Woolwich is a step closer to getting on the Crossrail map, as Greenwich Council and Berkeley Homes have now pencilled in a deal on how its station will be paid for.
Transport for London’s board will consider the deal at a meeting this Thursday. Crossrail, due to begin service in 2018, will link Maidenhead and Heathrow Airport in the west with Paddington, the West End, the City, Canary Wharf and Abbey Wood.
Berkeley Homes has already paid £25m for the station box – essentially, the hole in the ground – to be built.
But even though the box was completed in February, a deal between Greenwich, Berkeley Homes, TfL and the Government to find the £100m needed to fit out the the station hadn’t been. Neither TfL nor the Government were willing to add to the costs of Crossrail, while Berkeley had been reluctant to pay any more towards the station, despite the huge profits it is likely to make out of its Royal Arsenal development.
Now TfL board papers reveal:
“Following extensive negotiations a package for the overall capital cost of the works has now been agreed in principle.
“This sees significant contributions from the Royal Borough of Greenwich and Berkeley Homes, supplementing existing TfL and CRL budgets, to meet the overall capital cost of the works.
“The detailed terms of funding agreements with these parties are currently being finalised and are expected to be concluded by the end of June 2013.”
The outline deal follows Greenwich Council granting Berkeley planning permission for 21-storey tower blocks in the Royal Arsenal last month, while its chairman Tony Pidgeley recently joined Boris Johnson on a trip to the Middle East.
The details are currently confidential, and it remains to be seen how Greenwich will raise the funds to pay for its contribution.
With the four-year-old DLR extension to Woolwich nearly overwhelmed by demand, the council will rightly see the deal as a triumph – originally the Crossrail link was to pass under Woolwich without stopping, until lobbying from leader Chris Roberts and MP Nick Raynsford forced a rethink.
But as always, the devil’s in the detail. While Greenwich is sitting on large cash reserves, it is believed the council is unwilling to use those to pay for the station, which could lead to other parts of the borough losing out so Woolwich can gain. Watch this space…
(Thanks to the anonymous tipster who alerted me to this story.)