Architect Piercy Conner is talking to three developers over plans for "micro-flats" in London.
At least one developer believes the scheme could be a cheap and convenient way of reaching London mayor Ken Livingstone's target of 50% affordable housing on commercial new-build schemes.

The practice was initially concerned that it would be unable to find private funds because of low profit margins on the £80,000 units.

Members of the public have contacted the practice expressing support for the project, first revealed in Building, as a way of providing low-cost housing.

Piercy Conner partner Matt Fairman said an initial report into the project would be completed by the end of next month. He added: "The interest in the project has thrown up an awful lot of questions about cost, profit and getting the Greater London Authority on board."

Piercy Conner hopes to put its ideas to Livingstone and secure GLA funding in addition to any potential private backing.