Subsidiary Disposal

Comland Commercial PLC 2 August 2001 Comland Commercial Plc 2 AUGUST 2001 Comland Commercial Plc ('the Company') - Subsidiary Disposal The Company's subsidiary, Farastar Limited ('Farastar'), a special purpose vehicle which holds Verwood Industrial Estate, in Verwood, Dorset, was sold on 1 August 2001 to The Fiduciary Corporation (Properties No.5) Limited for a total consideration of £3,210,309. This was satisfied by a payment of £ 1,076,414 for the share capital of Farastar and £2,133,895 as repayment of debt due to the Company by Farastar. This sale is a substantial transaction under the terms of the AIM Rules. As at 31 March 2001 the net asset value of Farastar was £2. Farastar has traded at or around breakeven after management and interest costs from 31 March 2001 until 1 August 2001. The consideration was paid in cash and is being applied in reducing bank debt. The effect on the Company is to reduce gearing following the disposal. END