PROPERTY giant Canary Wharf is being sued for £30 million by a rival property developer over a building that was never built in London's Docklands.
Grenadier Investments has issued a writ against Canary Wharf Group and subsidiaries Canary Wharf Limited and Canary Wharf Investments.
The bust-up follows a so-called settlement agreement reached in 1996 between the two subsidiary firms and Grenadier, when it was known as Littlejohn de Paula.
Under this Grenadier, a private property developer, was given the go-ahead to redevelop a plot of land known as Park Place as long as 'the development was consistent with the criteria for permitted development set out in the settlement agreement's Design Guidelines' But in the writ, issued at the Technology & Construction Court in London, Grenadier claims it has suffered loss and damage because it was unable to redevelop Park Place after Canary Wharf objected to its planning proposals put forward to Tower Hamlets Borough Council in December 2000.
The writ adds: 'In the circumstances the claimant has lost the difference between the value of the building built in accordance with the settlement agreement less the construction and consequential costs and the value of the building presently standing on Park Place.
'The best particulars that the claimant can give are that the value of the existing building is approximately £11,670,000, the value of a building built in accordance with the settlement agreement is approximately £109,800,000 and the construction and consequential costs would be approximately £67,398,000.'
Canary Wharf declined to comment.