London’s oldest housing charity, Peabody, has selected Lendlease as Preferred Bidder for the £8bn, 11,500 home, Thamesmead Waterfront development in south-east London.
The move means that, subject to contracts being finalised, Lendlease will work with Peabody in a corporate joint venture to masterplan and deliver the mammoth scheme over the next 30 years. The details of the new JV vehicle will be finalised by Summer 2019.
The 250-acre site is currently undeveloped and underpopulated. It benefits from 2.5km of undeveloped river frontage, with an abundance of green space, open grassed and wooded areas, canals, two major lakes and an existing town centre.
The Peabody and Lendlease plans would see a new waterfront district of 11,500 new homes, focussed around a proposed new DLR station in the heart of the development. Mayor of London, Sadiq Khan instructed TfL in 2017 to carry out detailed work on a DLR crossing connecting east and south-east London.
The project will also rejuvenate the existing town centre, creating 1m sq ft of new cultural, community and commercial spaces for Thamesmead and for London.
Peabody Chief Executive Brendan Sarsfield said:
“We are pleased to have selected Lendlease as a development partner for Thamesmead Waterfront. Our shared vision is to create thousands of new homes by the Thames and drive the local economy through new jobs and commercial spaces. With a new DLR river connection complementing the Elizabeth Line on the other side of town, Thamesmead would be more connected to the city than ever before. This would unlock enormous potential and could be a real game-changer for this part of London.”
Dan Labbad, CEO at Lendlease, Europe, said:
“As one of London’s largest areas of opportunity to develop new housing and to support business and employment growth, Thamesmead can offer a fresh approach to living in London. Surrounded by water and outstanding wildlife, but within reach of the heart of the capital, we are excited at the opportunity to collaborate with Peabody, the local community and businesses, to bring new high-quality homes and workspaces to this exciting part of south-east London”.
This announcement is the latest phase of Thamesmead’s regeneration. In addition to widespread refurbishment, socio-economic and cultural development, and public realm improvements, the “whole-place” regeneration of the town could deliver 20,000 new homes for London. It is being delivered by Peabody, with development partners, alongside the London Borough of Bexley, Royal Borough of Greenwich, Greater London Authority and Transport for London.
The town spans the same distance as central London – from Kings Cross to Charing Cross and Bond Street to Liverpool Street, making the regeneration one of the largest projects in Europe.
Peabody became the major landowner in Thamesmead in 2014 and is investing in a mixture of refurbishment and redevelopment proposals across the town. Unusually, most of the town’s extensive green and blue infrastructure, as well as a range of community, commercial and industrial spaces is also owned and managed by the housing charity. Since 2014, Peabody has worked with local residents to form its 30-year vision and mission for Thamesmead.
Peabody were assisted in the procurement of a partner by Avison Young (lead commercial advisers) and Bevan Brittan (legal advisers).