Updated 22 October

Glasgow’s ambitious plans to transform the city centre with £1 billion of Scottish and UK government funding is facing delays because of rising costs.

City Deal initiatives, including some Avenues projects, aim to introduce more traffic-free zones and landscaping to help improve the environment and encourage more city living.

However, a review of the investment strategy means a number of Avenues projects, such as those planned for Hope Street, St Enoch’s Square, Glassford Street, and John Street will be pushed back.

A Glasgow council spokeswoman said inflation and global supply chain disruptions have led to “higher costs than originally anticipated”, which has hindered the completion of some projects within their initial budgets.

The council is actively seeking alternative funding sources to ensure the delayed projects can move forward.

Glasgow City Council’s infrastructure investment programme, part of the Glasgow City Region City Deal, totals nearly £386m, backed by a £1bn contribution from both the UK and Scottish Governments.

The additional £25m requires final approval from both governments, and if not granted, more projects may be put on hold.

The Avenues projects facing deferral are: Hope Street; St Vincent Street Phase 2 (Buchanan Street to Newton Street); Cathedral Street and Bath Street East; The Underline Phase 2 (New City Road); St Enoch’s Square Dixon Street; Glassford Street; John Street; ‘International Financial Services District West’ Washington Street/McAlpine Street/Carrick Street/Brown Street/Balaclava Street/Crimea Street; Elmbank Street and Elmbank Crescent.

Big city office deal

A Glasgow city centre building has been sold for more than £50 million in what is Scotland’s largest office deal so far this year.

The building in Waterloo Street houses the offices of Morgan Stanley and has been purchased by Iroko Zen, a French investment firm.

KFIM sold the 157,000 sq ft property, which is let to the American financial services group until 2033, on behalf of an overseas client.

Architecture firm acquired

Davidson Baxter Partnership, an architecture firm based Kirkcaldy and founded by Stewart Davidson in 1985, has been acquired by employee-owned CSY Architects, previously known as Camerons Strachan Yuill and operating in the east of Scotland and Northumberland.

The deal takes 20-plus CSY’s headcount to 30.