L&G has acquired the affordable homes element of the Devonshire Place mixed-use scheme in Southwark for £46m.
The scheme, which is being delivered on a former petrol station and derelict industrial site by Arada London and Shaw Corporation, will feature 200 affordable homes and 941 purpose-built student accommodation (PBSA) units, in addition to shops and new neighbourhood amenities.
The affordable homes have been acquired by L&G’s affordable homes division and unlock the delivery of the wider scheme.
Pete Cross, chief operating officer at L&G Affordable Homes, said: “Our aim has always been to deliver great quality, environmentally sustainable and affordable homes that people can build a great future from. Devonshire Place is an excellent example of how we are able to work with forward-thinking partners and deploy institutional capital to deliver truly affordable homes where they are needed most.”
Chris Shaw, CEO of Shaw Corporation, added: “Devonshire Place is the culmination of years of hard work and detailed consultation with the local community, Southwark Council and the GLA. To commence such a landmark project will help cement the dynamic change and delivery programme of this major London opportunity area with the creation of a new community of best-in-class residential housing, student housing and facilities. The project provides further proof of the intent to build out schemes with highly credible partners where we secure consent in collaboration with local communities, councils and other stakeholders.”
Jonathan Seal, CEO of Arada London, said: “Progression from consent to site has become the critical test for London schemes. Bringing L&G into Devonshire Place secures the funding and long-term ownership structure needed to move forward. This is about execution, not aspiration. Devonshire Place brings together student living, affordable housing and everyday civic infrastructure in a way that reflects London – dense, mixed and economically active.”
