PLANS for a £1bn revamp of a deprived estate have been given the green light.

Greenwich Council has granted planning permission for a master plan for the regeneration of the Ferrier Estate in Kidbrooke.

The 15-year project being led by the council in partnership with developer Berkeley Homes, includes demolition of nearly 2,000 1970s homes and the building of 4,398 new ones.

A shopping centre, a school and an NHS health centre will also built.

The council hopes to tackle social deprivation in the area by creating more open spaces and moving away from the previous inward-facing block design of buildings.

Demolition began on the estate last month.

Councillor Peter Brooks, deputy leader of Greenwich Council, said: “This is an important milestone for the Kidbrooke area.

“It will finally bring about the long-term vision developed by Greenwich Council with the local community over many years, to transform the environment, and provide new homes and amenities that we can be proud of.

“We look forward to working with the developers and our housing partners.”

Phase one of the development will consist of 449 houses and apartments, of which 220 are for private sale and 229 are affordable homes.

Building is due to begin this spring, with the first tenants expected to move in early in 2010.