Lendlease is a prominent name on the wider shortlist of companies bidding for one of the largest mixed-use schemes in London to be sold in recent years.
Work on the £1 billion 18 Blackfriars development is set to begin next year and will include a £600 million office tower, over 400 residential units, the tenders for which have already been announced, as well as retail, cafes, and restaurants. The project is being developed by Hines and managed by Lipton Rogers.
Last week, documents were sent to Multiplex and Lendlease for the 47-story office tower, but Building understands that Mace, initially considered for the project, decided not to price it.
18 Blackfriars Road
The project will be part of a new cluster of towers in the Southwark area of the capital.
Lendlease’s inclusion on the list is a significant moment for the firm, which was put up for sale by its Australian parent company in May and followed the developer ITV Studios CO-RE’s decision in the autumn to replace it with Multiplex for this project, which is worth £500 million.
Building understands that Lendlease and Multiplex are expected to submit bids by spring, with the winner to be selected for a PCSA by summer.
The work is let as a two-stage design and build contract, and Hines has already been in talks with potential bidders.
The office tower, designed by Foster & Partners, will be the tallest of three planned for the site along Blackfriars Road.
The office tower will include 100,000 square meters of space and will start speculatively, targeting tenants from the professional, technology, and legal sectors.
The site, which has been derelict for almost two decades, is behind the Mad Hatter hotel and opposite 240 Blackfriars, which was built by Mace almost a decade ago.
It forms part of a new cluster of tall buildings in the Southwark area, including Multiplex’s Bankside Yards scheme and the Hoxton hotel completed five years ago by Kiro.
Bids for the £100 million service package and the basement for the entire building have already been submitted to four firms: Careys, Expanded, Keltbray, and McGee. The winner will be chosen, and work is set to start next summer.
Hines hopes the work will be completed by the end of 2026, with the main construction works to begin in spring 2027.
18 Blackfriars
The development will include retail, bars, and restaurants on the ground floor.
Multiplex is also putting two residential towers up for tender as part of the development. This project is worth £300 million, and the firm is competing against McLaren, Midgard, and McAleer & Rushe for these works.
Both residential towers were designed by Foster & Partners. The taller of the two, a 45-story tower, is aimed at private buyers and includes 273 apartments, while the 25-story affordable housing block offers 160 units. The winner of the tender will be determined by summer.
Hines declined to comment on the names of the tender participants, but in a statement, its Head of UK Development, Robbie Pittman, said: "We are looking forward to working closely with world-class partners to create a landmark new mixed-use development for London, with the aim of launching the project on-site by mid-next year."
The work, funded by the National Pension Service of Korea, will be the largest for Hines in the capital. Other projects include the mixed-use scheme at 80 New Bond Street, completed by Red Construction, and the renovation of 25 Cabot Square in Canary Wharf.
In addition to Lipton Rogers, the firm behind 22 Bishopsgate, the team currently includes engineer Arup and QS T&T Alinea. G&T is the QS for the residential part.