WORK at Europe's tallest residential development has been put on hold with its developer blaming the credit crunch for the move.
KW Linfoot said work at Lumiere in Leeds would restart "when the climate stabilises and an appropriate funding structure can be put in place".
Richard Dean, joint managing director at KW Linfoot, said: “We are of course disappointed that we are unable to progress plans for Lumiere to the anticipated timescale but we have to take heed of the current climate. We have made a sensible and pragmatic decision to put on hold construction at a time when the piling works are complete and before we embark on the next phase.
“We have already invested a considerable amount of time and money to deliver this iconic structure for Leeds and remain committed to progress plans when the market stabilises. Hopefully this will be sooner rather than later."
Lumiere's main tower is planned to be 55 storeys high and stand at around 171m tall (559ft), while the second tower will be 33 storeys tall and around 112m high.
Wolverhampton-based Carillion moved onto the Wellington Street site in March to drive forward work after winning a £155m contract to build its two towers.
Hewlett Civil Engineering, based in Leeds, has been on the site since December preparing the scheme's ground works.
The scheme, which was being developed in partnership with Frasers Property Developments, is also planned to offer 952 apartments as well as prime retail and office accommodation. International design company YOO, part owned by Philippe Starck, is involved in the design and branding the apartments and also as a shareholder in the scheme.
Earlier this year, property developer Kevin Linfoot, the entrepreneur behind the development, laughed off claims that the scheme would be scaled down or scrapped.
Managing director Richard Dean also told TheBusinessDesk.com in March that the appointment of Carillion would put doubts about the development's future "to bed".
The Lumiere scheme was launched with a glittering party in 2006.
A spokesman for KW Linfoot said marketing of the apartments would be unaffected as the company would continue to promote the development of Lumiere, both regionally and nationally.
All existing purchase contracts will remain although completions will be delayed in line with a revised construction programme.
Source: www.thebusinessdesk.com
Author : Ian Briggs - Deputy Editor
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