The City of London has approved a 73-storey, 309.6-meter skyscraper, set to rival the Shard's height. Named 1 Undershaft, the tower will offer 154,156 sq m of office space, educational facilities, and a public garden. Despite delays since 2016 and conservationist concerns over its impact on historic landmarks, the revised design meets post-pandemic office needs. Investor Aroland's project signals confidence in London's premium office market amid rising borrowing costs and remote work trends. With City construction up 7% between April and September, this development highlights sustained global investor faith in London's real estate and economic resilience.
The City of London has approved plans for a 73-storey skyscraper, set to match the height of Western Europe's tallest building, the Shard, located a mile to the south. The 309.6-meter (1,016-foot) tower reflects confidence in the office market despite current challenges. The design was revised from an earlier proposal to better align with post-pandemic office requirements.
The 1 Undershaft tower, originally approved at a slightly shorter height in 2016 but never constructed, has faced delays and criticism. Investor Aroland has struggled for years to move the project forward, which involves demolishing an existing smaller building. Conservation groups, including Historic England, have voiced concerns, stating in February that the changes would worsen the tower's impact and "seriously degrade" the surrounding area.
If constructed, the tower would offer 154,156 square meters of office space, educational facilities for children on the top two floors, and a public garden. London's office market has struggled due to rising borrowing costs and increased remote work post-pandemic, though demand for premium spaces persists. Few major office buildings in London have been sold this year, with investors Nuveen and Brookfield currently testing market interest by attempting to sell their towers
The availability of new office space in London has slowed since the pandemic, but construction in the City has defied the trend, with new projects increasing by 7% between April and September, according to Deloitte. In contrast, other central London markets have seen declines. Critics argue that London's skyline is becoming overcrowded with generic glass-and-metal towers that overshadow historic landmarks, particularly in the City of London, home to St Paul's Cathedral
With the approval of another much-needed office development in the City of London, it reflects the strong confidence global investors have in both the London real estate market and the broader UK economy, said by Shravan Joshi, chairman of the City of London Corporation's Planning and Transportation Committee. The Shard, Western Europe's tallest skyscraper, was completed in 2012.
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