Work has begun to transform a water depot in Colliers Wood into more than 70 homes.

Developer Clarion Housing’s contractor has started preparatory work on 74 homes in Fortescue Road, due to be completed in 2019.

The development comprises 58 for shared ownership, 11 for affordable rent and five starter homes.

Clarion has proposed an investment of £1billion in Merton, delivering 2,800 new homes.

The company will build 21 homes at a garage site in Ravensbury early next year, with permission granted for another 134 at High Path.

Merton is facing the most severe housing crisis in London, with just one per cent of expected housing catered for by planned new homes.

Clarion’s new business and partnerships director Philip Browne said: “We are particularly pleased to be bringing brownfield land back into use and delivering high quality affordable homes to those who are struggling to buy through the private market.”