SWISS RE, the insurance giant, is losing £35,000 a day in rental income from its flagship City of London tower, 30 St Mary Axe — better known as the “Erotic Gherkin”.
The company has been trying to let 269,182 sq ft of surplus space in the tower, designed by Lord Foster of Thames Bank’s architectural firm, since the spring.
Swiss Re, which developed the building for its own occupation, moved into part of the site earlier this year, but the iconic development remains half empty.
The insurer has recently appointed CB Richard Ellis, the property consultant, as a second letting agent alongside DTZ to step up its marketing. Office suites are currently available from £47.50 per square foot. The price is understood to be £2 per square foot less than British Land’s City Plantation Place project.
Embarrassingly for Swiss Re, British Land’s development, completed in April, is already virtually fully let despite being twice the size at 540,000 sq ft and slightly more expensive. Accenture agreed an advance commitment to lease 375,000 sq ft, and Royal & SunAlliance (R&SA) has taken 36,000 sq ft. British Land is also close to signing a deal with Aspen Re, an insurance firm, which previously considered space at the Gherkin.
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Property sources said that the Gherkin had attracted interest from a string of companies including Dewey Ballantine, the US law firm, R&SA and Wachovia Bank, but none had agreed to sign.
A spokesman for 30 St Mary Axe said that Swiss Re was prepared to take its time to find the right tenants.