The decision was approved on March 31 by Councillor Ahsan Khan, deputy leader for housing and regeneration.
The council will use Right to Buy receipts to fully fund the purchase of the homes at Fellowship Square in Walthamstow.
A report said that this is thanks to temporary rule changes, allowing councils to cover costs with these funds until March 2026.
The 53 homes in Block C include seven one-bedroom homes, 14 two-bedroom homes for three people, 26 two-bedroom homes for four people, and six three-bedroom homes for five people.
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A valuation found the units’ market value to be lower than the offer made to developer Countryside Properties.
However, the report said the council decided to proceed with the original offer due to the rare chance to fund the deal without borrowing, making it financially sound.
The homes will provide permanent accommodation for families on the housing register and for those currently in temporary housing.
The move helps keep the wider Fellowship Square project on track, as the report said Countryside was struggling to sell the affordable housing block.
The report warned that without the council’s intervention, the delivery of affordable housing at Fellowship Square could have stalled.
It also noted that if Right to Buy receipts are not used by March 2026, the council could lose the funding.
