Birmingham City Council has named Lovell as preferred developer for the £1bn transformation of Druids Heath, paving the way for around 3,500 new homes alongside upgraded infrastructure, transport links and revitalised commercial and community spaces.
Six miles south of the city centre, Druids Heath’s 1960s council housing is set to be replaced in phases, addressing what the council describes as the only large municipal estate in Birmingham to have missed major investment since it was built. The programme places affordability at its core: approximately 1,800 homes — 51% of the total — are earmarked as affordable. Of these, 400 are identified for delivery as affordable homes the council aims to let at social rent, with the remainder to come forward through partnerships with a developer and registered providers.
An outline planning application submitted in March 2025 sets out a mixed community with homes for sale, accommodation designed for later living, new community and sports facilities, and a re-energised high street intended to serve as the area’s central hub.
Work has begun on a partnership agreement between the council and Lovell, expected to be signed in spring 2026. This will define roles and obligations for delivering the long-term regeneration.
Councillor Nicky Brennan, cabinet member for housing and homelessness, said the appointment marked a landmark moment for residents: “This brings us another step closer to delivering the plan we have spent two years developing with the community. The regeneration will deliver thousands of high-quality, energy-efficient homes, with more than half affordable — helping to meet urgent housing needs.”
Stuart Penn, regional managing director at Lovell, added: “Druids Heath represents the next chapter in our long relationship with Birmingham. This is about more than bricks and mortar — it’s about creating opportunity, improving lives, and working in genuine partnership with the council and the community to leave a lasting legacy.”
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