Southwark Council will strike a deal with British Land to ensure the future regeneration of Canada Water and secure benefits for local people. These include having the first option to acquire the new social rented homes as council homes, and a brand new public leisure centre.
The new agreement, which was approved at a Cabinet meeting on 13 March, will mean the council will increase its land holdings and take 20 percent ownership of the whole development as part of a master development agreement with British Land. This includes land not currently in the council’s freehold ownership.
As each plot comes forward for development, the council will have the option to either; invest in that plot, sell out its interest or just retain its land interest. This flexibility will allow the council in the future to decide whether to invest into the scheme or not and realise significant returns for the authority.
Cllr Mark Williams, cabinet member for regeneration and new homes, said: “This approach gives us the opportunity to benefit from the increase in rents and capital receipts as the development is built over the next 15 years. This means we get an income to support and invest back into front line services for the benefit of all our residents.
“At a time when local government budgets have been heavily reduced, this will help us maintain top quality services for our residents.
“I also welcome British Land’s commitment to provide policy compliant affordable housing in the first phase of development as well as development of the Social Regeneration Charter which will ensure that local residents enjoy direct benefits from the project”