Newham selects developer to create a new £500m town centre in East London

Newham Council has appointed Bouygues Development, and its consortium partner One Housing Group, to develop plans to create a new Town Centre on a 16-acre brownfield site opposite Canning Town station.

The appointment of a preferred development partner for the £500 million scheme marks the start of the delivery phase for one of the UK's largest regeneration programmes. It's estimated that more than £3.7 billion will be invested to improve the area over the next 15 - 20 years.

In partnership with the London Thames Gateway Development Corporation, Newham Council is working to develop Canning Town and Custom House into a thriving, sustainable place where residents and those in business choose to live, work and stay.

Despite the economic recession, an appetite for investment remains across the East End and Newham is pushing forward with crucial plans to reinvigorate this historic part of the capital, which recently played host to the G20 summit of world leaders.

The redevelopment of the Town Centre will provide up to 500 jobs throughout the decade-long construction phase. Newham Council is now working with Bouygues Development, and its partners, to secure opportunities for local people to work on the scheme.

Upon completion the Town Centre will house an estimated 1,100 new homes (of mixed tenure) and around 60,000 sqm of retail, offices, leisure facilities and a supermarket.

Mayor of Newham, Sir Robin Wales, said: "The city of London continues to move east and Newham is the heart of this change. This sends a powerful signal that Newham means business. This project is part of a once in lifetime opportunity to turnaround the prospects of Canning Town and Custom House residents and we're determined to get a better deal for them.

"Despite the slow down in the economy, pushing forward with the development of key infrastructure with our partners is one crucial way of kick starting the local economy and providing jobs for the local community. It's a thriving area that is undergoing a remarkable improvement and rapidly emerging as a centre of commerce."

Chairman of the London Thames Gateway Development Corporation, Bob Lane, said: "Today is the day that we cemented Canning Town's future as the new east London landmark attracting new people and businesses within a transformed and high quality environment for local people.

"The success in securing a development partner in the teeth of the severest recession in the property market shows that we must have been doing something right to attract private investors. The master planning work at the early stages combined with a far sighted approach on land assembly has put high quality development at the heart of our approach to place making. It is a standard that Bouygues Development has enthusiastically taken up."

Chairman of Bouygues Development, Bouygues UK and Warings, Madani Sow, said: "This is a tremendous achievement for Bouygues Development and our consortium partner One Housing Group. The regeneration of Canning Town will completely transform the area for the local community and we are extremely proud to be involved in such a significant London development".

Group Director of New Initiatives at One Housing Group, Gareth Crawford said: "We are delighted with the decision of Newham Council and we look forward to working with the community and our partners on this exciting project to deliver lasting change and transformation to the Canning Town area."

Executive Member for Regeneration at Newham Council, Councillor Conor McAuley, said: "We're committed to securing the best deal to transform this area for the benefit of the community for generations to come. We're regenerating Canning Town and Custom House so that it can thrive, providing community facilities and quality 21st century housing. At the heart of our vision for the area and for Newham is mixed communities, which will build cohesion and prosperity."

Local Resident, Sola Ogunbanjo, said: "The proposals for homes and shops at Canning Town will really benefit local people. Residents have a simple desire to live in a decent area and I welcome the scheme that will make this a reality".

The redevelopment of the Town Centre for Canning Town is in addition to the Rathbone Market and A13 junction improvement scheme which both received planning approval this year.

Other major projects in the borough include the 2012 Olympic Park and the development of Stratford City, which will have the biggest shopping centre in the south east of England.