Delays over UK’s tallest building

Source: Construction Digital

Date :28/08/2007 08:58:40

The completion of the Shard of Glass - intended to be Britain’s tallest building - has been put back by at least a year to 2012 as its backers struggle to secure finance.

The owners of the New London Bridge House project - a 1,016ft skyscraper - had aimed to secure about £350 million to fund construction.

City concern about the financial credibility of Simon Halabi - the one-third owner - had made it hard to gain finance.

Mr Halabi is thought to be sitting on a £150 million loss after buying the Esporta fitness chain this year for £470 million, only for Société Générale to put the holding company into administration this month.

A source close to the Shard project said: “There is the problem of Halabi. Esporta is not helping the financing. The reality is people are asking: ‘Has he got the money?’ But this is a more fundable deal than most. Originally it was planned for 2010. It may take a couple of years longer. If there is finance in the autumn and it goes up by 2011 it can be completed in 2012. The earliest is 2012. No one anticipated the time over planning inquiries and Mr Halabi.”

August 28 2007