Decision Maker: Cabinet

Outcome: Recommendations Approved

Is Key Decision?: Yes

Is Callable In?: Yes

Date of Decision: January 19, 2026

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.

Content: 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