Purpose

The council intend to forward purchase 146
homes at Mitcham Gasworks, CR4 3ED from St William (Berkeley
Homes).
The purchase is subject to contract and grant funding subsidy being
provided by the Greater London Authority.
Contract exchange is expected in February 2026, with a start on
site before 31st March 2026. Completions are phased, with final
completion in 2030.

Decision

RESOLVED:
 
The Cabinet is asked
to:
 
A Note that this proposed
acquisition is one of a number of measures being taken to enable
the council to comply with its statutory duties with regard to
housing provision, addressing the shortage of affordable housing in
the borough and reducing the cost of temporary accommodation
provision, and builds upon the recommendations and decisions set
out in the cabinet paper presented 24 November 2025
“Merton’s Response to the Housing
Crisis”.
 
B Delegate to the Executive
Director of Housing and Sustainable Development in conjunction with
the Executive Director of Finance and Digital (Section 151
Officer), the acquisition of 146 homes at the former Mitcham Gas
Works site from St William (Berkeley Homes) for use as Council
housing, at social rent levels. This delegation to include
authority to enter into all requisite legal agreements to include a
Development Agreement for the construction of the homes and an
Agreement for Lease with Berkeley Homes.
 
C Recommend to Full Council the
allocation funding set out Exempt Appendix 1
 
D Delegate to the Executive
Director of Housing & Sustainable Development authority to
submit bids to the Greater London Authority (GLA) in support of
this acquisition and to sign any agreements with the GLA relating
to the awarding of grant funding.
 
E Delegate authority to the
Executive Director of Housing and Sustainable Development to enter
into any lease agreements relating to telecommunications masts and
equipment related to the development
 
F That cabinet and council
approve the following addition to the capital Programme for the
purchase of property as part of the Mitcham Gas Works
Redevelopment:
 
                                    
Total          2026-27     
2027-28     
2028-29   
2029-30
                                   
 £000s         
£000s       
£000s        
£000s       
£000s
 

Total
Scheme

 

60,000

29,360

10,280

10,280

10,080