The north London borough’s cabinet confirmed the decision at a meeting on Monday night.
Lendlease was chosen last year to partner the council under its Haringey Development Vehicle JV to build 6,400 new homes across the borough over the next 20 years.
The scheme has provoked opposition which has intensified since May’s local elections which saw a number of Labour councillors deselected and the fomer council leader resign.
Lendlease is understood to be considering legal action following the decision after spending millions on bidding costs.