Waltham Forest Council is giving the developer behind the borough’s largest ever housing scheme a discount of unknown size after it warned of delays to the project.
The decision was made in private during a cabinet meeting on January 14 and the council has refused to reveal the size of the discount because it is “commercially sensitive” information.
The £190 million “Coronation Square” regeneration will see 750 homes and community services built on the Score Centre site in Leyton and was granted planning permission in April last year.
In August, developer Taylor Wimpey told the council that Covid-19, Brexit and “unforeseen costs” had decreased how much money it expected to make from the scheme.
The company, which currently estimates an operating profit of £293 million for 2020, said this could “significantly” delay the work “until conditions improve”.
The council agreed to reduce the price of the land and buy all 1,762sq m of commercial space being built, again refusing to reveal the cost of this purchase.
Read more: Score Centre redevelopment deemed 'not policy compliant' approved
Explaining the decision on the council website, an officer said “delaying the project is not an attractive or viable option” because of the housing and infrastructure it will deliver.
The project will include five flat blocks, the tallest 18 storeys; a new GP, leisure centre, nursery and civic square; commercial spaces and a heating network for the surrounding area.
Half of the 750 homes will be affordable, although Cllr Marie Pye (Lab, Leytonstone), who sits on the planning committee, noted in March last year that the majority of these will be more expensive “shared ownership” homes, rather than low-cost rent.
A report prepared for the cabinet by officers notes that buying the commercial space “meets the council’s investment objectives, whilst helping to de-risk the scheme for Taylor Wimpey.”.
It adds: “The council will receive a market rental income for the units, on which the value has been priced.
“It should be noted that the commercial space will be available at the end of 2023, allowing ample opportunity for pre-lets to be arranged, thereby ensuring income from future rentals.”
Construction on the site is expected to start in spring this year and to finish by 2027.
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