Wandsworth Council and Battersea Power Station Development have signed a legal agreement which will see 374 homes offered to local residents for below market prices.

Of these new properties, which include 35 four-beds and 69 three-beds, 258 will be available to rent and the remaining 116 homes will be for Wandsworth residents to buy at a reduced price on terms agreed between the council and the developer.

November 25: Boris Johnson starts work on the Northern line extension to Battersea and Nine Elms

November 19: Plans for 300 homes above Nine Elms tube station as Battersea development expands

October 20: Battersea Power Station development to have rooftop pool and bar​

Rent levels will be 20 to 70 per cent below the market rate, with an average discount of 40 per cent and the aim is to make them affordable for households with a combined income of £25,000 and above.

Council leader Ravi Govindia said: "This deal is unique and will deliver hundreds of new homes at prices that low and middle income households can genuinely afford.

"The high numbers of three and four-bed homes are particularly welcome news for local families struggling to cope with London’s inflated housing market.

"These homes will support local workers struggling with high market rents, those on housing waiting lists and the sons and daughters of local residents who can’t otherwise afford to fly the nest."

The new homes are being built as part of ‘Phase4a’ of the power station master plan to rejuvenate the area and will replace an old industrial estate and milk distribution depot in Nine Elms on the South Bank.

The first 98 shared ownership homes in Nine Elms have already been bought by Wandsworth residents with the average household income being around £45,000 a year, which includes couples using combined income and savings.

Along with a 2,000 square metre NHS health centre, there will also be space for a mix of ground floor shops, restaurants and cafes as well as business ‘incubator space’ which will be offered to creative sector start-ups at reduced rents.

By 2019, 177 properties should be ready for occupation and, overall, the developers will provide more than 2,400 affordable homes and a further £60m that the council will spend on other affordable housing schemes.

Council leader Ravi Govindia said: "These homes are being provided without a single penny of taxpayers’ subsidy and the agreement sets a blueprint for others councils to follow as we all strive to build the homes Londoners need."

To find out if you qualify for affordable housing schemes in Wandsworth visit: www.wandsworth.gov.uk/homeownership