Newham Council's Cabinet has approved a change in housing tenure for 41 units across two development sites, Burgoyne's Depot and Greenhill Centre. The tenure will be converted from London Affordable Rent and Shared Ownership to solely London Affordable Rent.
This decision, made during the Cabinet meeting on Tuesday, March 17, 2026, aims to address temporary accommodation pressures within the borough and enhance financial viability. The conversion will increase the number of genuinely affordable homes delivered through these developments.
Originally, the plan was to deliver 41 Shared Ownership homes across the two sites: 16 units at Burgoyne's Depot and 25 units at Greenhill Centre. These 41 units will now be designated as London Affordable Rent.
The original rationale behind the shared ownership model, proposed in 2020, was to create mixed-tenure developments. This approach reflected the characteristics of each site's location and the practical feasibility of delivering separate building cores for distinct tenure types. However, the intensified scale and urgency of housing need in the borough, with rising demand for temporary accommodation and a significant number of families without secure and genuinely affordable housing, have led to this change.
According to the report presented to the Cabinet, the proposed conversion is expected to yield a stronger financial return for the Council over the long term. While the original shared ownership model (Option 1) would result in a net cost to the Housing Revenue Account (HRA) of £14.2m over 50 years, the conversion to London Affordable Rent (Option 2) shows a net cost of £14.8m. However, when the impact of temporary accommodation cost savings of £35.2m are factored in, Option 2 has a net benefit to the council of £20.5m.
This conversion directly addresses the temporary accommodation pressures facing the Council by increasing the supply of genuinely affordable homes. Both Burgoyne's Depot and Greenhill Centre are currently under construction and are due to complete in the 25/26 financial year.
This approach aligns with the Council's commitment to delivering Best Value for residents while pragmatically responding to the intensified demand for affordable housing. The decision is detailed in the report Shared ownership to London affordable rent
260203 Shared ownership to London affordable rent- Cabinet FINAL 1.0 1 002.pdf.
