6:14 am - February 23, 2025
The City of London has given the green light to a new 73-floor skyscraper that will stand at an impressive 309.6 meters (1,015.75 feet), matching the height of the Shard, currently Western Europe’s tallest building. This decision reflects the city’s continued confidence in the office market despite the challenges posed by the COVID-19 pandemic and the current economic downturn. The tower, officially named 1 Undershaft, was initially approved in 2016 but at a slightly shorter height. However, the revised plan was deemed more suitable for the post-pandemic work environment, securing its approval. The construction of this towering structure will require the demolition of an existing smaller building, a move that has drawn criticism from conservation groups. Despite these concerns, the development is expected to provide over 154,156 square meters (1.66 million square feet) of office space, along with educational facilities for children on the 72nd and 73rd floors and a publicly accessible garden, offering a blend of functionality and community benefits.
The approval of 1 Undershaft comes at a time when London’s office market is navigating significant changes. The pandemic has accelerated the shift toward remote work, reducing demand for traditional office spaces. Additionally, rising borrowing costs have further strained the market, leading to a slowdown in major office property sales. For instance, investors like Nuveen and Brookfield are currently attempting to sell their London office towers, which will serve as a critical test of investor confidence in the sector. Despite these challenges, premium office spaces remain in demand, indicating that high-quality, well-located developments like 1 Undershaft may still attract tenants and investors. The City of London has also seen a recent uptick in office construction, with new projects increasing by 7% between April and September this year, bucking the trend of declines in other central London markets, according to Deloitte.
However, the decision to construct 1 Undershaft has not been without controversy. Conservation groups, including Historic England, have expressed strong opposition to the project, arguing that the tower’s design and scale will negatively impact the surrounding area. In a consultation response to City planners earlier this year, Historic England stated that the revised plans have not adequately addressed concerns about the tower’s impact on the public realm, warning that it would “seriously degrade” the area. Critics also argue that London’s skyline is becoming increasingly dominated by generic glass-and-metal towers, which overshadow the city’s historic landmarks, such as St. Paul’s Cathedral. This debate highlights the tension between preserving the city’s heritage and embracing modern development to meet the evolving needs of its businesses and residents.
Despite these criticisms, proponents of the project argue that the construction of 1 Undershaft reflects the confidence of global investors in London’s real estate market and the broader UK economy. Shravan Joshi, chairman of the City of London Corporation’s Planning and Transportation Committee, welcomed the approval of the tower, stating that it demonstrates the city’s ability to attract investment and adapt to changing workplace demands. The Shard, completed in 2012, has already established itself as a iconic landmark in London’s skyline, and 1 Undershaft is set to join it as a symbol of the city’s enduring status as a global financial hub. The tower’s mix of office space, educational facilities, and public areas aims to create a vibrant and dynamic environment that benefits both businesses and the local community.
The development of 1 Undershaft also underscores the ongoing transformation of London’s skyline, as the city continues to balance its rich history with modern architectural ambitions. While some may lament the loss of smaller, older buildings to make way for these towering structures, others see them as necessary steps to accommodate the growing needs of the city’s workforce and economy. The tower’s publicly accessible garden, in particular, offers a rare green space in the heart of the financial district, providing a much-needed respite for workers and visitors alike. This blend of functionality and accessibility is a key feature of modern urban design, aiming to create spaces that are both economically viable and socially beneficial.
In conclusion, the approval of 1 Undershaft represents a significant milestone in the evolution of London’s skyline and its office market. While the project faces criticism from conservation groups, it also reflects the city’s resilience and adaptability in the face of economic and social change. The tower’s combination of state-of-the-art office space, educational facilities, and public amenities positions it as a forward-thinking development that could help shape the future of work in London. As the city continues to navigate the challenges of the post-pandemic world, projects like 1 Undershaft will play a crucial role in determining whether London can maintain its status as a leading global business destination.