The demand for office space in London has dipped due to concerns over the Euro Zone according to a leading property developer.
According to a report from the news agency Reuters, Land Securities has revealed that many firms are putting-off the acquisition of commercial premises due to the uncertainty hanging over the fate of the troubled Euro.
Fears are growing that proposed London office developments could be put on hold as a result of economic uncertainty in the Eurozone.Experts warn the Eurozone crisis could affect tenant demand and access to funding.
The progress of planned London office space could be halted as concerns over the Eurozone crisis continue to mount – that’s the message from a number of industry insiders this week.
Richard Taylor from EC Harris believes economic uncertainty in the Eurozone means some developers could struggle to secure pre-let tenants and external funding for their proposed projects. It’s feared these factors could in turn lead some developers to abandon their proposed London office space schemes altogether. (more…)
‘Cheese-grater’ moves into next phase as construction begins.The London office development is expected to be fully completed by 2014.
Construction work has begun on the ‘Cheese-grater’ office building in the heart of London. 22 Leadenhall or the ‘Cheese-grater’ building will provide over 600,000 square feet of high quality office space upon its completion.
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Land Securities begin work on two office developments.The company have begun development on two high quality office developments.
Land Securities have begun construction on two office developments in central London.
One of these developments is the well known ‘Walkie Talkie’ tower in the financial district. The 690,000 square foot office project is set to be completed by 2014 and currently has no tenants signed up. (more…)
London office lease prices increase.London office developments cause rise in leasing prices.
Constant construction and development of office towers is having a knock on effect on office leasing prices.
With so many projects underway rental prices have seen a steady increase, however there isn’t a surplus of office space being produced as companies are quickly snapping up contracts for the new buildings.
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Property company Songbird are considering selling 50 percent of their shares in the ‘Walkie Talkie’ development.
The ‘Walkie Talkie’ office development has been plagued by problems since it was approved in 2006.
Initially it had to be reduced in height due to heavy criticism about the impact on the skyline, in particular St Paul’s Cathedral. The design was reduced from 45 floors to 36.
The project was then shelved in 2008 due to the recession. However, a lack of available office space in London and high demand from companies set the project in motion again. (more…)
The Canary Wharf Group plc (CWG) is expected to form a joint venture with Land Securities to aid with the development of the Walkie Talkie tower on 20 Fenchurch Street, EC3M.
Joint ventures are an increasingly vital part of new developments, particularly in regards to securing effective funding and maintaining security in the event that a company should be terminated.
The China Investment Corporation (CIC), China’s biggest sovereign wealth fund, is also reported to have approached Land Securities about taking a 25% equity stake in the tower. The fund already has links to the property, holding 19% shares in Songbird Estates plc, whom own 60% of CWG.
Land Securities Group Plc has announced that they are restarting their development of a new skyscraper in London, known as the Walkie Talkie tower.
The shortage of office space in London has driven the decision by Land Securities, the largest real estate investment trust in the UK. They have been making enquiries to contractors for estimates to build the 155-metre tower, which will be at 20 Fenchurch Street in the the heart of City of London. (more…)