Interim Management Statement

SHAFTESBURY PLC

Interim Management Statement

For the period 1 April 2010 to 11 August 2010

Shaftesbury PLC's strategy as a specialist Real Estate Investment Trust is to invest exclusively in properties at the heart of London's West End. Our wholly owned portfolio, which covers around 11 acres, now includes in excess of 500 shops, restaurants, cafes and bars which together provide over 70% of our income and an increasing proportion of our future rental growth.

As has been reported widely, trading conditions in London's West End remain buoyant. Consequently we have a healthy demand for retail, restaurant, leisure and residential accommodation across our Villages.

Wholly owned vacant commercial space at 31 July 2010

At 31 July 2010 the total estimated rental value of wholly owned commercial vacancies was £3.4 million per annum. Of this total, space under construction or refurbishment amounted to £2.0 million per annum. This includes for the first time the estimated rental value on completion of our new retail and office development at 36/39 Carnaby Street. Construction started in June 2010 and completion is expected in 2012. This development alone has increased the estimated rental value of vacant properties by approximately £1.0 million per annum and vacant floor space by approximately 6,000 sq. ft.

The rental value of commercial space ready to let or under offer amounted to £1.4 million per annum, equivalent to 1.9% of the estimated rental value of our wholly owned commercial accommodation. We had no larger shops (rental value over £100,000 per annum) available. 23 smaller shops (average rental value £45,000 per annum) were either ready to let or under offer. A greater turnover of tenants in small units is not unusual and can give us opportunities to bring new retailers and concepts to our Villages.

Of the three vacant restaurant units, two are under offer and one is to let.

We continue to search for opportunities to secure vacant possession of restaurants and of larger shops to satisfy demand from businesses which wish to expand or to open for the first time in our Villages.

Of the 32,000 sq. ft of vacant offices, 11,000 sq. ft. is under construction, 9,000 sq. ft. is subject to applications for change of use to residential accommodation and 12,000 sq. ft is either ready to let or under offer.

We have 32 new apartments under construction, being mainly conversions from offices, with an estimated rental value on completion of £0.8 million per annum.

Construction of St Martin's Courtyard, part of our joint venture with the Mercers' Company in Covent Garden, will complete in phases this autumn. Progress with lettings in this scheme up to 31 July 2010 is set out below.

St Martin's Courtyard lettings progress at 31 July 2010

To date, 72% of the scheme's commercial space has been let, pre-let or is under offer. We have active interest in the remaining restaurant and eight shops. Marketing of the remaining office space, which is in three separate buildings across the site, is continuing ahead of completion. The new apartments will only be offered to let once they have been handed over by our contractor and full access is available into the Courtyard.

Acquisitions

In the ten months from the start of the current financial year to 31 July 2010, we have acquired properties costing £63 million, located in and around Covent Garden, Berwick Street and Charlotte Street. These mainly mixed use properties include twelve with restaurant or leisure uses and eight shops. Located close by or adjacent to our existing ownerships, they also offer opportunities for improvement through a combination of change of use and refurbishment whilst in the short term they are substantially fully income producing.

Finance

At 31 July 2010, following completion of the acquisitions referred to above, our bank borrowings stood at £455 million, compared with committed facilities of £575 million. We have long term interest rate hedging in place in respect of £360 million of this debt, at fixed rates between 4.59% and 5.15% (weighted average rate 4.87%). Taking this hedging into account, the average all-in cost of our bank debt at 31 July 2010 was 4.75%. Including our £61 million of Debenture borrowings, the overall cost of debt was 5.12%.

Short term rates are expected to remain at current low levels for some time so that, at present, the all-in cost of funding that we draw from our unhedged committed facilities is around 1.5%. Long term interest rates continue to be volatile. Recent falls in long term rates, if sustained, will result in an increase in the non-cash mark-to-market deficit of our interest rate derivatives.

Outlook

Although much uncertainty persists regarding the future direction of both the domestic and international economies, London's West End continues to flourish, thanks to its unrivalled attractions which bring growing numbers of visitors. As a result we continue to experience good demand, particularly for our larger shops, well located restaurants and residential accommodation.

We continue to expand our portfolio, both through acquisition and implementation of new schemes. Despite the challenges evident in the wider economy, we are confident that the underlying strengths of the locations in which we invest and our management strategy will continue to deliver sustained out-performance in income and capital values.

Contacts:

12 August 2010

Forward-looking statements

This document includes statements which are forward-looking in nature. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Shaftesbury PLC to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements.

Ends.