Newham Council is set to lease out more space within its headquarters to the London Ambulance Service (LAS) on a longer-term basis, aiming to boost revenue and reduce expenses.
The council’s main office is situated in Building 1000, centrally located in the Docklands. The premises are divided into two equal sections – the East Wing and the West Wing – connected via a central atrium.
Currently, the council occupies the entire West Wing, while the East Wing is primarily utilised by LAS and The Swatch Group.
LAS already holds leases for the ground floor and part of the first floor in the East Wing and has also been occupying the fourth floor under a short-term agreement.
The proposed five-year lease for the fourth floor would alleviate financial pressure by lowering operating costs and increasing rental income. At present, the council covers service charges and business rates for any vacant areas in the East Wing.
Council Aims to Cut Costs and Maximise Property Value
Speaking during a cabinet meeting on Tuesday morning (April 1), Cllr Zulfiqar Ali, lead member for finance and resources, explained the rationale behind the extended lease: “The proposal here is that we grant LAS a longer lease for the fourth floor.
This will enable LAS to consolidate the training facilities and enable them to have a strategic operational site at Dockside and this will indeed result in additional sustained income for the council.”
“Having a lease in place with LAS will also positively impact on the value of Dockside. If the council chooses to dispose of the building in due course then clearly the commercial value will be greater because the premises will be occupied,” he added.
Cabinet members approved the findings of the report, formally allowing the long-term lease of the fourth floor to go ahead.
Part of Wider Strategy to Tackle Budget Gap
This move is aligned with the council’s broader Asset Strategy, approved in February 2025, which involves reviewing more than 800 corporate and commercial properties. The initiative is part of a wider effort to reduce Newham’s projected £157 million budget deficit over the next three years.
This financial challenge has largely stemmed from soaring temporary accommodation costs and increasing demand in the social care sector.
