I know there already council properties in Bloomsbury, Kensington, Chelsea, Notting Hill, and all sorts of expensive areas. I just meant that while it's not realistic to build new council accomodation in prime central London locations, neither should they all be stuck in places like East Ham or Thamesmead. There's a balance to be struck. I guess the "sensible distribution" would be primarily numerical, but would also depend on things like available land, current density of population, infrastructure, green space, etc.