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| Elephant and Castle regeneration: what are the rights and wrongs? | Elephant and Castle regeneration: what are the rights and wrongs? |
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| Southwark council's accidental disclosure of the price it has agreed with property giant Lend Lease for the Heygate estate site has been seized on by critics of the wider Elephant and Castle redevelopment plans, and was widely reported last week. BBC London and the Evening Standard stressed critics' claims that £50m figure is far too low and the Independent carried the term "social cleansing" in its headline. I hesitated, though, over how significant the story was. Here's why. | Southwark council's accidental disclosure of the price it has agreed with property giant Lend Lease for the Heygate estate site has been seized on by critics of the wider Elephant and Castle redevelopment plans, and was widely reported last week. BBC London and the Evening Standard stressed critics' claims that £50m figure is far too low and the Independent carried the term "social cleansing" in its headline. I hesitated, though, over how significant the story was. Here's why. |
| Firstly, while the percentage of new affordable housing written into the deal was, at 25%, lower than Southwark's target of 35%, I don't think many London boroughs have been attaining their "affordable" goals lately. There's a feeling around the place that in this economic climate, and with the housing supply shortage in general to acute, it's better to get something built than nothing. | Firstly, while the percentage of new affordable housing written into the deal was, at 25%, lower than Southwark's target of 35%, I don't think many London boroughs have been attaining their "affordable" goals lately. There's a feeling around the place that in this economic climate, and with the housing supply shortage in general to acute, it's better to get something built than nothing. |
| Secondly, because – as the council later confirmed – I suspected that the price resulted from a trade-off with the developer, enabling that relatively high "affordable" percentage to be promised. | Secondly, because – as the council later confirmed – I suspected that the price resulted from a trade-off with the developer, enabling that relatively high "affordable" percentage to be promised. |
| Thirdly, I wasn't sure what else the council could or should have done. The regeneration of the Elephant, including the demolition and replacement of the Heygate, has been crawling through its planning phases . Southwark's Liberal Democrats, who controlled the council from 2002 until May 2010, argue that John and company rushed into the Lend Lease deal in July 2010 so that they could boast that they'd achieved more in the eight weeks since winning the Town Hall than the previous regime had managed in eight years. Yet with a project so long stuck in the mud, the attraction of moving fast isn't hard to see. I felt obliged to put myself in the borough's shoes and think what I would have done instead. | Thirdly, I wasn't sure what else the council could or should have done. The regeneration of the Elephant, including the demolition and replacement of the Heygate, has been crawling through its planning phases . Southwark's Liberal Democrats, who controlled the council from 2002 until May 2010, argue that John and company rushed into the Lend Lease deal in July 2010 so that they could boast that they'd achieved more in the eight weeks since winning the Town Hall than the previous regime had managed in eight years. Yet with a project so long stuck in the mud, the attraction of moving fast isn't hard to see. I felt obliged to put myself in the borough's shoes and think what I would have done instead. |
| I had no quick and easy answer, and that lack raised a wider question. What is the right approach to improving neighbourhoods in London, or any other city, where there is scope for change? Or, put another way, what principles could and should inform "regeneration" projects, and ought to be held sacred? | I had no quick and easy answer, and that lack raised a wider question. What is the right approach to improving neighbourhoods in London, or any other city, where there is scope for change? Or, put another way, what principles could and should inform "regeneration" projects, and ought to be held sacred? |
| The Elephant and Castle provides a good case study, not least because Labour-led Southwark's approach conforms a broad consensus to which all three of the largest political parties subscribe. When I spoke to Southwark's leader Peter John last week, he envisaged an Elephant and Castle where socially-mixed residential communities and new, thriving businesses return the area to a status he described as akin to that of Piccadilly Circus 100 years ago. | The Elephant and Castle provides a good case study, not least because Labour-led Southwark's approach conforms a broad consensus to which all three of the largest political parties subscribe. When I spoke to Southwark's leader Peter John last week, he envisaged an Elephant and Castle where socially-mixed residential communities and new, thriving businesses return the area to a status he described as akin to that of Piccadilly Circus 100 years ago. |
| John's goal is to connect Southwark with that success as part of an aspirational "jobs and growth agenda." Last year, enthusing about The Shard, which also stands within his patch, he stressed how the view from Renzo Piano's glass spire brought home how very close the north of his south London borough lies to the wealth of the Square Mile and the West End across the Thames. | John's goal is to connect Southwark with that success as part of an aspirational "jobs and growth agenda." Last year, enthusing about The Shard, which also stands within his patch, he stressed how the view from Renzo Piano's glass spire brought home how very close the north of his south London borough lies to the wealth of the Square Mile and the West End across the Thames. |
| The destruction of the Heygate is of a piece with that vision of improvement. It was, of course, saddled way back with a reputation as a classic example of failed post-war municipal housing. John gave short shrift to those who've sought to defend it, describing it as unpopular locally, unsafe and hard to let. He was riled (his word) by last week's Independent article – a sharp Twitter exchange ensued with its author – which majored on campaigners' "social cleansing" accusations. For him, the Heygate has long since failed to provide a good environment for those he is accused of wanted to drive out. | The destruction of the Heygate is of a piece with that vision of improvement. It was, of course, saddled way back with a reputation as a classic example of failed post-war municipal housing. John gave short shrift to those who've sought to defend it, describing it as unpopular locally, unsafe and hard to let. He was riled (his word) by last week's Independent article – a sharp Twitter exchange ensued with its author – which majored on campaigners' "social cleansing" accusations. For him, the Heygate has long since failed to provide a good environment for those he is accused of wanted to drive out. |
| Southwark has enumerated the alternative housing landscape it says its deal with Lend Lease will bring about. It says that although over a thousand social rented homes have gone with Heygate's demise, the 300 new "affordable" rented homes promised for the site will be either at social rent levels (79 at up to 40% of local market rates) or not much higher (212 at up to 50%), and that another 300 of the 2,535 homes planned altogether will be available through shared-ownership schemes (the "intermediate" form of "affordable"). The regeneration area as a whole, the Heygate site included, will, Southwark says, eventually contain approximately 5,000 news homes, of which 1,650 will be "affordable" of one type or another (809 shared ownership, 212 for rent at up to 50% of market levels and 629 at up to 40%). | Southwark has enumerated the alternative housing landscape it says its deal with Lend Lease will bring about. It says that although over a thousand social rented homes have gone with Heygate's demise, the 300 new "affordable" rented homes promised for the site will be either at social rent levels (79 at up to 40% of local market rates) or not much higher (212 at up to 50%), and that another 300 of the 2,535 homes planned altogether will be available through shared-ownership schemes (the "intermediate" form of "affordable"). The regeneration area as a whole, the Heygate site included, will, Southwark says, eventually contain approximately 5,000 news homes, of which 1,650 will be "affordable" of one type or another (809 shared ownership, 212 for rent at up to 50% of market levels and 629 at up to 40%). |
| For Peter John and his senior colleagues, the net loss of social rent level homes in the area - homes they consider very poor - is more than compensated for by the promise of a "mixed community" being established, where a much larger number of homes encompasses a range from luxury dwellings for market sale to the full spectrum of "affordable" ones (with those for rent at the lower end of the new, "affordable rent" price range, which are allowed go as high as 80% of local market levels). | For Peter John and his senior colleagues, the net loss of social rent level homes in the area - homes they consider very poor - is more than compensated for by the promise of a "mixed community" being established, where a much larger number of homes encompasses a range from luxury dwellings for market sale to the full spectrum of "affordable" ones (with those for rent at the lower end of the new, "affordable rent" price range, which are allowed go as high as 80% of local market levels). |
| John acknowledges that the regeneration plan as a whole will produce losers as well as winners among the area's poorer residents and others further afield as the inevitable rises in private sector rents and the general cost of living that happens when any neighbourhood moves upmarket take effect. However, the council is adamant that estates like the Heygate, dominated by social housing of an unfashionable kind, are bad for the people living there as well as for the wider community. And at the same time John insists that is mindful that regeneration has to benefit the existing elephant and Castle population. "We have to make sure that doesn't just mean new buildings with new people," he told London SE1 last year, "but new buildings with Southwark residents benefiting from the jobs and opportunities that come from that." | John acknowledges that the regeneration plan as a whole will produce losers as well as winners among the area's poorer residents and others further afield as the inevitable rises in private sector rents and the general cost of living that happens when any neighbourhood moves upmarket take effect. However, the council is adamant that estates like the Heygate, dominated by social housing of an unfashionable kind, are bad for the people living there as well as for the wider community. And at the same time John insists that is mindful that regeneration has to benefit the existing elephant and Castle population. "We have to make sure that doesn't just mean new buildings with new people," he told London SE1 last year, "but new buildings with Southwark residents benefiting from the jobs and opportunities that come from that." |
| So if Peter John's approach is wrong, along with those of other London boroughs, Labour and Tory-led alike offering variations on essentially the same theme, what are the better, practical alternatives for improving neighbourhoods and London's supply of new and better homes? If there are trade-offs to be made, and balances to be struck, which priorities should prevail? In a time of government cuts and market downturn, who has a better bunch of ideas? These, it seems to me, are big and difficult questions. I'd love to have some big and clever answers. Can you help? | So if Peter John's approach is wrong, along with those of other London boroughs, Labour and Tory-led alike offering variations on essentially the same theme, what are the better, practical alternatives for improving neighbourhoods and London's supply of new and better homes? If there are trade-offs to be made, and balances to be struck, which priorities should prevail? In a time of government cuts and market downturn, who has a better bunch of ideas? These, it seems to me, are big and difficult questions. I'd love to have some big and clever answers. Can you help? |
| Update, 14 February: A statement from Southwark's cabinet member for regeneration Fiona Colley: | Update, 14 February: A statement from Southwark's cabinet member for regeneration Fiona Colley: |
| There is little truth in recent coverage about the level of affordable homes in our regeneration of the Elephant and Castle. When the regeneration is complete, the area will have at least 1,625 new affordable homes, many more than in the existing Heygate estate. | There is little truth in recent coverage about the level of affordable homes in our regeneration of the Elephant and Castle. When the regeneration is complete, the area will have at least 1,625 new affordable homes, many more than in the existing Heygate estate. |
| I'm proud of the deal we've achieved for the area. A long-delayed project is finally going ahead, transforming this central London location into a place where people want to live, work and visit. It will bring 5,000 new homes, 6,000 jobs, a new park, a new leisure centre, and vast improvements to transport and traffic. And we have ensured that, as well as more than covering our own costs, the people of Southwark will also benefit from a share of the profits. | I'm proud of the deal we've achieved for the area. A long-delayed project is finally going ahead, transforming this central London location into a place where people want to live, work and visit. It will bring 5,000 new homes, 6,000 jobs, a new park, a new leisure centre, and vast improvements to transport and traffic. And we have ensured that, as well as more than covering our own costs, the people of Southwark will also benefit from a share of the profits. |
| I'll be picking up some of those points, including more detail about the Southwark-Lend Lease deal and what the term "affordable" can mean these days, in follow-up articles. | I'll be picking up some of those points, including more detail about the Southwark-Lend Lease deal and what the term "affordable" can mean these days, in follow-up articles. |
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