Plans to redevelop a former Royal Mail depot into nearly 900 homes has taken a step forward.

The Nine Elms site was last week sold to real estate companies Henderson Park and Greystar for £101 million, which intend to develop into an 894-home Build to Rent (BTR) scheme.

Planning permission, secured by Greystar and Henderson Park, was granted in March this year and is to be one of the largest purpose-designed BTR developments in the UK.

Nick Weber, founding partner of Henderson Park said: "This deal also extends our commitment to the Battersea Nine Elms area, a hugely exciting part of London which benefits from a prime Zone 1 location, major infrastructure investment and the fact that it is fast becoming established as a vibrant new community for Londoners.

"We look forward to continuing to grow our strong relationship with Greystar both in Nine Elms and across London.”

The joint venture has entered into a full design and build contract with Telford Homes which commence construction this month and deliver the project in multiple phases.

First homes are expected to be delivered in 2022 with full completion in 2024.

Mark Allnutt, senior managing director UK of Greystar, said: “We are excited to be moving ahead at speed with construction at Nine Elms after receiving final approval for the site.

"This marks a significant milestone for our growth in the UK and further consolidates Greystar’s position as one of the leading Build to Rent developers in London.”

“The London market is significantly under-supplied when it comes to these types of developments, and existing rental homes are often outdated or poorly managed.

"This development at Nine Elms will ensure we continue to be part of London’s housing solution, creating thousands of much-needed, high-quality homes for an ever-increasing number of renters."