What is the Strategic Development Partnership?
Approved by Mayor and Cabinet on 1 July 2026 following a year-long procurement process, the partnership will bring together the Council and its preferred development partner to plan, design and deliver major housing and regeneration schemes over an initial 10-year period, with the option to extend for a further five years.
The preferred partner cannot yet be named while the statutory call-in period is completed. An announcement is expected in mid-July 2026.
Moving beyond the traditional developer-led model, the partnership will allow affordable homes and regeneration projects to come forward more quickly and consistently, while ensuring the Council has greater control over quality, affordability, sustainability and wider benefits for local communities, including jobs, skills and investment in the local economy.
The first projects to be delivered through the partnership are Thomas Lane Yard in Catford and the first phases of the Achilles Street Estate Regeneration in New Cross.
Why has the Council chosen this approach?
It will help us deliver new homes more quickly, consistently and cost-effectively, while maintaining greater control over quality, affordability and social value.
Lewisham is facing a housing crisis, with more than 10,500 households on the waiting list and 2,450 households living in temporary accommodation. We are committed to building the homes local people need as quickly as possible.
By moving away from the traditional developer-led model, this partnership will help us deliver more affordable homes faster and at lower cost. It will also support wider benefits such as local jobs, skills and investment in the local economy.
The agreement gives the Council a more flexible and strategic way to deliver housing and regeneration, ensuring development is shaped by local needs and that communities benefit directly from growth.
How will this help deliver affordable homes faster?
This approach will speed up the delivery of new homes by bringing development partners into projects earlier and removing the need for a separate procurement process for every scheme.
By reducing procurement time, improving planning and design, and cutting risks and delays, projects can move into construction more quickly and efficiently. This will
help us build more affordable homes sooner, while reducing costs and providing greater certainty over delivery.
This is particularly important as we work to meet housing demand and address the challenges of housing affordability and homelessness.
The first two projects are:
- Thomas Lane Yard, Catford with 113 affordable homes, including 39 for social rent and 74 shared ownership homes
- Achilles Street Estate Regeneration, New Cross with 278 new homes, including 122 for social rent
Will the Council still be in control?
Yes. This is not an exclusive arrangement and the Council will remain in control of decisions about housing delivery.
The Council will decide:
- which sites come forward for development
- when projects happen
- how larger projects are delivered through the partnership
Every project will still need its own business case, financial assessment and formal approval through the Council's decision-making process.
What types of projects will the partner deliver?
The partnership can support both:
- Council-led schemes, where the Council funds the development and owns the affordable homes
- developer schemes, where the partner provides investment, while the Council retains first refusal on affordable housing and shares in the value created
Most projects are expected to be on Council-owned land, although the Council will still be able to use other developers and contractors where appropriate.
How was the preferred development partner selected?
The Council carried out a thorough and competitive process in line with the new Procurement Act 2023.
After speaking to potential developers in 2024, the Council launched a five-stage selection process between August 2025 and June 2026.
This included:
- initial bids from developers
- technical, quality and financial assessments
- a shortlist of bidders
- detailed discussions with shortlisted bidders
- final bids and evaluation
Council officers, supported by independent advisers, assessed the final bids against a set of clearly defined criteria.
How will local communities benefit?
The partnership is about more than just building homes.
As well as helping deliver more affordable and social rented housing, it will create wider benefits for local people and support the Council's climate goals.
Benefits include:
- jobs and apprenticeships
- training and skills opportunities
- opportunities for local businesses and suppliers
- more sustainable and lower-carbon development
- greater community benefits from regeneration projects
The aim is to make sure new developments create lasting benefits for residents and help build a stronger, fairer borough.
What happens next?
On Wednesday 1 July 2026, Mayor and Cabinet approved the appointment of a preferred development partner.
Once the legal call-in period expires, we can name the Strategic Development Partner. This may be as early as mid-July 2026.
After this, and once Full Council approvals have been completed, the Council plans to enter into:
- the Strategic Partnership Agreement
- and Pre-Construction Service Agreements for Thomas Lane Yard and the first phases of the Achilles Street Estate Regeneration
The Council will also create a new Strategic Development Partnership Board to oversee the partnership, monitor performance and finances, and make sure it continues to deliver for Lewisham residents.