A JV between Lendlease and US hotel owner Starwood is to breathe new life into the beleaguered Silvertown Quay site in the Royal Docks area of east London after completing a £1.2bn buy out deal.
The JV will take over the Master Development Agreement (MDA) from The Silvertown Partnership (TSP) in the latest twist for the project.
TSP applied for a change of control event to effectively release it from the MDA after agreeing terms with land owner GLA Land and Property Limited (GLAP) in 2013.
Under the new deal, GLAP said that despite the change, the existing contract for the role would not need to undergo a new procurement procedure.
Lendlease chief executive international operations Dan Labbad said: “London is universally recognised as one of the world’s most exciting cities. To maintain its rich mix of cultures and people, the city must continue to deliver projects like Silvertown Quays.
“Working in partnership, we plan to create a place that’s innovative and environmentally sustainable, and will provide tangible benefits for the local community for the long-term. These are standards and commitments we apply to all our work and Silvertown Quays is no exception.”
The scheme has previously been valued at £3.5bn and includes plans for up to 3,000 new homes, commercial buildings, retail facilities and a “significant” public realm for community use.
The announcement of the new deal comes a month after the government gave the green light to the much delayed £1bn Silvertown Tunnel scheme. The tunnel will run under the Thames, link the new development to south London and ease pressures on the nearby Blackwall tunnel.
The site has been in the planning for almost two decades with the first decision to axe plans confirmed in 2010.
Lendlease was recently awarded the master development contract to develop the oversite development at Euston Station in London as part of the new High Speed 2 terminus on the site.