The homes are being provided as a result of two section 106 agreements related to commercial developments elsewhere in Fitzrovia carried out by Derwent London.
The work will involve demolition of part of the building to create an extra storey and to convert the building from commercial to residential use. The work is expected to be completed by November 2014.
Update: 14-10-13 map of works including traffic management details.
The part of the building on the corner of Whitfield Street was formerly Stern’s music shop which opened in 1983. Stern’s was at one time the largest European distributor of African records. They moved from Whitfield Street in the 1990s to Euston Road with that shop closing several years ago. See pictures of Stern’s at the British Record Shop Archive.