The London Olympic Village has been sold to the Qatari Royal Family and partners for when the Olympics are complete. Included in this deal will be parkland and public spaces next to the housing units. The organization taking over is the Qatari Diar venture.
The selling of the athletes’ village is in part a step forward from the government funds used to bail the village out during the credit crisis. That decision meant that officials for the Games risked using the money they had set aside in case costs were higher than expected.
Less Cost for the Taxpayer
However, after having sold part of the village for £268 million to Triathlon Homes—to be used for affordable housing in the area—and another portion with this new deal, organizers believe that the cost of the village to the taxpayer will be only £200 million. The games have already cost the government a total of £9.3 billion. If this succeeds, it could mean Hugh Robertson, Olympics minister, is indeed accurate.
Qatari Diar and Delancy, a British development group, have closed a deal worth £557 million in order to use the development for private housing after the close of the Olympics. This will include a profit-share agreement that will give some money back to the government.
Jeremy Hunt, culture secretary, welcomed the deal, maintaining the benefits for taxpayers and saying, “The village will be the centrepiece of a new vibrant east London community.”
A Welcome Project
An additional 2,000 homes will be built on the site, adding to the 2,818 already in existence. The companies will take over 1,439 of the original 2,818. They will then rent the homes out. The other accommodation, 1,379 homes, will be managed by Triathlon Homes and will be available for public sector workers such as teachers and NHS employees to rent at a reasonable cost.
Aside from housing, the planned development will include educational facilities such as schools, provisions for health care, parklands, public areas, and open spaces. This will be a welcome project for the East End of London, encouraging more growth in the area. It will also mean a slight boost in the economy of the boroughs involved.