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As reported by 24housing last year, non-for-profit, PLACE (Pan-London Accommodation Collaborative Enterprise), issued an invitation to tender for the design and manufacture of modular temporary accommodation.

Now, the chosen supplier has been unveiled, set to design and manufacture PLACE’s modular housing units.

Extraspace Solutions Ltd has secured the £40m contract, due to deliver 200 temporary units by 2021.

The units are said to have the quality of permanent housing, with the additional benefit that they can be relocated to a different site when required.

London boroughs will use the units as temporary accommodation for homeless families, placed on vacant ‘meanwhile’ sites earmarked for development in the long term, but which would otherwise remain “underused” over the short-to-medium term.

PLACE was established by the boroughs with £11m of funding from the Mayor of London in response to growing rates of homelessness in the capital, where there are said to be 54,000 households living in temporary accommodation.

Developed by the London Housing Directors’ Group and supported by the umbrella body London Councils, PLACE is hosted by the London Borough of Tower Hamlets.

On the scheme, Cllr Darren Rodwell, London Councils’ Executive member for housing and planning said that it comes in response to a worsening housing crisis for the capital.

He added that it shows London government’s determination to create “better housing” outcomes for homeless families.

James Murray, London’s Deputy Mayor for Housing and Residential Development, said: “The rise in homelessness in recent years is a national disgrace.

“Government cuts mean London’s councils are too often left with little choice other than to offer homeless families expensive housing far from their local area.

“We’re pleased to support this initiative, which uses modular construction and temporarily vacant sites to help ease some of that pressure and make a real difference to the families involved.”

On the announcement, Director of PLACE, Mark Baigent said that the decision to work with Extraspace Solutions comes with a shared vision of innovative, high-quality housing units to meet the needs of London’s homeless.

Eleanor Moloney, Extraspace Solutions Lead Designer, said: “Extraspace are delighted to be supporting PLACE’s mission to provide high-quality, local accommodation for people needing a home.

“We are thrilled to be helping to deliver this exciting initiative, showcasing modern modular solutions in the residential market.

“This scheme will combine innovative design with a community feel. Our precision-manufactured modular houses will deliver the quality of permanent homes, meeting the London Plan’s space standards, and can be relocated to the site of most need.”

Cllr Rachel Blake, Tower Hamlets Deputy Mayor also welcomed the news, adding that the partnership is committed to tackling the housing crisis, finding the “innovative solutions necessary” to improve the lives of people in Tower Hamlets and beyond.