London Docklands scheme remains at a standstill as rivals eye up deal
The developer behind Aecom’s stalled Spire London tower scheme in the Docklands has confirmed the job is still on hold as speculation grows that rival builders are now circling the £800m deal.
Enabling works have been carried out by Bachy Soletanche with the main build and work on the basement expected to have begun by the end of the year.
But the job has been on hold for close to six months after the developer, Chinese firm Greenland, ordered a review of the job.
Building understands that a number of builders are now eyeing the 67-storey scheme which Aecom won last May when it signed a pre-construction services agreement with Greenland.
One source admitted: “We’re looking at it. Who knows what will happen going forward but right now, that job’s dead.”
Aecom beat traditional tower builders, including Multiplex, to the deal in what was seen as a coup as it looks to branch out from its traditional role as a consultant.
Aecom and Greenland have worked together on a number of schemes in the US, including an 18-storey residential tower in Brooklyn and a $1.2bn (£900m) mixed-use job in Los Angeles.
A spokesperson for Spire London said Greenland was “not entering into contractual discussion while the review is underway” and added: “Once the review is complete, we look forward to progressing this landmark project in collaboration with our partners across the supply chain.”
Aecom referred questions to Greenland and declined to comment on whether the job was responsible for halving UK profit last year.
The consultant said profit slumped 52% in the year to September 2017 to £3.3m from £6.9m for the 12 months before.
It said profit was “lower than expected due to the losses taken on an underperforming project in one of the company’s core market segments”.
Designed by HOK, the tower will house 861 apartments of which 765 are for private sale. It will also feature a residents’ garden, along with a private members’ club incorporating a health club, gym, spa and swimming pool.