The university is now looking for a development partner to draw up detailed plans for the scheme.

It estimates that the contract value will be around £500m but envisages that the developer’s overall project value could rise to £1.5bn for the site depending on the scale of plans advanced for the site.

The development phase of the contract is expected to continue for up to 10 years, and LSBU’s intention is that a long lease will be granted to the developer.

London South Bank University plans to shortlist three development firms for a planned 12-month procurement process.