Key Points
- £25m Scheme Completed: Construction work has officially completed on “The Works,” a £25 million urban logistics development located on the site of the former Croydon Gas Works on Factory Lane.
- 15 Industrial Units: The site comprises 15 speculative industrial units designed specifically to accommodate small and medium-sized businesses (SMEs).
- Employment Estimates Revised: The completed scheme is projected to generate roughly 150 jobs, representing a reduction of at least 100 jobs compared to initial estimates provided during the planning consent phase.
- Brownfield Remediation: The site underwent brownfield remediation; it originally housed historical gas holders erected in 1895, with demolition commencing four years ago.
- Joint Venture Delivery: Property developer Chancerygate and global real assets investment manager CBRE Investment Management delivered the scheme jointly.
- Strategic Location: Situated near light industrial occupiers including Tesco, Sainsbury’s, Royal Mail, and Decathlon, the development is located less than half a mile from the nearest tram stop.
- Public Artwork Integration: Chancerygate collaborated with local artist group A Collective to design and install a large-scale public artwork at the Factory Lane entrance to mark the location’s heritage.
Croydon (South London News) October 12, 2026 – Construction work has officially concluded on a £25 million urban logistics scheme, known as “The Works,” constructed on the historic brownfield site of the former Croydon Gas Works on Factory Lane. Delivered as a joint venture between property developer Chancerygate and global real assets investment manager CBRE Investment Management, the completed development features 15 speculative units tailored for small and medium-sized enterprises. The site, which first housed industrial gas holders in 1895, has been fully remediated following the commencement of demolition works four years ago. Situated in a commercial area alongside established distribution hubs for major firms including Tesco, Sainsbury’s, Royal Mail, and Decathlon, the site sits less than half a mile from the nearest local tram stop. To mark the industrial heritage of the location, Chancerygate partnered with local artist group A Collective to install a prominent public artwork at the Factory Lane entrance.
How Many Jobs Will “The Works” Provide to the Local Economy?
As reported by Steven Downes of Inside Croydon, project sources estimate that “The Works” could provide approximately 150 jobs once fully occupied. This figure represents a notable reduction from the initial forecasts presented when planning permission was granted, which anticipated the creation of at least 250 jobs on the site.
The project delivers 15 multi-let units aimed at attracting light industrial, warehousing, and trade counter occupiers to the London Borough of Croydon. The site’s position near key logistics operators is designed to offer small and medium-sized enterprises direct access to South London’s transport infrastructure.
As reported by Steven Downes of Inside Croydon, the development sits on land that was heavily industrialised for more than a century, requiring extensive remediation work to convert the legacy infrastructure into operational commercial space.
How Has the Brownfield Site Been Reconfigured for Modern Business Use?
As reported by Steven Downes of Inside Croydon, the site began its industrial life in 1895 with the construction of large gas holders to serve the surrounding regional infrastructure. Modern redevelopment efforts began four years ago when the redundant gas structures were systematically demolished to clear the ground for construction.
The 15 newly constructed units have been built to modern sustainability standards to accommodate light manufacturing, storage, and urban logistics operations. The proximity of the development to public transport infrastructure—specifically located under half a mile from the nearest tram link—allows access for staff and local deliveries.
To preserve the historical footprint of the location, Chancerygate commissioned A Collective, a local artist group, to design and create a large-scale public art installation situated at the primary Factory Lane entrance, drawing visual inspiration from the 130-year history of the gas works.
Background to the Factory Lane Development
The Croydon Gas Works on Factory Lane served as a key utility hub for South London following its opening in 1895. Throughout the 20th century, the gas holders dominated the local landscape, providing town gas and later storage for the natural gas network. As gas storage technologies evolved and national grid infrastructure modernized, the massive above-ground holders became redundant, leading to their eventual decommission.
In recent years, the London Borough of Croydon prioritized the clearance and remediation of underutilized industrial brownfield sites to address shortages of modern employment space. The Factory Lane plot was identified as suitable for urban logistics redevelopment due to its established industrial zoning and proximity to major commercial occupiers like Royal Mail and regional supermarket distribution hubs.
Planning consent for the commercial regeneration was granted following proposals submitted by Chancerygate and CBRE Investment Management. Demolition of the iconic gasholder framework began four years ago, paving the way for soil decontamination and structural groundworks. Although the project encountered schedule adjustments—completing almost three years later than early project timelines indicated—the finished scheme replaces disused utility infrastructure with modern commercial floor space intended to support local supply chains.
Predictions: How Will This Development Affect Local Businesses and Workers?
The completion of “The Works” is expected to have specific, measurable impacts on local business owners, light industrial occupiers, and jobseekers within the borough of Croydon.
Impact on Small and Medium Enterprises (SMEs)
For local business owners, the addition of 15 multi-let industrial units provides modern commercial property within a well-connected industrial cluster. Small to medium-sized firms in South London often face a scarcity of modern light-industrial units with high environmental ratings. Access to newly remediated units alongside major logistics operators may lower operational overheads and improve supply chain connections for local firms.
Impact on the Local Employment Market
For jobseekers in Croydon, the scheme will generate up to 150 operational roles across logistics, distribution, light manufacturing, and facilities management. Although this employment figure falls below original planning projections, the influx of active businesses will nevertheless create steady entry-level and skilled employment opportunities in the immediate area.
Impact on Local Infrastructure and Surrounding Occupiers
For neighboring businesses along Factory Lane—such as the distribution centers for Tesco, Sainsbury’s, and Decathlon—the full occupation of the site will increase local commercial traffic and freight movement. The proximity to the local tram network is anticipated to mitigate passenger transport congestion by allowing employees to commute via public transport routes.
