Following the agreement with the Greater London Assembly, Rydon’s development team will produce a detailed planning application for the scheme.
Rydon Construction will design and construct all 180 homes and associated external works with a build contract currently estimated in the region of £29.5m.
The contractor plans to demolish the empty hospital buildings but retain the facade of the original hospital building on Hackney Road, which was built in 1904.
It will then construct a basement car park, 127 homes for private sale, 36 homes for affordable rent and 17 homes for low cost home ownership.