UK: Balance Out Living has received a Stage 2 planning consent from the Greater London Authority (GLA) for its first coliving scheme, in Battersea, south-west London.
The 213-unit scheme is part of an 1100-unit London pipeline for the company, which is a vertically integrated investor, developer and operator, backed by Oaktree Capital.
Zafar Bhunnnoo, co-founder and co-CEO of Balance Out Living, said: “This consent is a vote of growing confidence in the coliving sector as well as the quality of our development. A Stage 2 referral is important because it is a real litmus test against the London Plan policies and establishes – particularly in the case of asset classes that aren’t clearly defined in the policy framework – that it is actively supported by the GLA. Achieving this consent under Sui Generis classification is evidence of the GLA’s receptiveness to expanding the parameters that are available to securing consents for co-living and helping to accommodate the broad range of demographics that call London home.”
Stage 2 consents are the final stage of a process in which local authority approvals are referred back to the GLA following its initial verdict that the scheme is of potential strategic importance (PSI) to London.
PSI developments receive a Stage 1 assessment from the London Mayor’s office before being transferred to the relevant local authority, and then back to the Mayor for Stage 2 consent, only if stringent guidelines and policies are met.
Only two other coliving schemes in London have received this form of consent from the GLA to date – Tide Construction’s 817-unit scheme on College Road, Croydon, and Urban Living’s 60-unit development in Ealing.
This decision comes just day’s after another coliving project in Battersea, this time from Greystar, was refused planning consent after councillors expressed concern over the unit sizes.
Balance Out Living’s approval is of particular significance as the site does not benefit from the ability to deliver on site C3 Affordable Housing, and has therefore agreed to a Payment in Lieu mechanism with Wandsworth Council and the GLA.
The GLA is now considering consultation feedback on its Large-Scale Purpose-Built Shared Living Guidance, which was published in February this year. The document offers guidance for quality standards around issues such as room sizes and amenities – creating a defined policy framework for the coliving sector.
“The GLA has turned its attention towards the coliving sector over the last few years in recognition of its potentially valuable contribution to the capital’s housing mix and future supply. The fact that we are now working towards a more formalised policy framework provides additional clarity as well as significantly de-risks developments for investors and developers,” said Sarah Christie, co-founder and co-CEO of Balance Out Living.
