Half of all high-rise plans stalling

Up to 50% of all high-rise residential developments are being put on hold because of the market downturn.

Estimates by property consultancy group Savills show up to half of the high-rise schemes it tracks in London have been mothballed, or will be.

It also predicts at least the same proportion of schemes is under threat elsewhere.

Savills’ Marcus Dixon told the Financial Times: “The majority of tower schemes not under construction are being mothballed.

“With costs going up and sales going down a lot of these schemes don’t stack up, particularly in northern cities where a lot of new builds have depended on off-plan sales.”

The news comes after ING Real Estate withdrew from the £250m King Alfred residential complex in Brighton, designed by Frank Gehry and consisting of two towers of 751 flats.

Developer Karis Holdings is seeking a new financial partner.