Bishopsgate Tower - "The Pinnacle" | City of London | 288m | 63 fl | On Hold

[sony33]

SONY33 = NOSTRADAMUS !

[MatthewGen]

Originally Posted by sony33

SONY33 = NOSTRADAMUS !

Time to just remove this thread from my subscriptions

[lumberjack]

Well it's a sad day regards the Pinnacle and the weather is crap here in San Fran ... the view from my meeting.

image hosted on flickr

Untitled by Lumberjack_London, on Flickr

[Skyscrapercarazeeee]

....Where are you by the way ?,san fran ?

Sad to read this project is on hold again...emphasize on HOLD.Buck up and invest in this please,its such a beauty of a scraper

[Retroboy]

Originally Posted by Skyscrapercarazeeee

....Where are you by the way ?,san fran ?

Sad to read this project is on hold again...emphasize on HOLD.Buck up and invest in this please,its such a beauty of a scraper

Maybe someone else will come in and fund this instead as such an awesome building is bound to be a succes when built....

[scalatrava89]

Lumberjack isn't actually working in San Francisco. He's secretly looking for investors for the Pinnacle . Now that's dedication.

[mogwai83]

So they're leaving Lvl 8 in the shutters and pausing without even jumping the form to Lvl 9 ? Disappointing news but not entirely unexpected I suppose. Doubtless now that the other towers have some substantial lets agreed the next big empty tower available will be this one. Doubt very much that this will be parked for long.

[lumberjack]

Originally Posted by scalatrava89

Lumberjack isn't actually working in San Francisco. He's secretly looking for investors for the Pinnacle . Now that's dedication.

Yep just had a whip around and raised 10 bucks

[siberian dreamer]

Why would anyone apologise to someone who gloats over bad news?
Son, I am disappoint.

[zachUK]

To jump the form they'd have to raise the two core cranes ... can't see that happening. The stand-alone cranes need raising too and even though they have their climbing frames attached, there is now no reason to do that.

[mole]

Originally Posted by jimbo

My only thought here is that this is technically an SPV financing

I'm not sure I'd qualify that statement with "technically" - the freehold of the site is owned by a company called "The Pinnacle Ltd" and it is leased to another company called "The Pinnacle No.1 Ltd". Both are offshore entities incorporated in Anguilla. Ticks the SPV box in my book.

[brierleys]

I work in the building next door so I've had a really good view of everything from the beginning. I just noticed today that the concrete pump has been dismantled and removed from site. Everything else seems to be in bundles ready to go. I just did a search for any news which brought me to this forum.

[siberian dreamer]

Stick the thread as on hold then.. this is depressing me.

[Magnog]

the city cluster will never look good without this building, this was the focal point of the city, and i'm sure they know that, and i'm sure it will get built, i just hope it's not another year on hold because it's really taking the biscuit now.

[jimbo]

Originally Posted by mole

I'm not sure I'd qualify that statement with "technically" - the freehold of the site is owned by a company called "The Pinnacle Ltd" and it is leased to another company called "The Pinnacle No.1 Ltd". Both are offshore entities incorporated in Anguilla. Ticks the SPV box in my book.

quite so.....though I expect 122 Leadenhall and 20 FC are similarly structured as jvs between developers, and that they're owned by SPVs too, albeit the sponsors are of a much greater material worth with the conjones to build out.

my other thought over night was that if you were a potential tenant, a big corporate with a real need for the space on expiry of your current lease, you'd want to be 100% certain the tower would happen, and your new accommodation would be delivered on time. Your developer would need to have a proven track record. Despite the presence of Brookfield, potential tenants (in my view) would probably look more favourably on 122 and 20 FC because of the developers, and their proven track record, whereas the stop/start nature of the Pinnacle can't engender much market confidence. Its almost a positive feedback loop that continues to stymy the Pinnacle.

of course, we don't really know the full details, but the construction finance banks must have extended availability for a short period to see if the project could snag a big letting, but decided a pure spec build of so much space is not worth pushing the button on when the global economy continues to bump along the bottom of the cycle, and is projected to continue to do so.

Canary Wharf won't build spec (though they may go with resi at Wood Wharf) - RS, HQW and NQ are all sat waiting for the upturn before they start the projects.

look at Walbrook and Cannon Street. Big developments, delivered to market, but no tenants as yet. Most builds seem to require an anchor tenant before the button is pressed, e.g. Bloomberg at Walbrook Square.

the Pinnacle needs an anchor tenant for >30% of its space before its a green light. It will happen eventually.

Again - all above are purely my musings with no inside info.

[mole]

Originally Posted by jimbo

quite so.....though I expect 122 Leadenhall and 20 FC are similarly structured as jvs between developers, and that they're owned by SPVs too, albeit the sponsors are of a much greater material worth with the conjones to build out.

my other thought over night was that if you were a potential tenant, a big corporate with a real need for the space on expiry of your current lease, you'd want to be 100% certain the tower would happen, and your new accommodation would be delivered on time. Your developer would need to have a proven track record. Despite the presence of Brookfield, potential tenants (in my view) would probably look more favourably on 122 and 20 FC because of the developers, and their proven track record, whereas the stop/start nature of the Pinnacle can't engender much market confidence. Its almost a positive feedback loop that continues to stymy the Pinnacle.

of course, we don't really know the full details, but the construction finance banks must have extended availability for a short period to see if the project could snag a big letting, but decided a pure spec build of so much space is not worth pushing the button on when the global economy continues to bump along the bottom of the cycle, and is projected to continue to do so.

Canary Wharf won't build spec (though they may go with resi at Wood Wharf) - RS, HQW and NQ are all sat waiting for the upturn before they start the projects.

look at Walbrook and Cannon Street. Big developments, delivered to market, but no tenants as yet. Most builds seem to require an anchor tenant before the button is pressed, e.g. Bloomberg at Walbrook Square.

the Pinnacle needs an anchor tenant for >30% of its space before its a green light. It will happen eventually.

Again - all above are purely my musings with no inside info.

I agree with all that.

I'd add one point though, which is that if I were a potential tenant in the situation you describe, I'd now be thinking that my negotiating position would be relatively stronger for this project than for alternative sites. My goal would be for the developer to concede this kind of incentive before I signed on the dotted line.

[Black Cat]

Its unfortunate once more to hear that this project will go on hold again, though it has progressed further and is no longer a hole in the ground. There are now several skyscrapers on the rise all marketing their floorspace, so it may be wise from a financial perspective to hold a while till some more prospective tenants come along. However, look at the site location, scale of building, construction stage, etc. This building will happen, but we will have to be patient once more. Given recent news about Renmimbi currency trading in London we may have some new Asian players in town soon, and they will be looking for accommodation.

[The Shard Baby]

...
Won't see my diagrams for this building for a long time.
Why don't we raise money for the Pinnacle?

[potto]

http://www.cnplus.co.uk/8625250.article

Exclusive: Pinnacle work stops as Brookfield orders shutdown

Further blow to commercial offices sector as workers on £800 million Pinnacle skyscraper told to down tools amid concerns over finance and costs, Construction News reveals.

[danm]

Originally Posted by potto

http://www.cnplus.co.uk/8625250.article

Exclusive: Pinnacle work stops as Brookfield orders shutdown

Further blow to commercial offices sector as workers on £800 million Pinnacle skyscraper told to down tools amid concerns over finance and costs, Construction News reveals.