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Lights go off at Lumiere as the Linfoot - Valad consortium pull the plug
Work at Europe's tallest residential development has been put on hold with its developers blaming the credit crunch for the move.
KW Linfoot today said work at Lumiere in Leeds would restart "when the climate stabilises and an appropriate funding structure can be put in place".
K W Linfoot Plc is in joint venture partnership in this project with the Australian Valad Property Group, which acquired this as part of their SDG purchase last year.
Standing 171m from the ground, Lumiere’s Tower I will be balanced by Tower II at 112m high, on a site covering 0.36 hectares (0.9 acres) and totalling a value of £225 million, Lumiere is a mixed use development that combines residential with retail, commercial and office space. The site will also provide a primary healthcare centre, including a doctor’s surgery and dental practice, the first of its kind in Leeds.
At a time of fast rising raw material costs, little lender appetite for new build city centre flats ( which forces buyers to put up a bigger deposit than for other dwellings), and a weak consumer market, mothballing this project which has just got past the piling stage in the foundations looks a sensible decision.
Whether the demand for such a development will ever return will be a matter of keen interest to all developers in the UK.
KW Linfoot today said work at Lumiere in Leeds would restart "when the climate stabilises and an appropriate funding structure can be put in place".
K W Linfoot Plc is in joint venture partnership in this project with the Australian Valad Property Group, which acquired this as part of their SDG purchase last year.
Standing 171m from the ground, Lumiere’s Tower I will be balanced by Tower II at 112m high, on a site covering 0.36 hectares (0.9 acres) and totalling a value of £225 million, Lumiere is a mixed use development that combines residential with retail, commercial and office space. The site will also provide a primary healthcare centre, including a doctor’s surgery and dental practice, the first of its kind in Leeds.
At a time of fast rising raw material costs, little lender appetite for new build city centre flats ( which forces buyers to put up a bigger deposit than for other dwellings), and a weak consumer market, mothballing this project which has just got past the piling stage in the foundations looks a sensible decision.
Whether the demand for such a development will ever return will be a matter of keen interest to all developers in the UK.
Wed, 9th Jul 2008