The deal marks the firm’s first foray as a major housing developer in the UK and saw it fend off rival bids from a Mace, Argent and Peabody consortium and specialist developer Grainger.
Balfour Beatty’s UK construction arm will deliver all construction, which is expected to generate £400m, while the group’s investment arm injects £35m of equity over eight years, representing 50% of the equity required.
The development will be constructed in phases over eight years creating 50 apprenticeships and sustaining 350 construction jobs at the peak of construction.
The transformational project at Queen Elizabeth Olympic Park in East London is being delivered in a 50:50 joint venture with Places for People, which will manage sales and letting.
It will create two new neighbourhoods, to be called East Wick and Sweetwater, with up to 1,500 homes including 450 affordable homes, 530 homes for private sale and 500 private rented sector homes.