Glasgow's Union Corner inferno should serve as lesson to all about who pays to rebuild

A major fire on Sunday, March 8 at a vape shop on Union Street in Glasgow city centre caused extensive damage to the historic Union Corner building, collapsing its distinctive dome and forcing the closure of Glasgow Central railway station. 

Emergency services continue to work at the scene, while attention turns to the complex legal, engineering and financial challenges involved in stabilising and potentially rebuilding the structure.

Union Corner is a particularly challenging site because it combines multiple ownerships, historic construction, and its location directly above vital rail infrastructure. Recovery will require careful coordination between owners, insurers, engineers, planners, and public authorities.

Union Corner is likely to be typical of many historic city-centre buildings, with individual shops and floors held under separate property titles. Under Scots law, responsibility for repairs is primarily governed by the title deeds, supported where gaps exist by the Tenements (Scotland) Act 2004. Title deeds specify which parts of a building are the sole responsibility of an individual proprietor, which are mutual responsibilities shared between some owners, and which are common responsibilities shared by all.

In a complex mixed-use Victorian commercial block, these distinctions may not always be clear — and in a building as old as Union Corner, it is almost certain that different proprietors hold titles drafted at different times, using different language and sometimes containing inconsistent provisions.

Insurance adds another layer of complexity. Different parts of the building may be covered by different insurers or policies, producing a patchwork with varying levels of cover, excess provisions, reinstatement conditions and requirements for how claims are managed. As a result, numerous insurers, loss adjusters and professional advisers may become involved, potentially leading to disputes over liability, the cause and spread of the fire, and the cost of rebuilding.

As a building of considerable historic character, Union Corner is also likely to be listed, meaning any reconstruction would require formal consent and consultation with heritage bodies including Historic Environment Scotland.

In the immediate term, engineers will focus on making the building safe through emergency stabilisation works. In the longer term, rebuilding or restoring the structure will require coordination across multiple stakeholders and professional advisers.

If the restoration of Glasgow School of Art following two devastating fires is any indication, the recovery of Union Corner is likely to be a complex, multi-year project.

It is welcome news that the Scottish Government has indicated it is prepared to provide a multi-million-pound package to Glasgow to support recovery efforts. However, the fire should also serve as a warning to owners and tenants in similar properties to review who bears responsibility for repairs and rebuilding, and to ensure that adequate insurance cover is in place.”

Craig Donnelly is a director of Holmes Mackillop Solicitors