PATRIZIA, a leading partner for global real assets, and real estate developer Fabrix have launched a new joint venture in London called Sustainable Communities London (SC London). With more than £100 million allocated, the venture will focus on delivering affordable, sustainable, and alternative forms of residential housing, including purpose-built student accommodation.

The partnership aims to tackle London’s acute housing crisis by repurposing underutilised urban land and buildings to create much-needed homes for families, students, and young professionals. An initial equity commitment of £45 million has been made under the management of PATRIZIA, while Fabrix will act as development partner.

SC London’s first project is already underway at 182-202 Walworth Road in Elephant & Castle, where a redundant 1980s office building is being transformed into a mixed-use, student accommodation-led and community-focused development. Once complete, the scheme will provide 23 affordable homes at social rent, representing 35 percent of the residential provision, alongside 283 student beds. By providing dedicated accommodation for students, the project has the potential to free up more than 100 family homes currently being used for student housing. The development will also include community amenities such as 5,000 square feet of retail space, a 6,200 square foot garden, and a 2,600 square foot kitchen designed for shared use.

Through this venture, PATRIZIA and Fabrix intend to set new standards for environmental and social impact in London real estate, addressing housing shortages while delivering long-term value for communities. Looking ahead, the partnership plans to expand into other alternative housing sectors such as student living and co-living, with the goal of unlocking further opportunities for affordable homes and inclusive, community-focused urban development.