Lovell Partnerships has been appointed by Tower Hamlets Council to complete the development of 62 affordable homes and commercial units on Arnold Road, following the insolvency of the original contractor, Jerram Falkus Construction Ltd.
The council's Cabinet approved entering into a Pre-Construction Services Agreement (PCSA) with Lovell Partnerships, a company with extensive experience in completing distressed developments. This agreement, valued at £1.1 million for the PCSA phase, will allow for immediate investigations and validation work to address concrete frame concerns at Arnold Road which is quite serious
. These concerns were identified by the previous contractor, Jerram Falkus, before they went into administration. The PCSA will help manage construction risks, secure approvals, develop a robust completion strategy, and prevent further deterioration of the building.
The revised programme, including the PCSA phase, is estimated to take approximately 20 months, with practical completion anticipated by June 2028. Lovell Partnerships will also develop a robust completion strategy, including a fully costed remediation plan for the concrete frame, which will be delivered as part of the main works.
Councillor Saied Ahmed, Cabinet Member for Homebuilding and Enhancing Council Homes and Neighbourhoods, stated that the council has acted to progress the scheme efficiently while maintaining quality and delivering much-needed affordable homes as soon as possible. The council will also seek a Parent Company Guarantee from Lovell's parent company, Morgan Sindall Group, as a contractual protection.
The Arnold Road development is a key project for the council, aiming to address the borough's acute housing need and contribute to its commitment to increasing the supply of genuinely affordable homes. The project will deliver 62 affordable homes and commercial space, with the PCSA phase expected to be completed within 26 weeks.
