The Loampit Vale website homepage have not been updated in last few weeks, it still says:
Loampit Vale was granted planning permission at a Strategic Planning Committee meeting on 10th September 2009. Barratt Homes hope to start on site before the end of the year.
And unless works start in the next few hours before midnight this hope of Barratt will not realize.
Earlier today I passed by Lewisham Shopping Centre’s car park and from there there’s a good birds’ view of the site, I didn’t have a camera with me today, but apart from the seasonal colour the site looked exactly as it did a few weeks ago when I took this pictures in October.
Works have not started and the reason is clear, the business case for the Loampit Vale development stands on a 24 storeys high tower of one bedroom flats, and last week the Times told us that:
The effect of troubles in the City can be seen in the performance of the boroughs: Greenwich, a sought-after area in South East London within easy reach of Canary Wharf and popular with younger professionals and families employed there, has suffered this year, dropping 8.7 per cent.
Mr Lewis said: “The oversupply of new-build property around the Cutty Sark and Woolwich Arsenal has partly been to blame for the dip in prices.” The nearby areas of Lewisham and Tower Hamlets, also well-supplied with recently built apartment blocks marketed at first-time buyers, have also underperformed.
Three months ago, immediately after the Strategic Planning Committee unwisely voted in favour of planning consent to this scheme (Labour members for, all others against), I made here an analysis and a prediction. The analysis was that the developers are not in any hurry to start works, the prediction was that in the future a revised planning application to cut on amenities and affordable housing will be submitted.
And the fact that all was not well and that risks were high should not have been unknown to the committee members, in fact almost one year earlier, in November 2008, Sir Steve Bullock received this item telling him of a revised timetable for the delivery of the leisure centre:
5.2 Since the Mayor and Cabinet decision in July officers have been negotiating with Barratt a revision to the key terms which were proposed by Barratt in response to changing market conditions and the current economic situation with respect to the availability of credit. Other issues were also raised by Barratt but these did not result in the need to make any changes. As a result of this it has been agreed to extend the time Barratt have to deliver the new Leisure Centre from 24 to 36 months as Barratt had indicated that this was the only way they could continue with the scheme. The result of this deferment is to provide a cashflow for the scheme that is viable and enables them to continue with the scheme. Following this change contracts were exchanged with Barratt on 30th October
5.3 The time taken to negotiate the Development Agreement with Barratt had already pushed the programme back from an original planned completion date for the Leisure Centre at the end of 2010 to June 2011. This completion date was based on an assumed planning consent late January / early February 2009 with 6 months to complete outstanding S106 and Housing Corporation funding issues and clear the Judicial Review challenge period. On this basis, it was anticipated that the Development Agreement would become unconditional in June 2009 with Barratt then having 24 months to deliver the new Leisure Centre. The parties are still working to the original timetable for the Development Agreement to become unconditional. However, the 24 month period has now been extended to 36 months. Adding 12 months (on the basis of a June 2009 unconditional date) means an anticipated date for delivery of the new Leisure Centre not later than June 2012.
June 2012 is of course Olympic time for London and a new pool to celebrate it would be a great boast for Lewisham Council, but looking at the calendar today, reading the market situation for one bedroom flats and what the Mayor’s papers say about how long it takes to Barratt to build it I don’t think that anyone would bet a single penny on it happening.