URL: https://moderngov.southwark.gov.uk/ieDecisionDetails.aspx?ID=8473

Decision Maker: Cabinet

Outcome:

Is Key Decision?: Yes

Is Callable In?: Yes

Purpose: To approve phase 2 of the Tustin Estate renewal

Content: To approve phase 2 of the Tustin Estate renewal Cabinet heard representations from Andrew Eke, chair of tenants and residents association.   RESOLVED:   1.  That it be noted that since the development agreement was signed in October 2022, the Tustin Estate Renewal has been progressing well on site, and that Phase 1 is about to complete and will deliver 167 new homes, including 157 council homes for social rent, and 10 homes for resident leaseholders.   2.  That it be agreed that the strategy for delivering Phase 2 should change to accelerate the delivery of affordable housing as set out in paragraphs 38-51 of the report.   3.  That it be agreed that 98 homes that were previously intended to be key worker homes for London Living Rent should be changed to deliver additional new council homes for social rent.   4.  That it be noted that the Greater London Authority (GLA) have agreed to provide grant funding for these 98 additional council homes, if the tenure change is agreed.   5.  That it be agreed that to start Phase 2, the council will enter into an early works contract in the sum of £10,667,678 for a period of six months commencing December 2025 to finalise the detailed Phase 2 design work and to demolish Kentmere House and Heversham House, ahead of demolition starting in March 2026 (subject to vacant possession being achieved).   6.  That it be noted that the main works contract will include the construction of all four blocks within Phase 2, but will include separate prices for the development of each of the four blocks within Phase 2, with Phase 2a including Block G2, and a break clause that can be exercised before the end of October 2026 to exclude Phase 2b which is made up of Blocks F1, F2 and H.   7.  That it be noted that a subsequent report will be presented to cabinet in early 2026 to confirm the final price for Phase 2a main works, and an updated estimate for Phase 2b main works, and to agree that Bouygues Development should enter into a construction contract to deliver them.   8.  That the updated total estimated cost to deliver Phase 2 of the Tustin Estate Renewal as set out in the closed version of the report be noted.   9.  That a minor variation is made to the development agreement in line with the points set out in paragraph 53 of the report to accommodate the Building Safety Act changes.

Date of Decision: December 2, 2025