Withdrawals at Hwang project
GEORGE and Victor Hwang, the two brothers whose family control Hong Kong Parkview, have seen two of three major shareholders pull out of an ambitious plan to develop the south-London landmark, Battersea Power Station.
British Airports Authority (BAA), which runs some of Britain's biggest airports, and the Really Useful Group (RUG), the entertainment company run by Sir Andrew Lloyd Webber, have decided they cannot continue with the GBP200 million (about HK$2.39 billion) project.
After taking control of the site, which comprises a magnificent Grade One listed power station set in a derelict 12 hectare site, the Hwang's London-based project development vehicle, Power Productions, recruited BAA, RUG and the US-based Gordon Group to take equal shares in a feasibility study to turn it into a huge leisure complex.
'We have withdrawn from the feasibility study for the Battersea Power Station project, as has the Really Useful Group,' a BAA official said yesterday.
A BAA official said the company had reached a deadlock with RUG.
Issues including management control over the development of the project, influence over the transport links, and plans for the land surrounding the site, could not be agreed upon, she said.
BAA prides itself on having a high quality project control team which oversees all aspects of development, and it is understood the company was keen to employ these services.
It is also eager to develop strong public transport links to new developments, and is thought not to have been happy with access arrangements planned for the site.
The Hwang's Power Productions reportedly does not believe the withdrawal of BAA and RUG will have any financial implications for the site.
Power Productions is apparently not looking for new partners, and production is still on schedule to begin next spring.
