London Docklands: An Update
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1 London Docklands: An Update Abstract London Docklands is the largest urban regeneration project in Western Europe. Started in 1981 with the establishment of the London Docklands Development Corporation (LDDC), the area s regeneration was far from complete when the LDDC was wound up in This was particularly so for the area surrounding the three Royal Docks, although developments elsewhere, for example in Canary Wharf, also continue. This case study examines the most recent developments in the LDDC area and also looks at what remains to be done. Introduction In an attempt to tackle the problems that have arisen in East London (dereliction, poor housing, high unemployment, poverty), national government has for over two decades directed considerable investment into the area and published planning policy guidance to help co-ordinate development activities. The most significant public investment has been directed through the LDDC, which has resulted in the major developments in and around Canary Wharf. Figure 1 shows the 13.7 squarekilometre area of the LDDC which encompasses parts of three London boroughs Tower Hamlets, Newham and Southwark. Figure 2 is a picture of the typical scene prior to development. Figure 1 Map showing extent of the LDDC area. Figure 2 Dereliction in the Royal Docks before recent development.
2 The LDDC was set up to: Secure regeneration by bringing land and buildings into effective use Encourage the development of existing and new industry Create an attractive environment Ensure that housing and social facilities were available to encourage people to live and work in the area. The LDDC, established on 2 July 1981, was an Urban Development Corporation (UDC), the second of 13 to be set up in the UK. From 1982 to 1992, the LDDC was supported by the designation of the Isle of Dogs Enterprise Zone which played a significant part in the overall regeneration outcome. The LDDC was expected to need years to complete its task. In October 1994 the LDDC began to withdraw from the Docklands in stages (Figure 3). This process ended with its withdrawal from the Royal Docks in March 1998, although its task was not fully complete. The LDDC was formally wound up on 30 June Figure 3 De-designation of regions within the LDDC. Area Date of de-designation Bermondsey Riverside 30 October 1994 Beckton 31 December 1995 Surrey Docks 20 December 1996 Wapping and Limehouse 31 January 1997 Isle of Dogs 10 October 1997 Royal Docks 31 March 1998 In most of the LDDC area the momentum of regeneration was such that there was no need for a specialised agency to take over its role. The boroughs and other local agencies were left to carry on the work. However, in the Royal Docks much of the outstanding work was taken on by another agency of central government, English Partnerships. The latter has worked in collaboration with the London Borough of Newham, to whom the LDDC s planning powers were restored. In July 2000, the interests, assets and liabilities of English Partnerships in the London region were transferred to the new London Development Agency (LDA). The final evaluation of the LDDC (Figure 4), carried out between 1997 and 1998 stated: When all projects are completed the total public sector cost of regenerating the Docklands will be of the order of 3900 million, 48% incurred by the LDDC, 25% by London Transport and 27% by the Isle of Dogs Enterprise Zone. Almost half the public sector cost was devoted to transport infrastructure. Private sector investment in the Docklands, at 8700 million by March 1998, has been substantial and will continue to increase well into the next century. The LDDC has generated a wide range of economic, environmental and social benefits. Amongst these are 24,000 housing units and over 80,000 gross jobs. Housing tenure is substantially more varied, employment is three times higher, the number of firms has increased fivefold and the new stock of housing will accommodate an additional 45,000 population. Every 1 million of public sector cost generated net additional benefits in the UDA of 23 jobs, 8500m 2 of office floorspace, and 7.8 housing units, plus many other benefits. Since almost all the costs have been incurred and some of the benefits have still to materialise, this cost benefit ratio should be more favourable by a third when the end state position is reached in 2010 or The amount of new social housing is higher than it would have been in the absence of the LDDC.
3 The LDDC generated an additional 23,000 jobs in Central London by increasing the supply of high-grade office accommodation which led to a more competitive financial centre. Figure 4 Changes in key baseline indicators in the UDA End state forecast ( ) Population (000s) Employment in UDA (000s) Stock of housing units (000s) of which privately owned (%) Number of firms in UDA Number of residents working in UDA ,500 13,000 Figure 5 shows how the population of the Docklands has risen as regeneration has expanded. This data was produced by the LDDC in Since the winding up of the LDDC no other organisation has so far produced comprehensive statistical analysis of the area, although the LDA is currently working on this. The update that follows has been compiled from a variety of different sources. Figure 5 Population in the Dockland area. Canary Wharf Canary Wharf is now established as one of Europe s premier business districts. It has enlarged London s CBD to a tri-nuclear entity (Figure 6). Formerly the West India Docks, the Canary Wharf Estate extends to more than 86 acres. The origin of the name is that when in use as a dock, many of the imports were from the Canary Islands. The first tenants moved into Canary Wharf in August At the end of 2002 the working population of Canary Wharf was 55,000. This is due to rise to 90,000 by the end of Improvements in transport have been vital to the success of Canary Wharf, the most important of which have been the Docklands Light Railway and the Limehouse Link, the road tunnel connecting the Isle of Dogs to the City (Figure 7). Figure 8 shows the state of construction in Canary Wharf in early 2004, and Figure 9 shows Canary Wharf s three main towers.
4 Figure 6 London s new tri-nuclear CBD. The West End The City Figure 7 The Limehouse link. Figure 8 Current construction at Canary Wharf. Canary Wharf
5 Figure 9 Canary Wharf s three main towers. One Canada Square, the 244m high Canary Wharf Tower, with 50 floors, is the tallest building in Britain and one of the tallest in Europe. The tower has 32 lifts, taking just 40 seconds to travel from ground level to the top. The HSBC Tower, at 210m high, is the second tallest building in the UK. The building is the headquarters of HSBC Holdings, one of the largest banks in the world. Construction began in 1997 and it was completed in The Citigroup Centre, at 210m high, completes the trio of landmark buildings in Canary Wharf. This building serves as the British headquarters for the largest banking group in the world. Retail space in Canary Wharf has expanded rapidly. A total of 20,726 square metres of retail space opened in Canada Place in June 2000, adding to the existing 54 units in Cabot Place shopping mall. A new 27,280 square metres retail mall, Jubilee Place, opened in In May 2004, Morgan Stanley, the investment bank, paid 1.7 billion to take over the Canary Wharf Estate. Morgan Stanley said that it would be comfortable with developing the remaining 1.5 million square metres of land on the estate when market conditions improved. Until Phase Two of Canary Wharf is completed and occupied, full value-for-money of the public expenditure incurred will not be achieved. Canary Riverside, a 200 million waterfront development being built to complement Canary Wharf, will include 322 luxury apartments, leisure facilities, restaurants and a 5-star 139-room hotel. The development contains four separate buildings set in landscaped gardens. The Docklands Light Railway (DLR) The DLR opened in 1987 at a cost of 77 million. It began with 11 vehicles serving 15 stations. It is now a 1 billion plus operation, with a 26km network serving 34 stations with 94 vehicles. Figure 10 shows the DLR network and its main-line rail connections, while Figure 11 shows an example of its vehicles. Since the DLR opened it has been extended three times to Bank in 1991, to Beckton in 1994, and to Greenwich and Lewisham in By 2004 the DLR was carrying 50 million passengers a year. This is expected to increase to 80 million by 2009.
6 Figure 10 The Docklands Light Railway network. Figure 11 The Docklands Light Railway. To cope with this significant increase in demand: In 2004, Docklands Light Railway Ltd submitted to the government an Application under the Transport and Works Act 1992 for approval to undertake construction works on the route between Bank/Tower Gateway and Lewisham. The proposal is to lengthen platforms, strengthen some viaducts and bridges and provide additional lifts and other improvements. This will allow the DLR to run three-car trains, which will increase capacity considerably. The estimated cost of 125 million includes provision for 18 new vehicles and expansion of the Beckton depot. The 4.4km extension from Canning Town to London City Airport and on to North Woolwich via four new stations is well underway and is expected to open in late The construction costs over the three-year building period will be 140 million.
7 In February 2004 the Government approved the construction of a further extension from King George V, under the River Thames to Woolwich Arsenal, which could open in late Other projects include a new terminus at the DLR s Stratford station, plans for an extension from Canning Town to Stratford International, and from Gallions Reach to Dagenham Dock via Barking Reach. An important wider benefit of the LDDC relates to the large numbers of non-docklands residents who will use the Docklands transport infrastructure to reduce their journey times when travelling in, around or across London in the future. The Jubilee Line extension Before the extension was built, the Jubilee Line terminated at Charing Cross. The new route saw the diversion of the line away from its original terminus at Charing Cross, to the new line running from Green Park to Westminster, Waterloo, London Bridge and eastwards to Canary Wharf and Stratford (Figure 12). Opened in late 1999, it has proved extremely successful both in terms of relieving congestion on the DLR and in opening up access to parts of East London with previously poor transport links. The extension opened just in time for the North Greenwich tube station to serve the Millennium Dome. Figure 12 The Jubilee line extension project. The Royal Docks It was clear from the outset that the greatest regeneration task would be in the Royal Docks. With Beckton to the north, it is the area furthest away from the City and West End. It takes about 3 hours to walk around the boundary of the three Royal Docks. The Royals contain 94 hectares of water, surrounded by 220 hectares of land. The scale of dereliction was greater here than anywhere else in the UDA. Figure 13 shows the current state of development in the Royal Docks.
8 Figure 13 The state of development in the Royal Docks, October Completed developments City airport ExCeL Exhibition Centre University of East London IVAX Pharmaceuticals Britannia Village London Regatta Centre Thames Barrier Park Gallions Reach Shopping Park Continuing developments Royals Business Park Silvertown Quays Royal Quay Royal Albert Basin Minoco Wharf Peruvian Wharf Completed developments London City Airport London City Airport was the first major development in the Royal Docks (Figures 14 and 15). The prevailing winds in London mean that the correct alignment for airport runways is 280 degrees, the same alignment as the quay space between the Royal Albert and King George V Docks, which became the site of the airport. London City was the first entirely new airport to be built in the UK for 40 years. The airport, a major local employer, has been an important attraction to other developments in the area, in particular the ExCeL exhibition centre. Figure 14 The Royal Docks.
9 Figure 15 London City Airport. The airport, which is mainly used by business travellers, serves 22 UK and European short-haul destinations. Within the UK, destinations include Manchester, Edinburgh and Belfast. Foreign destinations include Paris, Rotterdam, Frankfurt and Geneva. In the first half of 2004 passenger numbers totalled 820,000, putting the airport on track to beat the previous annual record of 1.6 million a year, the level at which it stalled after the decline in business travel post-9/11. The airport expects throughput to increase to at least 5 million passengers a year over the next decade. When the DLR extension is completed, passengers will be able to get to the airport from Bank in 20 minutes, with a train every 10 minutes. ExCeL Located alongside the Royal Victoria Docks, ExCeL opened in November 2000 as the largest single events building in Britain. The two equal-capacity halls have a total of 65,000 m 2 of column-free event space. A three-lane lorryway gives a 12m access into the halls. ExCeL has the largest Banqueting Hall in London, with the capacity to seat between 1000 and 20,000 people. Among the facilities at ExCeL is the floating 4-star 104-suite Sunborn Yacht Hotel. It has already attracted a range of prestigious events including The Boat Show, The World Travel Market and Hotelympia. ExCeL has been a major driving force for hotel development in the region with eight onsite hotels including Holiday Inn, Ramada, Ibis and Novotel. Thames Gateway campus The Thames Gateway campus in the Docklands was London s first new university campus in 50 years. Its 40 million first phase opened in September Its design and waterfront location, overlooking the Royal Albert Dock international rowing course, make it one of East London s most recognisable sights (Figure 16). The site contains accommodation for 400 students and facilities for 5000 students. A key element is the Thames Gateway Technology Centre, a training facility for new and existing companies in East London. The Centre provides business start-up space and advice, and a technology resource centre. The Docklands campus is part of the University of East London which also has campuses at Barking and Stratford. The three locations together accommodate 17,000 students.
10 Figure 16 Thames Gateway Campus. Regatta Centre Built in the Royal Albert Dock, the international-standard rowing course and regatta centre started operating in October Apart from bringing water-sports opportunities to local people, it is one of only three rowing venues in the UK to meet international standards. Britannia Village In 1994, Peabody Homes began to build 85 homes for rent on a site that would later be called Britannia Village. In 1995, the LDDC sold approx. 113,300 square metres of land to Wimpey homes to build 777 owner-occupied dwellings and six shops in what was at the time the largest housing development by a single private developer anywhere in the Docklands. Land was also allocated for 140 social homes to be built by the Peabody Trust and East Thames Housing Group at six locations throughout the site. The Village plans included the 3.9 million Royal Victoria Dock footbridge built by the LDDC to link the Village to the DLR station at Custom House. IVAX Pharmaceuticals The new headquarters of the IVAX Corporation opened in 1999 on a 5-hectare site at the far eastern end of the Royal Albert Dock. Thames Barrier Park Opened in 2000, the LDA describes Thames Barrier Park as London s first major riverside park. The 89,032 square metres park was designed by French landscape architect Alain Provost. Gallions Reach Shopping Park The 27,870 square metres retail park with associated restaurants and car parking (1156 spaces) is located on what was once part of the Beckton Gas Works. Adjacent to the retail park is a 12 million, 10,126 square metres Tesco superstore. Continuing developments Royals Business Park When completed, the 202,345 square metres site will be London s largest urban business park, occupying a 1.6km waterside frontage. Accessibility should be a major attraction to high-profile tenants, with London City Airport being within 400 metres, dual carriageway access to the M25, and two existing DLR stations. The first phase, called Building 1000, is now almost complete. This is the first major speculative office building in the Royal Docks. Later development will include retail and leisure as well as office space.
11 Silvertown Quays A new 11,148 square metres, world-class aquarium will form the centrepiece of this development. It will be operated by the Zoological Society of London. Along with the aquarium will be 5000 new homes, together with a high level of entertainment, retail, restaurant and community floorspace. This very significant development will take years to complete. Royal Quay This 100 million scheme which received planning approval in 2002 will comprise 443 dockside apartments built around a newly constructed marina in the Albert Basin. The first of 10 seven-storey apartment buildings on this 27,924 square metres development should be completed in 2005 with the whole project completed by Royal Albert Basin In October 2004, the London Borough of Newham published for consultation, draft Supplementary Planning Guidance (SPG) for the Albert Basin. Developed jointly with the LDA, which owns the site, and the Greater London Assembly, the draft provides a vision for the regeneration of the area. It is hoped that redevelopment will produce 3000 new jobs and over 2000 new homes. Minoco Wharf This 5.9-hectare site has yet to have its future decided. The aspirations of the site owners are constrained by the fact that Minoco Wharf is a safeguarded wharf, giving the Mayor of London the power to refuse a planning application. The site is also part of a principal employment zone, so Newham Council will be looking for a job creation element to any proposals put forward by the land owners. Peruvian Wharf This site was formerly owned by Tate and Lyle and used for the storage and processing of sugar (Figure 17). Phase One, which has yet to be started, will comprise seven buildings covering nearly 92,900 square metres, for business use, and a hotel. The plan for Phase Two, at the back of the site on the riverside, is largely residential and more controversial. This is another safeguarded wharf. The Mayor of London believes that the wharf is capable of being made viable to handle commercial products for which there is a clear demand and limited handling capacity within Greater London. Figure 17 Demolition at Peruvian Wharf.
12 Conclusion The costs of such a large, comprehensive redevelopment scheme have been high and it will take at least another decade to secure the full range of benefits from this investment. However, the last decade has witnessed the increasing integration of the Docklands with the locations surrounding it and the vital importance of business and infrastructure linkage within its area. It is perhaps the best current example of cumulative causation within the UK with each new development spurring new investment.
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