Biscuit Factory

Southwark Council has given the green light to Greystar's ambitious development proposal for the former Peek Freans biscuit factory site in Bermondsey, London SE1. The decision came during a Planning Committee meeting for major applications held on Wednesday, March 6, 2024.

The approved plans signify a significant step forward for the redevelopment project, which aims to transform the historic site into a vibrant new hub. Greystar's proposal promises to breathe new life into the area, offering innovative design concepts and amenities that will enhance the local community and contribute to the regeneration of Bermondsey.

With the introduction of 1,548 rental homes and a school, the Bermondsey locality is poised for significant transformation courtesy of the upcoming development. Alongside these amenities, the neighbourhood is set to gain access to enhanced recreational areas, highlighted by a spacious public roof terrace. Moreover, the influx of businesses is expected to thrive with increased foot traffic and local consumer spending. The development's 150,000 square feet of versatile employment space is also anticipated to generate numerous job prospects, further enriching the area's economic landscape.

The redevelopment of the former Peek Frean Biscuit Factory and Lewisham and Southwark College site in Bermondsey, London SE16 is a significant project undertaken by Grosvenor. The proposed development involves the construction of new rental homes, marking a pivotal aspect of the scheme.

In February 2020, the Deputy Mayor of London granted approval for the project. This decision came after the Mayor of London took the application under his wing in May 2019, serving as the planning authority for this venture. Grosvenor worked collaboratively with Southwark Council and the Greater London Authority (GLA) to augment the proportion of affordable housing while ensuring the overall feasibility of the project and its manifold advantages. On the 21st of February, the Deputy Mayor sanctioned the revised proposals.

The revitalized Bermondsey area is poised to accommodate 1,548 new homes available for rent, in addition to the inclusion of a school. Notably, the project will contribute to the creation of new play areas and public spaces that will enrich the neighborhood. Local businesses are expected to experience heightened foot traffic, an increase in local spending, and the emergence of new employment opportunities, facilitated by 150,000 square feet of adaptable workspace within the development. This comprehensive transformation represents a promising future for Bermondsey.

Greystar Real Estate Partners has acquired the former Peek Freans biscuit factory site in Bermondsey from Grosvenor.

The scheme will feature 1,548 homes, extensive play and public spaces, including a large public roof terrace and pedestrian walkways. It will help to create new job opportunities through 150,000 sq ft of flexible employment space, driving additional footfall for local businesses.

The site will incorporate new homes for a range of rents, a new secondary school and employment, and cultural and retail spaces, interwoven into the neighbourhood. The development will include historic buildings in the area into the plans.

Since entering the UK market in 2013, Greystar has built up a property portfolio worth £6.5 billion, comprising more than 14,300 units that include both multifamily rental accommodation and student accommodation.

Greystar will execute the acquisition of the Bermondsey scheme through its strategic partnership with a wholly-owned subsidiary of the Abu Dhabi Investment Authority (“ADIA”). In December 2021, Greystar announced a new strategic partnership with ADIA of up to £2.2 billion to develop BTR housing in London and its surrounding commuter towns.

Mark Allnutt, Senior Managing Director – Europe, Greystar, commented: "The acquisition of Grosvenor’s Bermondsey development site represents another milestone reached in our ongoing strategy to develop thoughtfully designed and professionally-managed rental communities, particularly in light of the current shortage of high-quality rental property in the capital. We look forward to building upon the work Grosvenor has started to deliver new homes and amenities for the people of Bermondsey."

Heather Topel, Director of Development, Grosvenor, said: "Our designs create a world-class neighbourhood infused with the history of Bermondsey in a way that both involved and connected its communities and interest in the opportunity to deliver this scheme was exceptionally competitive. Greystar has a strong track record, and environmental and community values aligned to our own and we are confident they will deliver it to an incredibly high standard.

"We will reinvest the capital from this sale into growth opportunities in our London portfolio and regional investment business."

Savills London Development Land team acted for Grosvenor.