Subject to contracts being finalised, Lendlease will form a joint venture with Peabody to deliver 11,500 homes over the next 30 years. The details of the new JV vehicle are expected to be finalised by summer 2019.
The 250-acre site is currently undeveloped and underpopulated. It has 2.5km of undeveloped river frontage, with green space, open grassed and wooded areas, canals, two lakes and an existing town centre.
The Peabody and Lendlease plans would see construction of a new waterfront district, focused around a proposed new Docklands Light Railway (DLR) station. It would also create a million square feet of new cultural, amenity and commercial space for Thamesmead.
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.”
Lendlease Europe chief executive Dan Labbad 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 southeast London”.
Peabody became the major landowner in Thamesmead in 2014 and is investing in a mixture of refurbishment and redevelopment proposals across the town.