Merton Council's Development and Planning Applications Committee has approved a £60,000 contribution towards the regeneration of Mitcham Town Centre as part of a major new housing development. The decision, made at a meeting on Thursday, July 30, 2026, greenlit the demolition of existing buildings at 1-12 Majestic Way and the construction of a mixed-use development comprising 249 social rented homes, flexible commercial floorspace, and community facilities.
This significant contribution to the Mitcham Town Centre Regeneration Fund is one of many Section 106 legal agreement contributions secured as part of the planning permission, detailed in the Public reports pack Thursday 30-Jul-2026 19.15 Development and Planning Applications Committee.
The development, which will see buildings ranging from six to eleven storeys in height, aims to optimise the use of a brownfield site in a highly accessible town centre location. The scheme includes 1,308 sqm of flexible commercial floorspace and 423 sqm of dedicated community floorspace. The provision of 100% affordable housing, with nomination rights for Merton Council, was highlighted as a key public benefit. Merton Council will have 55% of nominations to the social rented homes on first let and 100% on second let.
During the committee meeting, councillors discussed various aspects of the development, including its impact on heritage assets, neighbour amenity, transport infrastructure, and sustainability. Concerns were raised about the development's impact on nearby heritage assets, including the Grade I listed Eagle House and the locally listed White Lion of Mortimer pub. Officers acknowledged that the proposal did not strictly adhere to the Local Plan's policy on tall buildings, but concluded that the public benefits outweighed the identified less than substantial harm
to heritage assets.
The Section 106 agreement also secures contributions towards Active Travel Zone improvements, car club spaces, and a tree bond to safeguard existing street trees. The Active Travel Zone improvements will include brighter lights along identified routes 1-6, the addition of murals or public art installations, and enhanced formal seating provision. A tree bond has been secured to safeguard the health and reprovision, where necessary, of existing street trees along Majestic Way and London Road. The bond amounts are £5,000 for 4 Hornbeam trees on London Road and £35,000 for 5 trees on Majestic Way.
The development is expected to create temporary jobs during its construction phase and permanent employment opportunities through its commercial and community uses. The demolition and construction phases are expected to generate around 430 job years of construction industry employment over a 3-year period, equating to approximately 145 full-time equivalent on-site construction jobs per annum. The non-residential uses (commercial and community floorspace) are also expected to create permanent jobs.
The community floorspace, measuring 423 sqm, has a commitment to use reasonable endeavours to secure a community use provider to occupy this space within one year of completion, before considering alternative uses. The management and specific use of this space are to be worked out with tenants and the community centre operator, with flexibility for it to be rent-free.
