash acquired with subsidiary 
 undertaking                                    -    1,154,695    1,154,695
                                         (255,366)  (1,400,089)  (1,727,926)
                              
EQUITY DIVIDENDS PAID                    (215,240)           -            -

FINANCING
Issue of ordinary shares                        -      770,874      776,654
Debt due within a year:
       Bank loan drawn down               231,025    2,193,681    5,802,191
       Other loans drawn down                   -      300,000   (6,024,950)
       Bank loan repaid                (1,452,254)           -            -
Debt due in more than one year:
       Loans drawn down                         -    2,600,000      300,000
       Loans repaid                             -            -     (600,000)
                                       (1,221,229)   5,864,555      253,895

INCREASE IN CASH                        5,355,040    1,436,740      834,361




NOTES

1  BASIS
The figures shown for the six months to 30 June 1999 and 30 September 1998
are unaudited and do not constitute statutory financial statements within the
meaning of the Companies Act 1985.   The financial statements for the nine
months ended 31 December 1998 have been reported on by the Company's auditors
and delivered to the Registrar of Companies.   The report of the auditors was
unqualified and did not contain a statement under s.237(2) or (3) of the
Companies Act 1985.

2   ACCOUNTING POLICIES
The accounting policies adopted are consistent with those applied in previous
periods.  Investment properties are stated at valuation on 31 December 1998
with the addition of the cost of enhancement works since that date where
appropriate.   Investment properties have not been revalued at 30 June 1999.


3  SEGMENTAL ANALYSIS
                              6 months to       6 months to      9 months to
                             30 June 1999 30 September 1998 31 December 1998
                                        £                 £                £
Turnover:
       Development              8,453,110         7,771,490       10,228,166
       Investment                 181,731            61,441          171,839
                                8,634,841         7,832,931       10,400,005

Operating profit
       Development                973,215           711,530        1,483,194
       Investment                  (3,792)           14,223           50,106
                                  969,423           725,753        1,533,300
       Common costs              (216,903)         (165,138)        (282,000)
                                  752,520           560,615        1,251,300


4  DIVIDENDS ON ORDINARY SHARES
                              6 months to       6 months to      9 months to
                             30 June 1999 30 September 1998 31 December 1998
                                        £                 £                £

 Interim dividend 0.125p per 
  share                            87,924                 -                -
 Final dividend 0.306p per share       -                  -          215,240
                                   87,924                 -          215,240


5  PROFIT AND LOSS ACCOUNT
                              6 months to       6 months to      9 months to
                             30 June 1999 30 September 1998 31 December 1998
                                        £                 £                £

Brought forward                   571,307          (103,487)        (103,487)
Profit in period                  508,728           340,634          674,794
Carried forward at end 
 of period                      1,080,035           237,147          571,307


A copy of this statement is being sent to all shareholders and further copies
may be obtained from the company by writing to Pathfinder Properties PLC,
Capital House, Michael Road, London SW6 2YH.

For further information, contact:
Andrew de Candole, Managing Director        Tel: [phone]
Andrew Marshall, Marshall Robinson Roe      Tel: [phone]