London’s Lewisham Council has given the green light to the £125m regeneration of the 1950s-built Achilles Street estate in New Cross.

The £125m construction programme will see 278 homes built, delivering 60% affordable housing, new maker spaces and a major upgrade of streets and public areas.

The scheme replaces outdated housing with 122 new council homes for social rent and 44 shared ownership properties, increasing the number of social rent homes on the estate from 87. Nearly every home will be dual- or triple-aspect, and a third will be family-sized.

The project is the product of years of resident involvement, including a 2019 estate ballot in which 73% voted in favour on a 92% turnout.

The construction plan will be delivered across three major phases over around seven years, beginning in July 2027, involving the demolition of existing buildings and construction of five new blocks ranging from 4 to 16 storeys.

Completion is targeted for 2033, creating a safer, greener and more vibrant estate while transforming a key stretch of New Cross Road with new homes, shops and workspaces.

James-J Walsh, the council’s cabinet member for inclusive regeneration and planning, said: “At a time when the housing crisis continues to price people out of our city, Achilles shows what is possible when we lead with our values.

“We are delivering 60% affordable homes, new public spaces and better links across our community while creating jobs and opportunities for local people.

“Our new local plan sets out a bold vision for good growth in Lewisham.”