Leisure trust Fusion has signed a 25-year lease with Lambeth Council to operate Brockwell Lido – known locally as Brixton Beach – and is now set to begin a £2.5m refurbishment project.

As well as redesigning the Lido’s entrance, changing facilities, toilets and pool surrounds, a new healthy lifestyle area will be added including a spa with hydrotherapy pool, sauna, steamroom and therapy rooms.

A fitness suite with separate changing facilities and a multi-purpose studio will also be introduced.

The scheme, which has received £400,000 from the Heritage Lottery Fund, is designed to make the facility self-sustainable and no longer reliant on public funding.

The work is being carried out by Alliance Leisure and will be the first time the company has worked on a Grade II listed building.

Peter Kay, chief executive of Fusion, said: “We are delighted to ensure the future of one of south London’s most popular attractions.

“The Lido has been the heartbeat of the community for many years, but the funding that has gone into the project was crucial to maintaining this position.

“When the new amenities are in place, Brixton Beach will become the multi-purpose facility it has always had the potential to be and a community facility to be proud of.”

Fusion has already invested £50,000 in revamping the swimming pool in preparation for its opening for the 2006 season on 19 June.

Last month, the trust was also awarded a 12-year contract to run the new Hillingdon Sports and Leisure Centre and Athletics Stadium by the London Borough of Hillingdon.

The first phase of the £25m development, the Athletics Stadium, opened to the public at the end of May. The rest of the facility will be completed over the next year and a half and is set to open in spring 2008.

When finished, the complex will boast a 400m running track, full-size artificial turf pitch, an outdoor pool, 25m indoor pool, 120-station gym, studios, treatment rooms, sports hall crèche and spa suite. Fusion is investing £1m in the development. Details: www.fusion-lifestyle.com