Lendlease ordered to pay £14.8m for city tower falling glass

Aaron Morby 4 years ago
Share

The High Court has ordered Lendlease to payout £14.8m after a London city tower was forced to be reclad for a second time because of falling glass panes on to the street below.

125 Old Broad Street after most recent recladding
125 Old Broad Street after most recent recladding

The ruling ends a long legal battle surrounding the former London Stock Exchange tower, now known as 125 Old Broad Street, where on one occasion a 15ft plate glass window fell from the 17th floor onto a busy street just missing office workers enjoying an early lunch.

In total 17 plate glass windows failed on the 26-storey tower forcing its owner to pay to reclad the building, just four years after Lendlease had completed its original renovation project.

Lendlease was named throughout the judgement as the defendant.

But the Enquirer understands that was a procedural matter and the case centred on work by glazing contractor Permasteelisa.

A Lendlease spokesperson said: “Permasteelisa and Lendlease have reached an agreement whereby Lendlease will not be financially impacted.”

Klaus Lother, Chief Executive Officer of Permasteelisa UK Ltd said: “This judgment is relevant to an old project executed in 2005 and is connected with a decision by the client to change the project materials.

“The need for changing said materials was attributed by the client to Permasteelisa, which we objected to.

“Although we cannot agree with the conclusions of the judgment, we were long since prepared for such a possibility.

“Therefore it will have no impact on Permasteelisa business in the UK or at Group level.”

Handing down his judgment last week, Mr Justice Stuart-Smith described the project’s failings as “disastrous”.

Lendlease first carried out the extensive redevelopment of 125 Old Broad Street under a two-year design and build contract, completing in 2008.

Between then and 2012, the building suffered 17 spontaneous glazing failures due to nickel sulphide levels in the glass.

Fortunately, no one was seriously injured by falling glass, but the building had to be cloaked in scaffolding to protect the public.

Owners Hammerson, the Bank of Ireland and GE Real Estate then took the decision to pay for the building to be reclad with a new glass curtain walling system in 2013.

The judge said that Lendlease had failed to ensure it had the sufficient documents to prove the glazing supplied had been properly heat-treated to prevent failure.

He said: “I find as a fact that a substantial proportion of the glass that was used on 125 OBS, probably in the region of 35-40% though possibly more, was not heat soaked in accordance with the requirements of the contract.

“If it had all been heat soaked properly, there would probably have been either no breakages or one breakage.”

Around £8.7m of the £14.7m award covers the reglazing cost, with other remedial works and financing charges making up the balance.

Latest news

Tolent boss to leave as losses hit £8.3m

Closure of Southern business two years ago continues to hit bottom line
7 hours ago

Glencar bags 780,000 sq ft Coventry logistics park

Expanding St Albans contractor clinches big job for Bericote Properties
3 hours ago

Cladding panels “dislodged” from McAlpine hotel job

Roads closed around £540m Victoria square development
16 hours ago

£1.7bn Blue Eden project refloats Swansea tidal energy plan

Vast energy park plan for Swansea waterfront with 150 floating homes
14 hours ago

Chancellor to detail £7bn spending pledge for local transport

Around £1.5bn will be new cash for Midlands and Northern metro mayors
14 hours ago

Weston Homes plans £100m London flats scheme

Firm will build 254 flats at former Dylon factory in Sydenham
15 hours ago

New home starts slump 27% amid labour and materials crisis

Third quarter new housing registrations show shift away from apartment living
22 hours ago

Liverpool student block developer goes under

Subbies owed millions as Mount Group Student Natex goes into administration
3 days ago

HS2 downsizes Euston station to save costs

Shift from 11 to 10 platforms allows station to be built in one stage rather than two
4 days ago

Naive QSs storing up trouble in chase for lowest bids

Subcontractors say tendering for jobs at the moment is like the "Wild West"
4 days ago

Accountant being investigated over nmcn audit

Regulator launches probe into 2019 accounts which showed healthy profit
4 days ago

Murphy trials AI warning cameras at site danger zones

Smart camera warning system picks up incorrect PPE and workers at risk
4 days ago

£35m Nottingham art school gets green light

Work will start early next year on the nine-storey block
4 days ago

Vinci seals £77m Bristol student accommodation job

Work to start next month on one of largest Passivhaus certified schemes in the UK
4 days ago

Mace chair Pycroft to stand down

Industry veteran calls it a day after nearly 30 years at Mace
4 days ago

Laing O’Rourke on course for float after strong results

Pre-tax profit of £41.4m despite Covid as country's largest private contractor eyes stock market listing
5 days ago

Three in race for latest £500m HS2 contract

Shortlist confirmed for 36 mile section connecting the West Midlands and Crewe
5 days ago

End of timber shortages in sight

Softwood imports catch up with demand but delivery problems persist
5 days ago

Sheffield Hallam University’s £220m city campus gets nod

BAM to start work early next year in first education pain-gain share alliance
5 days ago

London and North West labour rates rise for third month

Two regions becoming fresh pinch points for labour
5 days ago

ISG clinches £21m National Cycling Centre upgrade

Manchester velodrome set for major refit and green upgrade
5 days ago

Keltbray appoints new director to head-up HS2 contracts

Former Carillion and Network Rail director Neil Lindley to lead HS2 works
5 days ago

Furious nmcn subbies left holding £60m in unpaid bills

Suppliers believe they were "strung along" by nmcn management
6 days ago

Battle starts for £600m YORbuild minor works deal

Third generation framework to emphasise offsite and net zero capability
6 days ago

JCB targets first hydrogen diggers by end of 2022

Plant giant is investing £100m in developing super-efficient hydrogen engines
6 days ago

Ringway to replace Kier on Surrey roads deal worth up to £2.5bn

Massive maintenance contract could last up to 21 years
6 days ago

House builders and public bodies get biggest CITB training grants

Housing giants and councils among biggest beneficiaries
6 days ago

BAM Nuttall names new major projects MD

Richard Prime promoted to fill role vacated by Ian Parish who is now Interim MD
6 days ago

Offsite Homes Alliance courts firms for £4bn MMC framework

Alliance of social landlords in the North aims to build 10,000 offsite homes per year.
6 days ago

Multiplex set to start on £50m Crossrail office site

Developer Grosvenor awards deal based on bidders' commitment to science based carbon reduction targets
6 days ago

Contractor services