1

Workspace Group PLC

UBS EUROPEAN MID CAPREAL ESTATE CONFERENCE

Harry Platt29 November 2006

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Background

• Established 1987

• Joined London Stock Exchange 1993

• Geographical focus

• Scale

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Ten Year Results to 31 March 2006

Five Year Ten Year

Compound Growth Compound Growth

Adjusted NAV per share 20.9% 21.9%

Property at Valuation 21.3% 22.6%

Trading PBT 9.9% 13.8%

Trading EPS 10.2% 13.0%

Dividend per share 10.2% 11.2%

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IPD Performance (Investment Property Databank)

0.00%

5.00%

10.00%

15.00%

20.00%

25.00%

30.00%

1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

Per

cen

tag

e R

etu

rn

Workspace

IPD

Workspace vs Universe

Workspace outperform the sector

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The Business – Hotelier of Space to SMEs

To achieve profit and capital growth from:

• Providing workspace to SMEs in London

• Investing in properties with potential- Income growth- Capital growth- Alternative use

• Increasing scale of portfolio, spreading overheads and developing the brand

• The right financial platform

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“ We provide affordable, flexible space for new and small businesses in London and the South East ”

• c.4,300 customers over 113 estates; 6.0 million sq .ft

• Over 9,900 enquiries a year; market leading brand in fragmented market

• A simple product offer

• Superior service from in-house management

• Customer focused

The Business – Hotelier of Space to SMEs

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Workspace Portfolio 2006

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Our Buildings

The Leathermarket, SE1Barley Mow, W4 Southbank House, SE1

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Our Buildings

Chocolate Factory, N22Canalot Studios, W10 The Lightbox, W4

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Our Buildings

Clerkenwell Workshops,EC1 Westbourne Studios, W10 Great Guildford Street, SE1

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Our Customers

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Customer Profile

Median % of median

turnover Year of start 1996 —

Turnover £250,000 —

Overheads £90,000 36

Profits £40,000 16

Rent £12,000 4.8

Typical Workspace tenant*:

• Rent under 5% of turnover• Average customer in 1,000 sq. ft paying £200 (approx) rent

per week

*Source: Kingston University survey of over 200 customers. Spring 2004

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Total Percentage of Customers by DTI Categories

DTI Classification of Tenants

12% 1%

2%

1%

6%

18%

45%

10%

5%

Manufacture

Retail

Cons truction

Utilities /Infras tructure

Organisations

Des ign & Creative

Services

Storage & Dis tribution

Unclass ified

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Strategy: Focusing on Growth: London Dynamics

London is a global city

London is a growing city

Centre of finance – commerce – culture – knowledge – creativity – power and

influence

London’s population likely to grow by

800,000 to 8.1m by 2016

The working population will rise by 516,000

Net migration continues to run at about

100,000 a year

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Strategy: Focusing on Growth: London SMEs

London is theSME incubator

• 1.07m employ 1 - 20 people

• 30% of these are in London and SE

• 85% of those businesses with employees in London have less than 10 employees

• In 2005, London accounted for 22% (87k) of all new business starts in the England and Wales

• London has the highest concentration of the fastest-growing and most productive business sectors in the UK

London is our Marketplace

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Strategy: Acquisitions in London

The importance of the database

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Strategy: Regeneration in London

Intensification

Transport Improvements

Olympics

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Strategy: Exploiting change of use

• In Joint Venture

• Outside Joint Venture

and reapply proceeds into core business growth

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Strategy: Sustainability….in line with the London Plan

• Accommodate growth in boundaries – brown land

• Better city to live in

• A more prosperous city with diverse economic growth

• Promoting social inclusion

• Improving London’s accessibility, and

• Tackling climate change

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Strategy: Workspace as a REIT

• Comfortably pass tests (ownership, property, trade mix

interest cover etc).

• Eliminate £140m deferred tax (80 pence per share)

• £20m entry cost – short payback

• Earnings (dividend) enhancing

• Strategic plan maintained

• May create acquisition opportunities

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Business Plan: To double shareholder value in 5 years

How?

• Focusing on London

• Growing market place of SMEs

• Rental growth from a low base

• Targeting acquisitions where long term value (through

database)

• Improving estates and pursuing mixed use intensification

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APPENDIX

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Workspace Total Shareholder Return (TSR) Index

0

50

100

150

200

250

300

350

2001 2002 2003 2004 2005 2006

Workspace FTSE Sm all cap FTSE 250 FTSE Real Es tate FTSE All share

Total Shareholder Return

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5 Year Share Price