London developers rein in skyscraper plans

Plans for almost 750,000 sq m of speculative office space could be put on ice in London as demand from the financial sector dries up.

Developers across the city are reigning in plans for iconic skyscrapers and large office developments because of the difficulty finding tenants.

British Land’s wedge-shaped Cheesegrater is in doubt while Hammerson has announced it won’t be starting any new developments before next summer.

Land Securities may also postpone its Walkie-Talkie tower, which was due to be finished in 2011, according to the Times.

Out of 19 office space schemes only three are definitely going ahead – London Bridge’s Shard skyscraper, Hines’ tower in Cannon Place and Heron Tower.

Most others have been delayed or are in doubt, including The Pinnacle at 24 Bishopsgate, which the newspaper lists as a “maybe”.

The scaling back comes as more than 300,000m² of unlet office space is due to come onto the market in London this year and swathes of let but empty space are expected to reappear on the market.