The £6m project will see Engie regenerate the Rye Hill Park garages into two blocks of flats for social rent.
Work has now started on site and will take approximately two years to complete.
The scheme is part of a wider commitment from Southwark Council to build 11,000 new council homes by 2043 by improving underused sites and existing estates.
The 23 new homes will be in two interlinked blocks that are designed to be energy efficient through thermal insulation levels and air tightness that go beyond the requirements of building regulations, while roof-mounted photo-electric solar panels will generate electricity.
Colin Macpherson, divisional chief executive of Engie UK said: “Regeneration of vacant land can play an instrumental role in the provision of much-needed new homes and offers a prime opportunity to future proof our housing stock.
“We’re proud to be supporting Southwark Council on their ambitious journey to deliver 11,000 new council homes; and projects like this – where we can implement important renewables and energy efficiency measures - assist us in our own path to make zero carbon happen.”
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