The City of London Corporation has approved the construction of the tallest skyscraper in the financial district.
On Friday, the Corporation’s planning committee sanctioned the 74-story tower at One Undershaft. This impressive structure, located between the Gherkin and the Cheesegrater, is designed to reach a height of 309.6 meters (1,016 feet), exceeding the current tallest building in the City, 22 Bishopsgate.
Even amid a slowdown in new construction spurred by escalating costs, increasing interest rates, and an unpredictable office market outlook, the demand for sustainable, well-connected, and luxurious office spaces remains robust. This situation may create a potential supply shortage at the premium level, encouraging some developers to move forward with high-end projects.
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“One Undershaft is an outstanding building that will not only address the needs for economic development through its top-quality office spaces but will also enrich the City’s cultural landscape and tourist attractions,” remarked Shravan Joshi, chairman of the planning and transport committee.
The project is owned by Aroland Holdings, a firm registered in the British Virgin Islands, with Kuok Khoon Hong, co-founder of Singapore’s Wilmar International, identified as the beneficial owner. Designed by architect Eric Parry, the tower will be developed by Stanhope Plc.
Situated on the site of the former headquarters of Aviva Plc, the development will include about 154,000 square meters (1.7 million square feet) of office space, along with public gardens, cultural spaces, and dining options. A prior design for the tower received approval in 2019, but the owners updated it to better meet post-pandemic corporate requirements. A decision on the new design was deferred this summer following multiple objections.
The new design is roughly the same height as London’s tallest structure, the Shard, which is located across the River Thames near London Bridge station.
© 2024 Bloomberg
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