Eurohypo, a German real estate bank have recently bought up a site in the capital and Aon are supposedly one of the interested parties.

The site will be located at 6 Bevis Marks in EC3 and will generate new office space in the city.

Other sites that Aon are reportedly interested in include 122 Leadenhall street or ‘The Cheesegrater Building’ and the 20 Fenchurch Street ‘Walkie Talkie’ tower.

The ‘Walkie Talkie’ tower is a controversial development that is to create 660,000 square feet of office space, but conservation companies such as English Heritage are concerned that the skyscraper will damage the iconic skyline.

The development is to be carried out by the Canary Wharf Group who are expected to announce the project as a joint venture with property company Land Securities.

In other office space news, law firm Stephenson Harwood have awarded ISG a contract to fit out their offices at 1 Finsbury circus in Central London.

The project is due to be completed by April 2011 and ISG are to fit out 130,000 square feet of office space. ISG previously refurbished the building in 2008, due to this the building retained its Grade II listed facade.

Renovations made to the eight storey building include a central atrium and glass lifts. Thanks to the work carried out by ISG the property now holds a ‘very good’ BREEAM rating.

ISG operate throughout the UK, Europe, Middle East and Asia delivering construction, fit out and management services.
Previous clients include the likes of AOL, Selfridges, Sony and Microsoft.

British Land has acquired a prime office location in London’s West End, in order to take advantage of the increased demand for office space.

The property was sold, in an opportunistic deal, by Irish developer McAleer & Rushe.

At present the building is only 93,000 square-feet of office space, but the redevelopment involves the construction of new space.

This came as British Land gained planning permission to construct a further 39,000 square-feet of space in 2009.

The final cost of the redevelopment is expected to be approximately £100million.

Once completed, the new space will contain office space as well as some retail units on the ground floor.

All of which is thought to bring substantial profits for British Land, once they start to lease parts of the premises.

Tim Roberts, British Land’s head of office, said, “This is a great opportunity for British Land to buy into one of the limited number of prime central London locations with planning consent at an early stage in the recovery cycle.”

“We are optimistic about the outlook for rental growth in the West End office market and expect to generate strong returns as we leverage our development expertise.”

McAleer & Rushe, the previous owners, have agreed to stay on as contractor for the development and will take a share in the profits once the development is complete.

British Land expects the redevelopment to commence this year, and for it to be complete in 2013.

Brookfield Properties, which already own 22% of Canary Wharf, now have a 50% stake in the development at Bishopsgate.

Analysts, at JP Morgan Financial Services, have said that the development could cost up to £560 million and that, “The project was too big for Great Portland to comfortably do alone, in our view.”

As a result, without this financial backing the development may have been put on hold.

The Bishopsgate site currently has planning permission for a 40 storey building with 770,000 sq-ft of office and retail space, and will also include a public library.

The development is expected to be extremely lucrative because within the first quarter of 2010 the demand for London office space has more than doubled.

It is therefore understandable why Great Portland Estates, and other developers such as Brookfield Properties and British Land, are constructing new offices.

Toby Courtauld, chief executive of Great Portland, said, “We are delighted to be working together with Brookfield on what promises to be a building of the highest quality in a prime City location.”

Due to the buildings proposed size it is set to be one of the largest buildings in London’s financial district.

The company is thought to begin construction in 2011/12, as soon as any existing leases on the property have expired.