Interim Management Statement

SHAFTESBURY PLC

Interim Management Statement

For the period 1 April 2013 to 23 July 2013

SHAFTESBURY REPORTS CONTINUED STRONG DEMAND, GOOD PROGRESS ON LETTINGS AND FURTHER ACQUISITIONS

Current trading

London continues to attract unprecedented levels of interest from across the world from businesses choosing to locate and invest here, from visitors seeking to experience its unrivalled variety of attractions and from those who live and work here. Against this background of a prosperous and growing global city, the West End is flourishing.

Demand for all our commercial space and residential accommodation continues to be healthy, resulting in high occupancy and further rental growth.

Vacant commercial space at 30 June 2013 (wholly owned portfolio)

* Based on estimated rental value ("ERV") at 31 March 2013 of wholly owned commercial space at that date, and ERV of acquisitions in the period. Total: £84.1 million

In Carnaby, the redevelopment of buildings fronting the south side of Foubert's Place and Kingly Street commenced in January 2013 and is progressing well. The scheme will provide 7,500 sq. ft. of retail space, a new 6,500 sq. ft. restaurant, 10,500 sq. ft. of offices and twelve apartments. The ERV of this new accommodation totals £1.9 million, of which the commercial space contributes £1.5 million. The scheme is expected to produce an increase in annual rental income, compared to pre-scheme levels, of around £1.5 million, based on current ERVs. The estimated cost is £13.5 million and completion is expected by the end of 2014.

The ERV of other commercial schemes across the wholly owned portfolio amounted to £2.1 million, equivalent to 2.5% of wholly owned commercial ERV. This includes five restaurant schemes, with a total ERV of £1.1 million, all of which are now let or under offer. Offices under refurbishment include 11,000 sq. ft. (ERV £0.7 million) in Ganton House, Carnaby which will be available by the end of 2013.

The ERV of available to let wholly owned commercial space amounted to £3.2 million at 30 June 2013 (3.8% of wholly owned commercial ERV) of which £2.0 million was under offer. Our scheme on the north side of Foubert's Place completed in May 2013 and two of its three shops, totalling 7,000 sq. ft. (ERV: £0.8 million), are under offer to international retailers. Elsewhere in the portfolio, four large shops (annual rent in excess of £100,000), with an ERV of £0.9 million, were available of which one (ERV £0.3 million) has been let and one (ERV £0.2 million) is under offer. In Kingly Court, Carnaby, where we are introducing more food and beverage-related retail, we have secured vacant possession of ten small units (ERV £0.25 million) which are now being marketed.

In the Longmartin joint venture the ERV of our share of vacant commercial space amounted to £0.1 million.

We continue to identify opportunities within our portfolio to secure vacant possession to allow us to change uses, refurbish and reconfigure space, and introduce new retail and restaurant concepts. This may result in short-term increases in vacant space, but should bring important long-term benefits, contributing to continued growth in rental income and asset values.

Acquisitions

The availability of properties that interest us and are in our areas of focus continues to be low. Existing owners recognise the strengths and prosperity of the West End and are reluctant to sell. We remain patient and continue to track a range of opportunities.

Against this background of limited supply, since 31 March 2013 we have acquired four more properties totalling £10.5 million, bringing acquisitions in the year to date to £22.9 million. The acquisitions, in Soho and Covent Garden, comprised three shops (2,800 sq. ft.) and one restaurant (2,200 sq. ft.) with 3,400 sq. ft. of offices and three apartments on upper floors. The restaurant was vacant at acquisition but is now let.

In addition, we have exchanged contracts to acquire a long leasehold interest in all the commercial elements of a substantial development in the heart of Soho, on the site formerly occupied by Trenchard House. Our interest will comprise retail and restaurant space (approximately 6,500 sq. ft.) on the ground floor and basement fronting Broadwick Street, a busy route linking Carnaby and Berwick Street. This important regeneration scheme, which also will provide 78 apartments, is expected to complete in summer 2015.

Finance

Total debt at 30 June 2013 was £583.2 million, a net increase of £7.8 million since 31 March 2013 and our undrawn committed bank facilities totalled £112.8 million (31.3.2013: £120.6 million). Undrawn facilities reduced further by £13.5 million following payment of the interim dividend early in July.

Taking into account the Group's £360.0 million long term interest rate hedging, the average cost of debt at 30 June 2013, including margin and non-utilisation costs in respect of undrawn facilities, was 5.26% (31.3.2013: 5.28%). Our marginal cost of borrowing remains around 1.65%.

With long dated sterling swap rates rising during the quarter, the non-cash mark-to-market deficit attributable to our interest rate swaps fell £30.1 million to £98.1 million at 30 June 2013 (31.3.2013: £128.2 million).

Date: 23 July 2013

For further information contact:

About Shaftesbury

Shaftesbury PLC is a Real Estate Investment Trust, which invests exclusively in London's West End. Our wholly owned portfolio, which extends to 13 acres of freeholds, now includes 332 shops and 234 restaurants, bars and cafes, which together account for 72% of its current income. The 394,000 sq. ft. of offices and 452 apartments in the wholly owned portfolio provide 16% and 12% respectively of its current income.

In addition, we have a 50% interest in the Longmartin joint venture with The Mercers' Company, which has a long leasehold interest in St Martin's Courtyard in Covent Garden. Extending to 1.9 acres, it includes 23 shops, eight restaurants, 102,000 sq. ft. of offices and 75 apartments.

Our objective is to produce long-term growth in our revenue through investment in, and management of, our property holdings, which is delivered to shareholders through rising dividends. Sustained improvement in rental income increases the value both of our holdings and shareholders' investment in our business.

London's West End, where all our investments are located, has a renowned concentration of world-class historic and cultural attractions together with an unrivalled variety of shopping and leisure choices which attract huge numbers of domestic and international visitors. It is also an important location for businesses, particularly those in the media, creative and IT industries, and a popular place to live.

Shopping and leisure are important elements of the local economy, supported by visitors as well as the local working population and residents. Consequently we focus on central locations and buildings where the predominant uses are retail and leisure-related: restaurants, cafes, pubs, bars and clubs. In the West End, there is a long history of occupier demand exceeding the availability of these uses, which is often restricted by planning policies and space constraints. As we provide this accommodation in shell form, the costs arising from obsolescence in our portfolio are low, which enhances our returns.

Forward-looking statements

This document may contain certain 'forward-looking' statements. By their nature, forward-looking statements involve risk and uncertainty because they relate to future events and circumstances. Actual outcomes and results may differ materially from any outcomes or results expressed or implied by such forward-looking statements.

Any forward-looking statements made by or on behalf of Shaftesbury PLC speak only as of the date they are made and no representation or warranty is given in relation to them, including as to their completeness or accuracy or the basis on which they were prepared. Shaftesbury PLC does not undertake to update forward-looking statements to reflect any changes in its expectations with regard thereto or any changes in events, conditions or circumstances on which any such statement is based.

Information contained in this document relating to the Company or its share price, or the yield on its shares, should not be relied upon as an indicator of future performance.

Ends.