A retired couple faces a £3.7 million legal costs demand from developers after successfully suing over a 17-storey office tower that darkened their South Bank apartment, despite securing damages in their favor.
Background of the Dispute
Stephen and Jennifer Powell, residents of a sixth-floor apartment in the Bankside Lofts building since 2002, along with neighbor Kevin Cooper on the seventh floor, challenged the Arbor tower. This structure forms part of the £2 billion Bankside Yards development, which plans eight towers reaching up to 50 storeys. Arbor, completed in September 2021 at a cost of nearly £35 million, significantly reduced natural light to their homes.
The claimants argued that the tower infringed their rights of light. Their barrister, Tim Calland, told Mr Justice Fancourt at the High Court: “The Bankside Yards development will consist of eight towers, the tallest of which stretches to 50 storeys in height. The marketing material for Arbor describes it as a mega-structure and boasts of exceptional natural light.”
Calland added: “The claimants maintain that this will have been achieved – wrongfully – at the expense of their light. Light is not an unnecessary ‘add on’ to a dwelling. Light does not just give pleasure, but provides the very benefits of health, wellbeing and productivity which the defendants are using to advertise the development.”
Court’s Initial Ruling
Mr Justice Fancourt ruled that the Powells’ flat experienced substantial light reduction, rendering parts “insufficient for the ordinary use and enjoyment of those rooms.” He awarded the Powells £500,000 in damages and Mr Cooper £350,000, plus interest.
However, the judge denied an injunction to alter or demolish the tower, citing over £200 million in wasted costs, complex demolition challenges, and significant environmental damage. He noted strong public interest arguments against such destruction.
Ongoing Costs Battle
Ludgate House Ltd, the co-developer, now seeks to recover £3.7 million in legal costs from the Powells and Cooper. John McGhee KC, representing the developers, argued in a recent hearing: “The claimants should be ordered to pay the defendant’s costs of the claims because it was the overall successful party, having successfully resisted the claimants’ claim for injunctive relief.”
McGhee emphasized that the primary goal—injunctive relief—failed, avoiding £15-20 million in partial demolition and £225 million in rebuilding. He described the damages as aligned with pre-trial offers, far below the claimants’ inflated demands exceeding their flats’ values threefold. “In real life, the defendant is the winner in this litigation,” he stated.
Tim Calland countered: “Undoubtedly, the claimants are the successful party in the litigation: the court awarded them substantial sums in damages which, in the case of the Powells, exceeded the largest sum ever before awarded in a reported rights-of-light case.” He argued the developers’ defense failed, and claimants vindicated their rights after hard-fought proceedings.
The developers also claim Mr Cooper failed to beat a pre-trial settlement offer, though his team disputes its validity on costs. The judge will rule on costs at a later date.
