Lambeth Launches £250m New Homes Development Procurement

Lambeth Council is this month launching its first portfolio development opportunity for six development sites across the borough, aiming to deliver up to 450 new mixed-tenure homes.

The Council is seeking a single Development Partner to develop all six sites in the combined portfolio titled New Homes 6 (NH6), worth a gross development value of £250m.

The NH6 is the second procurement opportunity that Lambeth Council has launched in the past year to speed up the delivery of affordable homes as part of its New Homes Programme to tackle the chronic shortage of social housing in Lambeth.

Cllr Danny Adilypour, the Council’s Deputy Leader and Cabinet member for Housing, Investment and New Homes, said: “Since the launch of our New Homes Programme in March last year, we have made great strides in unlocking many housing projects in the borough to enable us to deliver more affordable housing for our residents.

“But as the temporary accommodation crisis continues, with 5,000 households in often sub-standard temporary accommodation and more than 40,000 people on Lambeth’s housing waiting list, coupled with difficult financial circumstances, we need to act more urgently through the most effective way to help us deliver new housing.“Alongside working with the Government to find solutions to our housing crisis, we know that the right partnership with an industry expert will help us deliver more new affordable homes at pace which we have started implementing on other projects already to accelerate delivery.

“As we begin the search for a partner to deliver the New Homes 6, I look forward to working with our residents and the right partner to bring forward this significant project that will not only bring forward much-needed high-quality housing but also improve so many of our Lambeth neighbourhoods in the future.”

The partnership offer will be advertised through the Find a Tender Service portal from 6 January 2025.

The deadline for submission of initial tenders will be 22 April 2025, with the preferred partner expected to be chosen by November 2025.

Montagu Evans is advising Lambeth Council on the procurement of the development partner.

Four of the six sites are located between the London Eye and The Oval, one is near Larkhall Park, and the sixth is near Brockwell Park:

• Denby Court, SE11 – circa 0.51 ha/indicative capacity of 141 homes
• Larkhall Lane, SW4 – circa 0.32 ha/indicative capacity of 127 homes
• Knight’s Walk Phase 2, SE11 – circa 0.54 ha/indicative capacity of 68 homes
• Jonathan & Orsett Street, SE11 – circa 46 ha/indicative capacity 67 homes
• 30 Wootton Street, London, SE1 – circa 0.14 hectares/indicative capacity of 24 homes
• Trinity Rise, SW2 – circa 0.12 ha/indicative capacity 20 homes

Across the portfolio, the Council expects the following to be met:

• Maximising housing delivery (over 450 units across initial sites)
• Maximising delivery of affordable homes, achieving at least 35% across the portfolio
• Start-on-site of at least 150 Affordable Homes by 2030, of which at least 70% should be for social rent.
• High-quality design and sustainable development
• Delivery of social value, employment & skills opportunities for all communities across the borough

For more information on the NH6 portfolio, please visit the Lambeth website.