Sigma has signed an agreement with Barking Riverside Ltd (BRL), a joint venture between the Greater London Authority and Bellway Homes, to enter into a conditional contract under which it will acquire the site and develop four new blocks to comprise 318 flats.
The site is part of the 443 acre Barking Riverside regeneration scheme which has outline planning permission for 10,800 homes as well as new schools, healthcare facilities, shops and community and leisure facilities.
Sigma said in a statement that the site will be the first London site in its private rented sector portfolio.
Mayor of London Boris Johnson welcomed Sigma's "innovative purpose built private rental housing model" and said that the agreement was a "great boost" for Barking Riverside.
"We have been working with BRL for some time and are delighted to have reached this agreement for the creation of the first privately rented housing development on the Barking Riverside development," said Sigma chief executive Graham Barnet.
"Barking Riverside is one of the largest and most ambitious development projects in the UK and we are delighted to be playing a small part in its delivery with such prestigious partners," he added.
