The collapse of the housing market has led Irish developer Ballymore to delay its plans for a residential skyscraper at Snow Hill in Birmingham.
Ballymore is now reviewing its completion timetable for the 44-storey residential tower – known as Snow Hill phase three.
Work has already begun on building the footings of the tall glazed building, however, the housing market slump could halt the residential element of the 1m sq ft mixed-use project.
A spokesman for Ballymore confirmed that the developer is now focusing all resources on completing Number 2 Snow Hill – the 320,000 sq ft office block that will house law firm Wragge & Co, which is due for completion in 2011.
The spokesman said: “There is nothing unusual or negative in our approach to the phasing of Snowhill. Two Snowhill is the priority at present as a result of the Wragge & Co pre-letting and our resources are focused there.
“Phase 3 is under review only in terms of phasing and timing and this is normal business practice.”
The £450m development includes two skyscrapers designed by architect Glenn Howells, one housing 332 luxury flats and the other providing a Westin Hotel & Spa – Birmingham’s first five-star hotel.
Birmingham council is confident the 23-storey hotel tower will go ahead as planned and complete on schedule.
Snow Hill will provide a new office quarter for the city next to the existing Snow Hill train station. The first two phases are now under construction and will offer 600,000 sq ft of prime commercial space.
No 1 Snow Hill will see Barclays Bank occupy 98,000 sq ft and KPMG being housed in 120,000 sq ft of the office block.
Just 40,000 sq ft remains available in No 1 Snow Hill, which is due to complete next March. Barclays will occupy the building from late 2009.
