1 Workspace Group PLC UBS EUROPEAN MID CAP REAL ESTATE CONFERENCE Harry Platt 29 November 2006

2 Background Established 1987 Joined London Stock Exchange 1993 Geographical focus Scale

3 Ten Year Results to 31 March 2006 Five Year Ten YearCompound Growth Adjusted NAV per share20.9%21.9% Property at Valuation21.3%22.6% Trading PBT9.9%13.8% Trading EPS 10.2%13.0% Dividend per share 10.2%11.2%

4 IPD Performance ( Investment Property Databank) 0.00% 5.00% 10.00% 15.00% 20.00% 25.00% 30.00% Percentage Return Workspace IPD Workspace vs Universe Workspace outperform the sector

5 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

6 “ 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

7 Workspace Portfolio 2006

8 Our Buildings The Leathermarket, SE1Barley Mow, W4Southbank House, SE1

9 Our Buildings Chocolate Factory, N22Canalot Studios, W10The Lightbox, W4

10 Our Buildings Clerkenwell Workshops,EC1Westbourne Studios, W10Great Guildford Street, SE1

11 Our Customers

12 Customer Profile 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

13 Total Percentage of Customers by DTI Categories

14 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

15 Strategy: Focusing on Growth: London SMEs London is the SME incubator 1.07m employ 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

16 Strategy: Acquisitions in London The importance of the database

17 Strategy: Regeneration in London Intensification Transport Improvements Olympics

18 Strategy: Exploiting change of use In Joint Venture Outside Joint Venture and reapply proceeds into core business growth

19 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

20 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

21 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

22 APPENDIX

23 Total Shareholder Return

24 5 Year Share Price