Building new houses in one of London's oldest neighbourhoods, city hall is clearing the way for a small "building boom" in Old East Village.

The Corporate Services Committee recommended severing the rear portion of the former Lorne Avenue Public School on Tuesday.

It’s the first step to building 12 houses on the southwest corner of the site.

The area fronting onto Lorne Avenue and English Street will become a park.

City hall will soon launch an Request for Proposal (RFP) to find a developer to build the houses.

Deputy Mayor Jesse Helmer represents the area.

“It’s not just like building in a green field area on the edge of town. It’s a heritage district. So I am interested to see what the proposals are. I think RFPing the development parcel is good. I think there is going to be a lot of interest from developers building in this neighbourhood.”

He says guidelines for the Heritage District will ensure that the new homes fit in with the historic neighbourhood.