RNS Number:2251L
Property Income & Growth Fund Ld
16 May 2003

16 May 2003

Property Income & Growth Fund Limited

Offer Update

The Board of the Property Income & Growth Fund Limited (the "Company") was
profoundly concerned to learn at 11.10 a.m. this morning from Ozannes, the
Company's legal advisers in Guernsey, that due to their administrative
oversight, Ozannes had failed to lodge with the Greffe in Guernsey, within the
21 days required under Guernsey Law, copies of the two special resolutions
passed at the Extraordinary General Meeting of the Company held on 24 April
2003.


As a result of this omission, the Board has been informed that the first special
resolution passed at that meeting, to introduce the provisions into the Articles
of Association of the Company whereby compulsory acquisition procedures could be
applied following acceptances being received for 75 per cent. or more of the
issued ordinary shares, is void ab initio. The Board is awaiting clarification
from its advisers as to the validity of the second special resolution, to relax
the borrowing restrictions contained in the Articles, passed at the same
meeting.


Land Race announced earlier today that it had received valid acceptances under
the Offer in respect of approximately 82.52 per cent. of the existing ordinary
share capital of the Company and that it had declared its offer unconditional in
all respects. As a result of the resolutions not being filed within the required
time, the compulsory acquisition of the outstanding ordinary shares has not
commenced as planned.


The Board of the Company has been advised that the failure to file a copy of the
two special resolutions in the required time does not affect the fact that the
Land Race offer is unconditional in all respects, nor that Land Race now owns
82.52 per cent. of the existing ordinary share capital of the Company.
Accordingly, in these circumstances, shareholders who have not yet accepted the
Land Race Offer are recommended to complete and return their Forms of
Acceptance.


The Board of the Company will make a further announcement as soon as possible.

Enquiries:
Hugh Field                                            020 7678 8000

Hoare Govett Limited



The Directors accept responsibility for the information contained in this
announcement. To the best of their knowledge and belief (having taken all
reasonable care to ensure that such is the case) the information contained in
this announcement is in accordance with the facts and does not omit anything
likely to affect the import of such information.

Hoare Govett Limited, which is regulated in the United Kingdom by The Financial
Services Authority, is acting exclusively for the Company and for no-one else in
connection with the offer and will not be responsible to anyone other than the
Company for providing the protections afforded to customers of Hoare Govett
Limited or for providing advice in relation to the offer.





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