Developer expresses worry over future of ABP
The future of the Advanced Business Park in the Royal Docks is clouded by doubt after the developer revealed his concerns over the impact of Brexit.
The ABP, which is a centrepiece of Docklands regeneration, has seen commercial activity slow as a result of uncertainty about future trading conditions, according to a report in The Times.
Chairman of ABP Xu Weiping said about half the development had been sold in the first phase but some potential clients were thinking of pulling out and the company was having difficult acquiring funds.
“Some of our clients would rather breach the contract but not pay the rest of the payment,” Mr Weiping told The Times.
“They are very confident and determined they have made the right choice of investment in ABP’s project, but the banks of those clients are not sure about the future of the UK and that’s affecting us finalising the contracts.”
The Chinese company signed a deal in 2013 with the then Mayor of London Boris Johnson to develop 4.7 million sq ft at the 35-acre industrial site between the Building 1000 – the offices of Newham Borough Council – and the University campus in the east.
Mr Xu said that the company’s board “will not make a decision so easily about continuing to invest” in the next phase of the project, which includes a mixture of offices and housing aimed at workers on the site. “They will need to further assess the future development of the UK.”
He said he was more concerned about continuing uncertainty rather than the prospect of a no-deal Brexit and he support the Prime Minister’s “do or die” pledge for October 31.