The first step in a new creative quarter in Barking was unveiled this week by the London Thames Gateway Development Corporation (LTGDC).
The LTGDC has invested £1.4m in buying and refurbishing the Malthouse at Abbey Road.
New creative quarter
LTGDC wants the building to be at the heart of a new creative quarter for the area, as a part of its wider London Riverside regeneration.
The corporation has bought the neighbouring Icehouse for £1.35m, which will also be turned into studios for the creative arts.
At the launch of the Malthouse, which will be the home to the Arc theatre group, the LTGDC also released the London Riverside Vision document.
It says that over the next 20 years the 10,800 homes will be developed at Barking Riverside.
The studios are subsidised by the LTGDC.