Flexible business space provider Workspace has planning permission for an £85m joint venture in Wandsworth, south west London.

The mixed-use scheme, undertaken with investment and development company Glebe will include a 94,000 sq ft business centre, 209 houses, a nursery and creche, and a café and retail space.

Workspace has also bought a retail and office building in Whitechapel, East London, for £11m.

The 43,592 sq ft building is currently 60% let and at £415,260 a year.

When fully let the estimated rent is £879,000, which represents an income yield of 8.1%.

Workspace chief executive Harry Platt said: ‘The current downturn in the market is creating opportunities for us to buy properties that offer significant potential to release value in the future.

'We are confident that by implementing our active asset management skills we will be able to grow the rental income significantly.’