Schroders Gresham Funds complete investment programme ahead of by sdfsb346f

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									Schroder Property Investment Management Limited
31 Gresham Street, London EC2V 7QA
Telephone 020 7658 6000 Fax 020 7658 3960
www.schroderproperty.com



   Schroders' Gresham Funds complete investment programme
   ahead of schedule and sell Bridgewater Industrial Portfolio for
                              £20.4m
14 February 2007

Gresham Real Estate Fund II LP ("Gresham II"), managed by Schroder Real Estate Ventures Group
("Schroders"), has completed its investment programme 16 months ahead of schedule and Gresham
Property Partners L.P. ("Gresham I"), also managed by Schroders, has sold the Bridgwater Industrial
Portfolio to London and Westcountry Estates Ltd for £20.4m.

Joe Froud, Executive Director of Schroders, commented,

“We have taken advantage of recent market conditions to maximise returns for both of our funds.
Gresham ll has successfully accelerated its investment plan and now has a portfolio of assets focused
predominantly on the London office market, which is the only area where we expect to see significant real
rental growth. Similarly with Gresham l the current level of investor interest in multi let secondary
industrials made it the right time to sell the Bridgwater Estate. "

Gresham ll
In April 2005, Gresham ll raised £150m of equity from 41 institutional and high net worth investors and
has since acquired 16 assets in 10 separate projects. The investments, which are almost entirely focused
upon the central London and western M25 office markets, are evenly spread between Docklands, the
City and the M4 corridor. Once refurbishments and lettings are completed it is anticipated that the
portfolio will have an end value in excess of £400m.

Most recently Gresham ll acquired two office buildings, known as Cityside and Challenger, in London E1
from Clerical Medical Investment Group Ltd for £26.1m. The buildings, which are located at the Aldgate
end of Whitechapel Road, provide 110,000 sq ft with a 74 space surface car park to the rear. They are
90% let at an average rent of £14.60 psf. Schroders has appointed Appley Properties Ltd as its asset and
development management partner for this project. Savills acted for Schroders whilst Michael Elliott acted
for the vendor.

Gresham l
Gresham I, which was launched by Schroders in 2002, has completed the sale of the Bridgwater
Industrial Portfolio, to London and Westcountry Estates Ltd for £20.4m. The Bridgwater portfolio consists
of 11 industrial estates, all of which are located in Bridgwater, Somerset comprising over 100 individual
units and extending to 273,000 sq ft. Tenants include Wolseley Centres, MFI Properties, Brandon Hire
and City Electrical Factors. A terrace of refurbished industrial units, aimed at trade counter occupiers, is
one of the largest properties within the portfolio.

The portfolio, which represents a significant proportion of Bridgwater’s industrial stock, was sold following
a competitive auction process involving 13 bidders.

Schroders and its asset manager, Commonwealth Partners were advised by Fineman Ross and King
Sturge. The purchaser was advised by Donaldsons and Stones Solicitors (Exeter) whilst The Royal
Bank of Scotland provided the finance.



Contacts
Schroders plc                                                                                              1
Registered office at above address
Reg. 3909886 England                              For your security, communications may be taped or monitored
Schroder Property Investment Management Limited
31 Gresham Street, London EC2V 7QA
Telephone 020 7658 6000 Fax 020 7658 3960
www.schroderproperty.com


Joe Froud, Schroder Real Estate Ventures Group       020 7658 4084
Suzanne Bartch/ Georgina Pepys, Maitland             020 7379 5151




Schroders plc                                                                                         2
Registered office at above address
Reg. 3909886 England                         For your security, communications may be taped or monitored
Schroder Property Investment Management Limited
31 Gresham Street, London EC2V 7QA
Telephone 020 7658 6000 Fax 020 7658 3960
www.schroderproperty.com



Notes to Editors
Schroders plc

Schroders is a global asset management company with £122.8 billion ($226.1 billion / €176.8
billion) under management as at 30 September 2006. Our clients are major financial institutions
including pension funds, banks and insurance companies, local and public authorities,
governments, charities, high net worth individuals and retail investors.

We apply our specialist asset management skills in serving the needs of our clients worldwide.
With one of the largest networks of offices of any dedicated asset management company and over
250 portfolio managers and analysts covering all the major investment markets, we offer our clients
a comprehensive range of products and services.

Further information about Schroders can be found at www.schroders.com

For further information about Schroders’ property business visit www.schroderproperty.com

Issued by Schroder Property Investment Management Limited.

Schroder Property Investment Management Limited and Schroder Investment Management
Limited are authorised and regulated by the Financial Services Authority.

For regular updates by e-mail please register online at www.schroders.com for our alerting service.


Schroder Real Estate Ventures Group

Schroder Real Estate Ventures Group (SREV) is a specialist business unit, within Schroders’
property business, entirely dedicated to the creation and management of venture funds.

It has managed Gresham Property Partners LP (Gresham I) since launch in August 2001 and Gresham
Real Estate Fund II, L.P. (Gresham II) since launch in December 2005. Gresham I invested £212m in 12
transactions and was originally heavily retail focused. It has now disposed of its entire retail
portfolio in the last 15 months including the former J Sainsbury Developments Ltd retail parks in
Hayes, Reading, Peterborough and Horsham (it had a 49.6% interest) which was completed in
December 2006. All three of its shopping centres (Barking, Ipswich and Ealing) have also been
sold since Q4 2005.

Since launch Gresham II has acquired 16 properties with a value of approximately £330m. All of
these assets are London (City & Docklands) and M4 corridor (Reading, Bracknell & Heathrow)
offices with the exception of two large warehouses (Peterborough).

Gresham II is established as a Jersey Limited Partnership with a Jersey Unit Trust Feeder Fund
and is planned to have a 7 year life.

This document does not constitute an offer to sell or exchange units in any fund and is not
soliciting an offer to buy or exchange, and does not constitute an invitation to subscribe for, buy or
Schroders plc                                                                                             3
Registered office at above address
Reg. 3909886 England                             For your security, communications may be taped or monitored
Schroder Property Investment Management Limited
31 Gresham Street, London EC2V 7QA
Telephone 020 7658 6000 Fax 020 7658 3960
www.schroderproperty.com


exchange any units in any fund in any jurisdiction where the offer, sale or exchange is not
permitted.

Each Fund qualifies as an unregulated collective investment scheme for the purposes of the
Financial Services and Markets Act 2000 (FSMA). As an unregulated collective investment
scheme, the distribution and promotion of partnership interests are restricted, for the purposes of
Sections 21 and 238 of the FSMA, to persons who are themselves authorised under the FSMA or
who otherwise fall within the categories or exceptions made under Sections 21 and 238.

No warranty is given, in whole or in part, regarding performance of the Funds. There is no
guarantee that their investment objectives will be achieved. Potential investors should be aware
that past performance is not a guide to the future. The value of partnership interests and the
income from them may fluctuate upwards or downwards and cannot be guaranteed. Property-
based pooled vehicles such as these Funds invest in real property, the value of which is generally
a matter of a valuer's opinion. It may be difficult to deal in the units or to sell them at a reasonable
price because the underlying property may not be readily saleable. There will be no recognised
market for units in the Funds and, as a result, reliable information about the value of units in the
Funds or the extent of the risks to which they are exposed may not be readily available.




Schroders plc                                                                                              4
Registered office at above address
Reg. 3909886 England                             For your security, communications may be taped or monitored

								
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