The council is using a compulsory purchase order (CPO) to force out six businesses from a parade.
Wandsworth Borough Council, which owns the land in Beaumont Road, Southfields, claims it has been trying to negotiate with all the tenants and leaseholders since July last year.
However, owner of Rose’s Bakery, Rosemarie Cinquemani, 55, said her surveyor had been trying to work with the council since last September but to no avail.
Mrs Cinquemani, who has run the bakery for nearly 16 years, said: "We have had no offer made. My surveyor just couldn’t get answers from them.
"I just don’t know where we stand. You can’t plan for the future or book a holiday - or anything. We don’t know if we are getting compensation. We don’t know when we have got to leave. We don’t know anything really - no information whatsoever.
"The shops do need a lot of work done on them - the roof is leaking. Last week I was running around with buckets. It is not ideal."
The closure of the family-run bakery will mean three members of staff have to find alternative jobs, while one of their team will move to their bakery in Inner Park Road.
The council deems the only possible way forward is to oust everyone, from a Chinese takeaway to a laundrette, using CPOs.
A total of £1.2m has been approved to buy out all six of the Beaumont Road traders.
Planning permission has been granted for the redevelopment of the site including the demolition of existing buildings, the building of two shop units, a supermarket and 17 flats above. The plans do not include any affordable housing.
A spokesman for Wandsworth Council said: "Our plans are that the proposed development will be high quality and result in significant improvement to the appearance of this area.
The parade is in Beaumont Road
"The scheme will improve the quality and range of shops for local residents and also provide new housing. When we consulted the local community there was significant public support for these proposals."