Compromise helps secure Derwent’s plans


Property Developer Derwent has come to an agreement with the Mayor of London and its plans for its Paddington redevelopment have been approved, PropertyWeek has reported.

The developer had its initial proposal rejected because of a lack of social housing, despite having offered to pay £5.7 million to fund its building elsewhere.

The new agreement will see the construction of 16 affordable homes at the site and Derwent will not face any additional charges.

Councillor Alistair Moss, who chaired the committee, supported the compromise: "I’m persuaded that we should take advantage of being able to provide the housing on site."

Redesigned since its rejection in 2003, the plans are for a mixed-use scheme of 425,000 sq ft of office space and residential property.

Yesterday’s monetary policy committee decision to leave interest rates fixes at 5.5 per cent failed to help those private property investors who have difficulty paying their mortgages.