Glenkerrin's plans to develop a series of towers at its two Isle of Dogs sites were delayed this week after Tower Hamlets Council deferred a decision on granting planning consent.
The Irish developer planned to develop a Foster & Partners-designed 62-storey residential tower and a nine-storey podium hotel building at the former City Pride site. It bought the site at 15 Westferry Road from Oracle for more than £30m last year.
At its other scheme, known as Island Point, at 443-451 Westferry Road it proposes six residential buildings comprising two to eight storeys.
Glenkerrin linked the developer contributions and affordable housing elements for the two sites together to provide a total of 41% affordable housing.
Objectors to the scheme said Glenkerrin wants to maximise the amount of private housing it could sell at the City Pride scheme which would provide just 5% of the total affordable housing provision.
The deferral by the council's strategic development committee was made because members said further clarification is needed over the level of developer contributions required at Island Point which has already failed to get planning twice. Council officers recommended granting consent for both schemes.
Glenkerrin which bought both sites for more than £60m in total said meeting a higher affordable housing target is not commercially viable.
DP9, Glenkerrin’s planning consultant, said the scheme had been ‘well received’ by many residents and there was a petition in support of the plans.
However, Millwall councillor Rupert Eckhardt said: 'We're being told to set aside this council's policy of social cohesion just to allow a developer to get out of a hole after overpaying for a site…We’re being asked to accept a massive overdevelopment of the two sites, and it’s just going to destroy the community.’
It is another planning blow for Glenkerrin, headed by Ray Grehan, who this month also had his plans for a major scheme at the Arcadia Shopping Centre in Ealing Broadway called in by secretary of state Hazel Blears.