London Infrastructure Plan Response from Peabody 31 October 2014
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1 London Infrastructure Plan Response from Peabody 31 October 2014 About Peabody Peabody has been creating opportunities for people in London since Peabody was established in 1862 by the American banker and philanthropist, George Peabody. Our vision is to make London a city of opportunity for all by ensuring that as many people as possible have a good home, a real sense of purpose and a strong feeling of belonging. We work solely in London, with a presence in the majority of London boroughs. We own and manage around 27,000 homes, providing affordable housing for over 80,000 people. By 2015, Peabody aims to deliver around 1,000 new homes each year. We are committed to sustained investment in affordable housing, and recently issued a 350m bond. Around 600 of our new homes will be available for affordable and social rent; the remainder will be available on the open market, and the returns from this activity will support our social purpose. The Peabody Group is growing, and in January 2014 we welcomed Gallions Housing Association into the Group. Gallions manages around 6,500 homes, mostly in Thamesmead, south east London. Tilfen Land joined us in April, bringing over 100 acres of developable land into the Group. This means that, for the first time in a generation, the area of Thamesmead in the London boroughs of Bexley and Greenwich has been brought into a single, well-resourced ownership. We will invest an initial 225m in Thamesmead: working in partnership with others we will transform Thamesmead into a vibrant place to live and work. Our response We welcome the opportunity to respond to the Mayor s Infrastructure Plan for London up to Developing London s infrastructure is very important to us. As we outline below, the opportunities for providing new homes and jobs in Thamesmead would be greatly enhanced by investment in transport infrastructure, which would unlock housing sites and support the regeneration of the area. Funding and financing Q3. We have identified a significant funding gap with regard to the infrastructure that we think London will need. We have also set out a menu of options to help close the gap. Which of these should we pursue and why? Which not and why? Are there other options we haven t considered which you think need to be addressed? A3. The funding models must be sustainable and we support the Mayor s intention to push for greater fiscal devolution to London; as a global city, it is imperative that London is able to keep a greater share of its tax revenues in order to invest for the future. Resources should be allocated in line with local priorities; greater fiscal devolution would enable the London government to maximise investment with greater scope for prudent borrowing. The benefits of investment should be 1
2 captured to enable reinvestment and sustain infrastructure development over the coming decades for example, decisions made in relation to transport infrastructure should be informed by likely impact on property values in the areas served, and we need to ensure that there are ways in which value uplift can be captured and reinvested in new infrastructure. However, methods to maximise investment in terms of capturing the benefits does not preclude the need for central government investment in infrastructure; housing, an integral part of London s infrastructure, must undergo a step change in terms of the scale of housebuilding, which necessitates a concerted effort from government at all levels. Accommodating London s growth Q5. Where do you think London s growth would be best accommodated (please explain why)? Are there alternative spatial scenarios we need to analyse? A5. We support the use of brownfield land to promote urban regeneration, which thereby helps to accommodate London s growing population. Regeneration requires an approach that is both creative and realistic, and we need to avoid brownfield land being left unused or under-used because it is not considered as part of a wider economic and social context. In some cases, additional infrastructure investment may be needed to kick-start regeneration; some brownfield land can be restored to industrial or commercial use when new residential developments bring a new workforce and customer base into an area; in other cases it may be more appropriate to redesignate brownfield land for residential development. Clearer requirements about the provision of affordable homes in high density settings would also support urban regeneration. Transport We support the densification of areas of London which are served by good public transport links; we consider that there is substantial potential for further growth in parts of south east and east London. Q10. Are there any other strategic projects we have not considered? A10. An additional strategic project for consideration would be the extension of the DLR to Thamesmead, or Abbey Wood via Thamesmead, as part of an east London River crossing. The plan recognises the need for a series of river crossings in east London. As outlined in Peabody s response to TfL s recent consultation on East London River Crossings, a crossing in the vicinity of Thamesmead at either Gallions Reach or Belvedere would provide a strategic link between Thamesmead and the currently inaccessible area north of the river, and draw in the necessary investment to help Peabody transform Thamesmead, utilising over 100 acres of developable land to build much needed homes. However, the current options for river crossings do not incorporate public transport provision. To proceed with a river crossing accessible to Thamesmead without extending the DLR, which would provide a direct link to the Central Activities Zone, would be a missed opportunity. Furthermore, the fixed river crossing options at Gallions Reach and Belvedere should be reappraised to incorporate the possibility of tunnel crossings, rather than bridges, in order to ensure that the possible benefits in helping to unlock development are not offset by the physical impact of a bridge. A bridge crossing would mean use of substantial amounts of land that could otherwise be available for development, as is particularly the case on the south side of Gallions Reach, and would need to be of a height that would have a substantial impact on the 2
3 surrounding area and upon adjoining residents. A tunnel crossing could avoid these issues, and in doing so maximise the amount of land available for housing, public realm and commercial use, therefore increasing the potential benefits of an east London river crossing. We welcome the recognition within the plan to integrate growth areas, of which Thamesmead can be one, with existing transport networks. The plan also recognises the potential of connecting Thamesmead to wider transport networks by extending the Overground to Abbey Wood. This would not just be of benefit to Thamesmead, but also the wider area by allowing for a more interconnected transport network in south east London. Linking the London Overground with Crossrail at Abbey Wood would provide a direct connection between transport hubs north and south of the river, breaking down the barrier that the Thames currently forms. We consider it essential that the options and potential impacts of both the Overground extension, and the DLR extension, are given consideration. Q11. Given funding constraints, what projects do you think we need to prioritise? A11. We acknowledge that there are a considerable number of transport projects that would be beneficial for London, and support the recognition that prioritisation is necessary. The criteria by which it is determined which projects should be prioritised needs to focus on those schemes which will contribute the most in terms of homes, jobs and economic growth. Despite the coming of Crossrail to Abbey Wood in 2018, Thamesmead remains underserved by public transport. Large areas in the town are relatively detached from London s wider transport networks, and are reliant on bus services. With over 100 acres of developable land in Peabody ownership, as well as further available land on which development could take place, Thamesmead has strategic importance as a location with the capacity to accommodate homes and jobs, but needs transport infrastructure to fulfil this opportunity. Therefore, the transport options outlined in our response to Question 10 above represent a priority, facilitating the provision of increased homes and jobs in the area. This could provide the catalyst for wider regeneration of the south east of London to provide over 32,000 homes by In addition to the large-scale transport projects, it is also vital to prioritise more targeted local initiatives. Local transport should be reviewed so that local residents are able to take advantage of the new transport connections, for example, through installing new and redirecting existing bus networks. To support Thamesmead and the surrounding area, this could include a reconsideration of the proposals with regard to the Greenwich Waterfront Transit Scheme. Utilities and green infrastructure Alongside the transport infrastructure in Thamesmead, the successful delivery of increased numbers of homes and jobs in the area requires utilities infrastructure to be put in place in a coordinated and strategic way. To this end, it will be essential for utility providers and regulators to work with house builders and other key deliverers to plan for the potential increased demand of electricity, water supply and waste facilities. We welcome the instigation of the London Infrastructure Delivery Board, which can be instrumental in overseeing and co-ordinating this activity. 3
4 With over 150 hectares of parks and open spaces, as well as four lakes, Thamesmead is rich in resources which could be utilised in the future as part of London s green infrastructure. A key challenge in this area is the need to connect the green infrastructure into a wider network, and address the costs and difficulties of overall maintenance. The East London Green Grid proposed by the GLA is an example of an opportunity for bringing together wider green infrastructure. A coordinated approach will help enable the opportunities for green initiatives to be utilised for example, the surplus heat created by waste facilities in the Thamesmead is not currently reused for energy production. Q15. Are there strategic green infrastructure objectives that should be prioritised? If so, are there any specific initiatives needed? Amongst newer properties in areas of high density, there are issues in relation to overheating. Therefore, new developments should incorporate suitable greenery as a requirement of planning conditions, to help reduce the urban heat island effect, and to ensure breezes run across developments to help cool highly insulated new developments. Technology and Digital Q7. Regarding technological change, do you agree with the proposed approach? What technological advances should London be taking account of or be leading? A7. We welcome the impending launch of the second generation of the London Datastore (LDS II). We would recommend that this involves collaboration with other bodies outside local government. For example, the Government Digital Strategy Advisory Board (of which Peabody is a member) includes Barclays and other corporate businesses, which are using and releasing open source data of their applications. It is essential to learn from other countries and cities across the world which are leading in this area for example, in Denmark, each citizen has access to all their data in one place (with security numbers changing each time) including information about personal finance, tax and banking, as well as medical records and other key data sources. Q17. What else can we do to ensure we achieve universal digital connectivity? A17. We welcome the plans to establish a Connectivity Advisory Group (CAG) to work with the London Infrastructure Delivery Board. We recommend that the CAG includes representation from housing associations and other house builders, to ensure that plans for the construction of new homes, as well as plans for the improvement of existing areas, are adopting the correct standards and approaches. We would be happy to represent the sector as part of the CAG. It is also important to work with technology and innovation start-ups to develop new ideas and methods for connectivity, for example, using existing facilities in new ways, such as the re-use of phone boxes in London as solar-powered charging stations for mobile phones. 4
5 For further information, please contact: Rebecca Sudworth, Director, Strategy and Communications
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