Waltham Forest Council's Cabinet has approved changes to the Fellowship Square Development Agreement, including adjustments to land payments and housing tenure. The decision, made during a meeting on Tuesday, 02 December 2025, aims to ensure the continued delivery of much-needed housing in the borough.
The approved changes involve splitting the land payment between the Fellowship Square site and Willow House, and converting Willow House into a 100% Build To Rent (BTR) scheme. To compensate for the loss of affordable housing at Willow House, Block H at Fellowship Square will now be designated as 46% Affordable Housing (AH), utilizing an already secured GLA grant.
While the council acknowledges a potential risk of decreased land value at Willow House as detailed in Appendix 1 of the Mission Waltham Forest Delivery Update, it has deemed this acceptable. This is on the basis that Willow House can be redeveloped, delivering much needed housing, whilst simultaneously unlocking the remaining blocks at Fellowship Square which can also deliver affordable housing.
Approving these terms does not obligate the council to acquire the 50 homes in Block H.
The Cabinet delegated authority to the Strategic Director of Place, in consultation with Councillor Ahsan Khan, Deputy Leader (Housing and Regeneration), the Strategic Director of Resources, and the Corporate Director of Governance and Law, to finalise the Deed of Variation to the Development Agreement.
Several alternative options were considered but ultimately rejected. Seeking alternative delivery partners was deemed costly and time-consuming, with no guarantee of success. Pursuing legal action to enforce the original Development Agreement terms was also dismissed due to potential legal fees and the existing positive relationship with Countryside, the current development partner.
The council also considered resisting revisions to the Heads of Terms, but this was rejected as it would create uncertainty regarding land payment dates and the delivery of remaining housing at Fellowship Square and Willow House. The revised terms are expected to provide improved financial terms for the council by guaranteeing a fixed land payment and a clear timeline for payment.
