Head in the clouds
Warsaw could soon host Europe's tallest skyscraper. At a planned 282.4 meters, it would beat the current title-holder, Moscow's Naberezhnaya Tower, which stands at 268.4 meters. Business mogul Jan Kulczyk's development firm Chmielna Development, part of Kulczyk Holding, will need more than zł.1 billion to finance the project.
The firm submitted a request for a building permit last week and, if one is granted, construction work could begin as early as 2009 on a plot near the intersection of Al. Jerozolimskie and ul. Towarowa and could be completed by 2011.
Living high
The MWH architectural studio produced a preliminary design for the tower which envisages a large glass structure. It would host a 200-room hotel, and the Hyatt, Hilton and Marriott chains have already expressed an interest. The development would also host some 300 apartments on the upper floors and offices below the hotel.
"The preliminary idea of the skyscraper was well received by the Warsaw city authorities. When we get the [specification] of the conditions of the development, we will work on [the project] with MWH Architekci, which is the author of the [preliminary] design. We will also invite the world's best architects. We want to create an original building which will become a symbol of Warsaw," said Jarosław Sroka, director of corporate communications and international relations at Kluczyk Holding.
Bearing the cost
Justyna Kobos, a spokesperson for Kulczyk Holding told Lokale Immobilia, "Kulczyk Holding will finance nine percent of the investment cost, the rest is to be financed by the consortium of banks." No banks have joined the project yet.
Jarosław Wnuk, investment department senior associate at King Sturge said, "From the commercial point of view, tower buildings are always popular among occupiers (both commercial and residential). Therefore I do expect a significant demand for any space in this property. The project will be a mixed-use scheme with some commercial, hotel and residential elements - this seems to be a good idea as 81,000 sqm would not absorb one type of use."
He added, "In my view, with right assumptions there would be banks interested in financing the construction as this building will be one of the most important assets in any company's portfolio."
Legal barriers
"Looking at the legal issues that can arise when building such a tower, first and foremost, there is the problem of having many city inhabitants protesting against its development, especially if the area where the building is to be erected will block the panoramic view of Warsaw, and it is not known whether the architect of the City of Warsaw will allow the placement of such a tall building," explained Stanisław Rachelski, partner at Rachelski & Wspólnicy law firm. "Other than that, the problem of access to media - such as electrical lines, broadcasting, and other things - to local inhabitants could arise," he added.
Shard of Glass
One major obstacle stands in the way of the tower's reach for the tallest building in Europe title. London's Shard of Glass tower - also known as London Bridge Tower - will stand at 310 meters if completed in 2011. But the Shard of Glass project has been rocked by financial difficulty and partnership breakdowns in recent months that could still potentially derail the project permanently.
