The partnership includes the creation of a new 50/50 joint venture company, Lewisham Grainger Holdings.
The planned rental housing scheme at Besson Street will include 35% affordable homes let at London Living Rent and long-term tenancies for Lewisham residents.
The development, which will be owned by the JV and managed by Grainger, will also include a GP surgery and pharmacy for the local community, new office space for the New Cross Gate Trust, and an outdoor gym.
Helen Gordon, Chief Executive of Grainger, said: “We are pleased to launch this long-term partnership with Lewisham Council for our proposed development at Besson Street.
“This is an excellent project that will deliver high quality homes and several additional facilities for the local community. Upon completion, residents will benefit from new homes and also Grainger’s commitment to customer service and expertise as the market leader in modern homes for rent”
Lewisham Council and Grainger will now move onto the next phase of the project, with a planning submission expected in 2019.