Arada acquires prime Southwark site near London Bridge

Dubai, United Arab Emirates: Arada has secured its third major residential acquisition in the UK within a three-month period, completing the purchase of a strategically located regeneration site in the South London borough of Southwark, close to London Bridge and Elephant & Castle.

Prime Regeneration Site in Southwark

The newly acquired 99–101 Newington Causeway site consists of two vacant structures, including a prominent 10-storey building with a basement. The site previously served as the headquarters of The Salvation Army UK prior to its relocation to Denmark Hill in 2023. The development will be delivered by Arada London, the Group’s UK development platform, which is expected to submit a planning application to introduce a mixed-use scheme comprising a hotel and Arada’s first co-living development in the UK capital.

Exceptional Connectivity at the Heart of London

The site benefits from exceptional connectivity, situated just a two-minute walk from Elephant & Castle Underground Station, which provides direct access to Central London via the Bakerloo and Northern lines. The location places the project at the heart of one of London’s most actively transforming urban districts.

This acquisition marks Arada London’s third major development within Southwark. The company is currently progressing its Devonshire Place project, which will deliver 941 purpose-built student accommodation units alongside 200 new on-site affordable homes. At Blackpool Road, Arada is exploring a dual-use development strategy that may include both affordable housing and student accommodation.

Backed by Long-Term Urban Regeneration

Newington Causeway has been identified as a priority development opportunity within the New Southwark Plan, further reinforcing its long-term regeneration potential. Elephant & Castle has already benefited from extensive public and private investment in recent years, including the transformation of the former shopping centre and the creation of Elephant Park, which introduced new residential, commercial and public realm assets to the district.

With more than USD 5.44 billion (AED20 billion) committed to projects across the wider town centre, the former Salvation Army headquarters is positioned as a key contributor to Southwark’s next phase of growth. The site offers the opportunity to deliver high-quality residential space, hospitality uses and employment-generating amenities that align with the borough’s regeneration objectives and long-term urban vision.

Rapid UK Expansion Strategy

The latest acquisition builds on Arada’s rapidly expanding footprint in the UK following its acquisition of local developer Regal, now rebranded as Arada London, in September. This was followed in November by the purchase of an 80% stake in the USD 3.27 billion (AED12 billion) Thameside West riverside project, one of the largest regeneration initiatives currently underway in Europe.

Commenting on the latest transaction, Ahmed Alkhoshaibi, Group CEO of Arada, said: “Our continued investment in the capital reflects our firm conviction in London’s long-term strength as a global real estate market. Since entering the city, we have set a clear ambition to scale our residential pipeline, and the rapid growth to over 16,000 homes underscores the capability of the Arada London team to deliver at pace and to a high standard. Newington Causeway is a well-located site in an area benefiting from sustained regeneration, and we see significant potential to bring forward a high-quality mixed-use scheme that supports Southwark’s growth.”

Ambitious Development Pipeline

Arada London’s current pipeline exceeds 16,000 residential units, supporting the developer’s ambition to scale this figure to 30,000 homes over the next three years. The strategy builds on a 30-year legacy in London’s real estate sector through the Regal platform, now integrated into the wider Arada group.

Jonathan Seal, CEO of Arada London, said: “The former Salvation Army headquarters presents a unique opportunity. This acquisition marks a major step for Arada London, as we kick off our third project in Southwark and make our debut in the co-living world. This acquisition demonstrates our approach to creating connected, vibrant neighbourhoods. With brand new homes and a hotel, we’re helping shape a town centre at the heart of Southwark’s transformation.”

Strengthening Arada’s European Presence

Through its accelerating UK expansion, Arada is steadily positioning itself as a significant long-term player in London’s residential and mixed-use development landscape, with Southwark emerging as a key strategic growth district within its European portfolio.