PM Network - April 2009

ON HOLD

Renderings of the Chicago Spire show a soaring grooved spike rising out of the ground, a tapering spiral contrail made of metal and glass. Designed by renowned Spanish architect Santiago Calatrava, the Spire was supposed to be the tallest building in North America. But its construction site sits silent, its lone feature a giant round chasm whose subterranean strata make it look as if it’s waiting to receive the screw-in end of a gigantic lightbulb.

From its inception, the Spire’s development was fraught with uncertainty. Its original developer was forced to sell the building site in 2006 when financing failed to materialize. Dublin, Ireland-based Shelbourne Development Ltd. took over the project, but inherited troubles anew when the company learned it did not control a key parcel of property required for building. That, in turn, triggered a lawsuit from neighboring property owners.

Mr. Calatrava has suspended operations on the project, claiming he’s owed $11.34 million for work performed, and finally filed a lien against Shelbourne for that amount. The project’s architecture firm,

Perkins and Will Inc., followed suit to the tune of US$4.85 million.

Garrett Kelleher of Shelbourne told The New York Times it will take about $1.75 billion to complete the Spire and says he has had conversations with numerous financial institutions around the world over the last

18 months. “There’s no financing available to build the Spire today,” said Mr. Kelleher. “It’s a matter of waiting. And that’s what the plan is.”

The answer may come later in the year when the city learns whether it will be the site of the 2016 Olympics. “If Chicago lands the Olympics, it will certainly be a boost to the local economy,” Mr. Kelleher told the newspaper.