INDUSTRY NEWS

No longer the Pinnacle?

The one billion pound Pinnacle skyscraper may never see the light of day; as its owners face being wound up and having their site seized by the construction firm working on the site.

The High Court has now ordered that the special purpose vehicles who own the scheme cough up £16m to the main contractor, Canadian-US based construction group, Brookfield Multiplex.

The building has become known as “the stump” since work on the site ground to a halt almost a year ago – seeing only its first seven storeys actually built.

The 63-storey behemoth was planned to be the largest in London, offering an abundance of London offices for firms in the city.

The planned development is owned by three special vehicles, a Saudi Arabian investment group, Sedco and Arab Investments, but Brookfield are now pushing for £16m after the group failed to defend the contractor’s claim.

According to Brookfield’s website, construction will now be complete sometime in 2015, but with the issues thus far that could slip back even further.

The Pinnacle was one of many planned tower blocks that were aimed at capitalising on a boom in demand for office space – with varying levels of success.

In fact, the BBC has conducted a report highlighting a range of buildings such as the Pinnacle, which have failed to take off in the way they intended, with the lead architect of the original Pinnacle project admitting to the BBC that it may never be finished.

Lee Polisano told the BBC: “My own belief is the building that gets built will probably be a different building to that there at the moment.

“It is a shame that we have a very important piece of land at this key site that’s empty.”

The report also discussed other London commercial developments that were empty or mostly empty such as Cannon Place, The Place and Heron Tower, as well as buildings that had been cancelled or waiting tenants including Principle Place and One Trinity.

News bought to you from DeVono Cresa, the award-winning commercial property advisers, specialising in Central London office, retail and leisure space.