Chelsea Football Club has reached agreement in principle to buy most of military veterans' housing provider Stoll's flagship site in Fulham, which could unlock redevelopment of the Stamford Bridge stadium in west London.
The board of trustees for Stoll said that, subject to further resident consultation, it planned to sell the majority of its Sir Oswald Stoll Mansions site to the Premier League club's ownership group
Having consulted with residents in 2022, Stoll will now undertake a new consultation on the proposal which will begin on 19 July and run for nine weeks.
The plans would see Stoll retain 20 flats on the site. The charity would establish new properties for veterans with support needs who it said would benefit from "improved facilities and broader services and enhance its community outreach programmes".
The charity is a century old and provides housing and support services to veterans living in West London and in locations across the UK.
Knight Frank was appointed to seek offers in excess of £50 million for the freehold site, which is being offered on a subject-to-planning basis. The 1.9 acre (0.78 hectares) development site occupies a prime position in the centre of Fulham next to Fulham Broadway station and Stamford Bridge.
The board of trustees said it received 13 bids which were reviewed over a period of six months to ensure the best possible outcome for residents and the charity. Knight Frank continues to lead on the proposed sale. It is thought Chelsea has reached agreement to pay substantially more than the £50 million initial guide.
A feasibility study demonstrated an indicative new build residential scheme of 233 units across approximately 191,373 square feet could be delivered on the 1.9-acre site.
Chelsea FC gained consent in 2017 to demolish its stadium at Stamford Bridge and replace it with a 60,000-capacity arena on the same site. The plans were backed by the Mayor of London.
But the development has been delayed by a number of factors, including rising construction costs, last projected at £1 billion, and the sale of the club.
Chelsea, under the club's previous owner Roman Abramovich, had agreed to buy part of the Stoll site in 2018 before the deal hit a snag and the whole redevelopment was put on ice. Abramovich sold up at the end of May 2022 after the UK froze his assets due to his alleged links with the Russian government.
The redevelopment of the 41,000-seater ground has been back on since new club owner Todd Boehly bid for the Stoll site.
Chair of trustees air vice-marshal (retired) Ray Lock said in a statement: “Many of the properties on our Fulham site were built over a century ago and will require major upgrades to meet future regulations. Without this investment from the proposed sale it would not be feasible to provide the quality of accommodation and services we need to offer long term to veterans across the UK. Refurbishing the site to ensure that it meets necessary Government housing standards and that the properties serve as energy efficient, modern and comfortable homes for our residents would cost a minimum of £10 million; these are funds which the charity simply does not currently have. Even beyond this cost, new facilities and further investment would be needed to meet statutory housing requirements; the reality is the site at Fulham is unsustainable for the long term.”