Future of Dome announced

The Millennium Dome is to be developed as a "world class" 20,000-seater entertainment arena as part of the deal for the site, the Government announced today.

In a long awaited statement, Dome Minister Lord Falconer confirmed that the Meridian Delta consortium (MDL) is to redevelop the site and about 170 acres of land on the Greenwich peninsula.

Lord Falconer told peers the deal could net around £240 million and represented "excellent value for money".

It would create tens of thousands of jobs and up to 7,000 new homes on the site.

After months of bitter wrangling over the future of the Dome, Lord Falconer told peers that English Partnerships (EP) had today entered into a contract with MDL and the Anschutz Entertainment Group.

Under the deal, Anschutz would construct an arena "capable of hosting a wide range of entertainment and sporting events".

No specific price was being paid for the land under the arena, but its value was reflected in the deal as a whole.

Anschutz would invest £135 million and EP would be entitled to a share of the profits made by the arena.

In the "outer rim of the Dome," MDL and Anschutz plan to construct a mix of eating, entertainment and leisure facilities, to be known as "the Dome waterfront".

He said: "All risk in respect of the Dome will transfer to Anschutz and MDL, who are required to maintain the Dome until 2018.

"Should they decide, at that time, to remove the Dome structure and redevelop the land, EP will be entitled to a 50% share of redevelopment proceeds".

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