British Land recently announced that it was seriously thinking about reviving the Cheesegrater project, the controversial 47-storey skyscraper at Leadenhall Street, City of London.
British Land, a property investment firm, originally put the project on hold because the recession caused a decrease in demand for office space.
However with the firm leasing out 465,000 square feet of London offices since February, they thought that there was finally an increased demand for offices.
The Cheesegrater, officially named The Leadenhall Building, will be 736 feet tall and provide 612,000 sq-ft of office space.
The building gained its nickname due to its wedge-shaped design which is intended to protect the views of St Paul’s Cathedral.
Tim Roberts, head of offices at British Land, said, “The level of letting activity in the London office market has increased significantly in the first quarter and we’ve seen rental values firming.”
Chris Grigg, British Land chief executive, said that the firm is primed to take advantage of this increased demand by constructing new office skyscrapers.
This included serious discussions about restarting the construction of the Cheesegrater.
He said, “Developments that were not really viable six to nine months ago are now being seriously considered.”
The company is also considering reviving the Walkie Talkie building on Fenchurch Street, The Pinnacle and Heron Tower.
However rival companies have also responded to the demand by considering the construction of other high-profile skyscrapers.
As a result the excess of new office buildings may lead to an oversupply in the market and prices may crash all over again.