Birkby PLC - Acquisition

RNS No 2115c
BIRKBY GROUP PLC
19th June 1998      

                                  BIRKBY PLC
                                       
                         EXPANDS  NATIONAL  PORTFOLIO

Birkby plc, the commercial property management group, announces that since its
year end, it has acquired a total of approximately 205,000 sq ft of space  for
an aggregate consideration of #2.8 million.

During its financial year ended 31 March 1998, Birkby added a total of 683,343
sq  ft of commercial space to its existing portfolio. As anticipated, the rate
of  acquisition improved as the market softened and  approximately 450,000  sq
ft  of space was acquired during the final quarter of the financial year.   In
addition,  Birkby accomplished the majority of its acquisitions  "off-market",
which has been reflected in the favourable purchase prices.

Combining the acquisitions the group made during its financial year  with  its
post year-end acquisitions, Birkby has expanded its portfolio by approximately
890,000  sq ft.  This represents an increase of 16% in overall square  footage
and  is  in line with the group's target set at the beginning of the year.  As
stated,  Birkby's  expansion  strategy has been  weighted  in  favour  of  its
workspace division, IMEX.

The  acquisitions  help  to  confirm Birkby's position  as  the  UK's  leading
provider of managed commercial property to small and medium sized businesses.

The four acquisitions are set out below:

                           Sq Ft      Purchase    Gross Income    Physical
                                        Price                     Occupancy
------------------------------------------------------------------------------
                                                               
Traction House,                                                 
Motherwell, Near Glasgow  115,077    #1,050,000     #239,320         80%
Northfield Market,      
Birmingham                 16,648     #777,500      #84,000         100%
Grosvenor Mill Business                                               
Centre, Ashton-under-Lyne,     
Gtr Manchester             63,000     #480,000      #74,150          72%
Eldon Arcade, Barnsley,    
S.Yorkshire                10,000     #500,000      #89,200          95%
----------------------------------------------------------------------------- 
TOTAL                     204,725    #2,807,500     #486,670          

*   Traction House in Motherwell, near Glasgow, currently has 40,000 sq ft of
    vacant space, which the group intends to develop into small workspace
    units.

*   Birkby has acquired the freehold of its existing successful retail centre
    in Northfield, in Birmingham.  The purchase was made to avoid potential
    onerous rental increases and it brings additional sub-let income from an
    established retailer.

*   Grosvenor Mill, in Ashton-Under-Lyne, Greater Manchester is a quality
    workspace development which greatly enhances Birkby's presence in the
    North West of England.

*   Eldon Arcade, in Barnsley, South Yorkshire, is Birkby's first purchase of
    a shopping arcade and represents a high yield investment.  Shopping
    arcades are a new area of expansion for the group's retailspace division,
    In Shops.  While requiring the same operational skills as In Shop's
    traditional centres, they are less management intensive.

Bill Cran, chief executive, commented;

"We  are pleased with the substantial additions we have made to our portfolio.
In  particular,  I  am  delighted that the majority of our  acquisitions  were
identified  and  completed "off-market". Birkby has established  a  very  good
track  record  of  maximising  its assets through  active  management  and  we
anticipate a healthy rate of return on all our investments.

"As  1998  has  progressed, we have experienced a softening  in  the  property
market.  We are therefore anticipating a faster rate of acquisition this  year
and  aim  to  add  in excess of the 890,000 sq ft achieved over  the  past  12
months.

"We  are currently considering a number of interesting acquisitions and in the
meanwhile,  we  continue  to seek increased profitability  from  opportunities
within our existing portfolio.

"The  Board  anticipates announcing final results, for the year  to  31  March
1998,  in  early  July and looks forward to providing further details  of  the
group's progress at that time".


For further information:

Birkby plc                                            Tel: 0121 778 2233
Bill Cran, chief executive
Kim Taylor-Smith, deputy chief executive

Biddick Associates                                    Tel: 0171 377 6677
Zoe Biddick or Katie Tzouliadis

END



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