Schroder UK Real Estate Fund (SREF) and Stanhope have appointed Lendlease as the preferred contractor for the first of five office buildings at Ruskin Square, London.

The partnership’s £500 million business, along with the residential and leisure quarter adjacent to East Croydon Station, is set to underway, with completion expected in autumn 2016.

Work on the building has now commenced, with the creation of 200,000 sq ft of flexible office accommodation and independent retail space on the ground floor.

Sir Edward Lister, Deputy Mayor for Planning, said: “Croydon is set to become one of the capital’s most vibrant town centres and a major driver of our economy. Lendlease’s appointment will act as a catalyst for change, bringing forward much-needed valuable office space in South London.”

The appointment builds on Lendlease’s recent succession of construction wins such as Legal & General’s office building in Hammersmith and the Rathbone Place scheme just off Oxford Street.

With a shortage of Grade A office accommodation in the central London market in particular, Ruskin Square’s total of 1.25 million sq ft of new office space will meet a growing demand from occupiers across the Capital and South East, for high quality, flexible accommodation, catering to Croydon’s burgeoning business community.

Situated at the heart of Croydon’s business district, the 2 million sq ft Ruskin Square development will also provide up to 625 residential units and 100,000 sq ft of retailing, cafes, restaurants and public space.

Work on the first residential phase at Ruskin Square began in July 2014, with Places for People appointed to build and manage the construction of 161 high quality homes, due to be completed in 2016.

Neil Martin, Managing Director, Construction at Lendlease, said: “We are looking forward to working with Stanhope and Schroders on this pivotal development in a part of South London that is set to undergo a remarkable transformation over the next few years.

“Adding to our high–profile portfolio of major London construction jobs, the contract is testament to the strong relationships we have with our clients and our expertise in building mixed-use regeneration schemes.”