Land Securities’ 335,000 sq ft mixed-use scheme on Oxford Street, London W1, has been hit with a lawsuit over an alleged abuse of a land-use swap.
In a move that will put Westminster Council’s policy on land-use swaps under the spotlight in the High Court, Fladgate Fielder, whose North Row offices neighbour the LandSec scheme, is seeking judicial review of the council’s decision to grant consent for a LandSec project in Victoria.
LandSec wants to replace student housing removed from Park House on Oxford Street to the Victoria scheme at Wilton Plaza, London SW1.
The Oxford Street project, designed by Hamilton Associates, would replace the existing block’s 44,000 sq ft of shops with 100,000 sq ft of larger units.
It would also include 170,000 sq ft of offices and 39 flats.
At Wilton Plaza, LandSec aims to replace offices with a 10-storey block providing 157 student bedsits and 74 affordable homes.
Westminster approved the Wilton Plaza conversion in March, but an application lodged in February for Park House is still pending before its planning committee, despite a target decision date of 25 May.
Fladgate Fielder, which has a significant property practice, would not comment on its motive for bringing the court action. Mark Harnett, head of planning, would say only that a trial date had yet to be set.
However, a source said: “It’s not happy about the principle of banking a residential use on one site and using it for commercial development on another some distance away.
“The challenge is to the principle of doing these credit swaps.”
High-profile planning silk Christopher Katkowski QC has been instructed to defend the council, which indicates how keen Westminster is to stop its use of credit swaps from being curbed.
LandSec and Fladgate Fielder have also hired highly rated planning barristers. Keith Lindblom QC is appearing for LandSec and Christopher Lockhart-Mummery QC for Fladgate Fielder.
Westminster’s unitary development plan does not specify distances between buildings used in land-use swaps, but says they must be “in the vicinity”.
References: EGi Legal News 14/08/06
