Great Portland Estates PLC 26 January 2005 26 January 2005 Great Portland bolsters income at Mount Royal through acquisition Great Portland Estates plc ("GPE") announces the acquisition of the Prudential's leasehold interest at Mount Royal, 508/540 Oxford Street, W1 for £10.9 million by its newly created joint venture with Liverpool Victoria Friendly Society, the Great Victoria Limited Partnership ("GVLP"). The 7.5 year leasehold interest generates a net income of £1.95 million per annum, raising the income receivable by GVLP at Mount Royal from £3.7 million to £5.64 million and the net yield from 4.4% to 5.9%. The Mount Royal block comprises 88,500 sq ft of retail space and has a rental value of over £7.0 million. Robert Noel, Property Director, said: "Mount Royal was acquired with a clear plan to exploit asset management initiatives and we are pleased to have been able to buy the Prudential interest. In addition to boosting the income return, the acquisition releases significant marriage value and improves GVLP's control of the block". Contacts: Great Portland Estates plc Toby Courtauld, Chief Executive 020 7612 1442 Robert Noel, Property Director 020 7612 1443 Finsbury Edward Orlebar 020 7251 3801 Notes for editors GVLP was formed as a joint venture between GPE and Liverpool Victoria Friendly Society ("LVFS") in November 2004 to own four central London buildings including the Mount Royal block which it acquired from Quintain Estates & Development PLC for £80 million. At inception, the joint venture had assets with an approximate value of £122.7 million, with each partner contributing £33.5 million of equity, financed through cash and property contributions. Properties contributed by GPE were 81 and 82 Dean Street, London W1, comprising 32,800 sq ft of offices, let to Omnicom subsidiary TBWA Group UK Limited and producing a current annual net income of £1.4 million. LVFS contributed 40-48 Broadway and 1/11 Carteret Street, London SW1 and Verulam Gardens, 70 Grays Inn Road, London WC1. Broadway and Carteret Street comprise 60,000 sq ft of offices occupied by Liberty International plc as their headquarters and the Youth Justice Board. Verulam Gardens is a 34,000 sq ft office building let to patent agents Boult Wade Tennant and the first Secretary of State. The current combined annual net income of the LVFS properties is £1.8 million. GPE has been retained by the joint venture to carry out asset, investment and development management services on its behalf. This information is provided by RNS The company news service from the London Stock Exchange