Skyscraper put on ice

 
Kasmira Jefford
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LONDON property developer Great Portland Estates said it is unlikely to secure a major letting to begin construction of its planned 100 Bishopsgate skyscraper in the City for at least six months.

The group has a joint venture with Canadian property firm Brookfield to build the proposed office tower in London’s financial district, but pre-lets have become harder to secure as firms remain reluctant to move due to the economic uncertainties.

Great Portland’s adjusted net asset value rose to 378p per share at the end of September, up 20 per cent from 316p a year ago.

The value of its portfolio has risen 3.9 per cent to £1.8bn since March, benefitting from the resilience in London’s West End property market in the first half of the year.

City office leasing levels were higher in the three months to the end of September but Great Portland said it expects the full year to be down on the high levels of 2010, the group said in a statement.