The first phases will see construction of One The Elephant, a 37storey tower comprising 284 new homes, and Trafalgar Place, a 235unit development on the site of the former Heygate Estate.
Lend Lease is working in partnership with Southwark Council. Over the next 15 years the regeneration will provide approximately 3,000 new homes, shops, restaurants, community facilities as well as landscaped areas including central London’s largest new park for 70 years.
The first new homes at Elephant & Castle are scheduled for completion in the autumn of 2015.
Project director Pascal Mittermaier said: "The new homes at One The Elephant and Trafalgar Place will be some of the most sustainable and energy efficient places to live in Britain and will showcase the latest innovations and building practices. With energy-efficient lighting, heating and water recovery systems and better insulation and ventilation, the homes will be 30 per cent more energy efficient than current regulations require and use 30% less water than the average London household."
Balfour Beatty has already begun work on an £18.5m leisure centre for the regeneration project.