Property companies alarmed at Crossrail plan

Property companies alarmed at Crossrail plan to buy sites and retain them for development.

Hammerson UK Properties has told the House of Commons Select Committee being appointed to consider the Crossrail Bill that it objects to the proposal to acquire compulsorily the freehold of land above and below the new Bond Street station in the City of Westminster.

The company is protesting not only at the prospect of being deprived of its interests in this valuable site, but the possibility that its development value will later wrongfully accrue to the purchaser.

While not being opposed to the principle of building the station on the site of Nos.

18-19 Hanover Square, Hammerson's petition states that the Crossrail promoter (the Secretary of State for Transport) needs only part of the ground floor of the premises and below the station.

Hammerson explains that the property has the benefit of conservation area consent and planning permission for demolition and construction of a seven-storey building.

This will accommodate the proposed Crossrail station, including an entrance on the ground floor, under a Section 106 agreement with the local authority.

The petition says that redevelopment of the site for Crossrail is therefore compatible with existing plans and asks that Hammerson should continue to be entitled to redevelop the property above the station in accordance with the planning permission given earlier this year.

"In any event", it adds, "your petitioners do not agree with the proposed land disposals policy, as the promoter should not be entitled to benefit from the development potential for land it acquires for the works".

"Your petitioners have the greatest interest in the site and would be willing, as well as most able in terms of finance and expertise, to undertake its development." Great Portland Estates is also concerned about the impact of Bond Street station construction on properties in Hanover Square.

In its own petition it says that the area is liable to considerable disruption over a protracted period, involving demolition of 18-19 Hanover Square and extensive boring and tunnelling works for the new ticket hall.

"Hanover Square and Harewood Place will be the route of very considerable construction traffic." Risk to stability of Moor House.

Of the Moor House site on London Wall, where Hammerson is a majority shareholder in the limited partnership that owns the property, the petition points out that the site is surrounded by land to be acquired or used.

"The building is at the western end of the proposed Liverpool Street Crossrail station, and contains a vent shaft to be adopted by Crossrail".

"The expected disruption during construction and the risk to the stability of the building is one of the most significant on the entire Crossrail route, and is not adequately addressed by the safeguards in the Bill or in the accompanying environmental statement".

""Tunnelling of the station platform tunnels is to be carried out using the sprayed concrete lining (SCL) method, which has been attributed to a number of tunnel collapses in the recent past.

Your petitioners seek assurance that this technique is to be carried out safely and correctly, and seek to ensure that appropriate independent review of the methodology is carried out prior to the caverns being constructed, and that sufficient independent controls are in place during construction." Hammerson has also expressed concerns about its land holdings north west of Paddington Station".

"These form part of Network Rail's Span 4 development and are the subject of a separate petition submitted by its subsidiary Hammerson (Paddington)".

"The Crossrail Bill embodies plans to construct a temporary set-down area for taxis on the northern side of Paddington station, requiring access across the Hammerson ownerships.

"However", says the petition, "Network Rail and other interested parties have already agreed to pursue a permanent redevelopment (including planning permission) that would include a set-down area for taxis as part of these proposals".

"If the relevant part of the permanent development were brought forward and constructed, it would allow construction of Crossrail in the same way that the proposed temporary deck would have done".

"This would avoid the cost of the temporary deck and would mean that the construction of Crossrail did not delay the planned redevelopment which features a number of infrastructure improvements required for Paddington Station." The petition says that Hammerson is willing to undertake the relevant part of the redevelopment, with a saving in cost to the promoter, in exchange for an undertaking that its land interest at Paddington would not be acquired.

Concerns over structural integrity.

As regards sites in Spitalfields and neighbouring properties leased from the City of London Corporation, which Crossrail will traverse below ground, Hammerson is concerned that the powers to take land in the Bill (lower than 9 m below ground) could interfere with or involve the acquisition of part of the foundations of the properties concerned, at least one of which has two basement levels".

"Planning permission was granted by the London Borough of Tower Hamlets for the now completed development of Bishop's Square with the consent of those involved with the Crossrail project".

"Your petitioners seek further information as to what is proposed at this location and would strongly resist acquisition of land that included part of, or threatened the structural integrity of, the buildings at this location." Hammerson's present headquarters at 100 Park Lane is a Grade II* listed building, not itself under threat of acquisition but close to the proposed Park Lane shaft and worksite.

The petition expressed fears that the building would be severely affected by the construction works".

"The threat of Crossrail is also creating uncertainty with respect to the implementation of planning permissions and listed building consents that have been secured for the conversion of the property into a single dwelling or 17 dwellings".

"Your petitioners are similarly concerned that 10 Grosvenor Street (Hammerson's prospective new headquarters) will be affected by the nearly construction works, in terms of noise, vibration, dust, deterioration in condition and limitations on pedestrian and vehicular access." Hammerson also says it will resist the inclusion in the Bill of powers to use the Bishopsgate Goods Yard for spoil removal.

This site is being acquired from Network Rail but there have been indications that Crossrail might want to use it for spoil removal from the Hanbury Street shaft".

"Your petitioners oppose any change from the proposals contained in the Crossrail Bill and its accompanying documents as these will have a serious effect on your petitioners' interests in Bishopsgate Goods Yard, without the proposals having been subject to consultation or environmental impact assessment." On the issue of settlement effects, Hammerson say they wish to see an effective and agreed monitoring system in place before commencement and during construction to measure the exact effect of any settlement on four named properties".

"There must in your petitioner's submission be a threshold agreed between your petitioners and the promoter for ground movement within the vicinity of the properties, or distortions of the structure of the properties".

"If that threshold is exceeded then it is imperative that the undertaker nominated to carry out the works is obliged to cease construction until such time as remedial measures are in place which will minimise settlement and consequently avoid distress to the buildings.".

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