Written evidence submitted by the Olympic
Park Legacy Company
SUMMARY
1. This submission from the Olympic Park
Legacy Company:
— Provides background and charts progress
in the establishment of the Olympic Park Legacy Company.
— Outlines the Company's strategic objectives.
— Explains the national, regional and local
policy context.
— Outlines the Company's goals.
— Sets out the Company's delivery phases.
— Details land ownership and assets.
— Reviews the Company's priorities for
2010-11.
— Summarises the Company's funding sources,
budget and the transformation budget for the Olympic Park.
BACKGROUND AND
ESTABLISHMENT OF
THE OLYMPIC
PARK LEGACY
COMPANY
2. The Olympic Park Legacy Company is a
public sector, not-for-profit Company limited by guarantee and
established by three founder members: the Mayor of London, Secretary
of State for Communities and Local Government, and the Minister
for the Olympics. The Mayor owns 50% of the shares and the Government
members jointly own the remaining 50% share.
3. The Company aims to create a lasting
legacy from the London 2012 Games through developing the Park
to become, in time, a new and prosperous part of the city, and
was established specifically by its founder members to take forward
the legacy from the Olympic Park.
4. The Company carries on from the excellent
ground work put in place by the London Development Agency (LDA),
which was appointed interim legacy client, following its acquisition
of the Olympic Park land. In July 2007 the LDA handed the land
over to the Olympic Delivery Authority (ODA) to enable construction
of the Olympic Park site to take place, and launched the process
for developing the plans for the Park after the Games through
the Legacy Masterplan Framework (LMF). As part of this process
the LDA conducted extensive consultation to understand the aspirations
and expectations of local stakeholders. The LDA also prepared
outline business plans for the land and venues to sit along side
the LMF. This work has been passed over and is now being progressed
by the Olympic Park Legacy Company.
5. The Company was established and Baroness
Margaret Ford was appointed Chairman in May 2009. Andrew Altman
was appointed Chief Executive in August 2009. Since its incorporation,
the Company has focused on the development of its structure, governance,
staffing and financial resources, forging good working relationships
with its partners and stakeholders, and implementing a programme
of activity to take forward the legacy from the Olympic Park in
accordance with its strategic objectives. In October 2009 the
Company set up office in the heart of the community close to the
Olympic Park site at East Thames House, Stratford. The Board (Appendix
A) was appointed in November 2009 and the first three appointments
to the Management team were made in January 2010. The Company's
initial Corporate Plan is currently being developed and is expected
to be endorsed by the Board in April 2010 before being formally
approved by the Founder members which include government ministers.
6. The Company has been working closely
with the ODA on arrangements to transform the Olympic Park in
preparation for its use after the 2012 Games, and with both the
ODA and the Government Olympic Executive (GOE) to prepare a Park
operating model. The LMF plans for the development of the Park
are being thoroughly reviewed and will be completed by spring
2010. An assessment of the options for the use of the stadium
is being conducted and the Company will make a decision on its
main use by the end of the financial year. Outreach work with
local communities is on going as is close collaboration with the
boroughs to support the delivery of convergence objectives under
the Strategic Regeneration Framework (SRF).
7. During its formation and set up phase
the Company has been supported by the LDA, which has worked with
the Company and its members to plan a smooth transfer of its Olympic
Park site assets. The LDA has seconded a team of some 50 staff
to work with the Company and its Directors during this establishment
phase. It is expected that the seconded staff will be transferred
to the Company's employment on the completion of the transfer
of the LDA's land assets.
8. Baroness Ford is a member of the Olympic
Park Regeneration Steering Group which is chaired by the Mayor
of London and whose other members are the Minister for the Olympics,
the Secretary of State for Communities and Local Government and
the Leaders and the Mayors of the five east London host boroughs.
9. Baroness Ford and Andrew Altman also
attend meetings of The Olympic Board.
THE COMPANY'S
STRATEGIC OBJECTIVES
10. The Olympic Park Legacy Company's strategic
objectives, as set by its Founders cover:
— assisting the Government and the Mayor
of London in fulfilling some of the legacy promises made in the
bid to host the London 2012 Olympic and Paralympic Games;
— securing the timely development of the
Olympic Park site as a high quality and sustainable mixed community;
— promoting social, economic and environmental
benefits for local communities;
— securing the long term development and
management of the Olympic Park site and venues in ways which provide
lasting national and local sporting, cultural, education and leisure
benefits and which preserve the site's Olympic heritage;
— working with partners to contribute to
long-term economic growth and prosperity in the wider area;
— levering in private investment to maximise
and provide best value for the public purse; and
— promoting sustainable development, community
involvement and equality of opportunity.
POLICY CONTEXT—NATIONAL
REGIONAL AND
LOCAL
11. The overall vision for the London 2012
Games is "to host an inspirational, safe and Inclusive Olympic
and Paralympic Games and leave a sustainable legacy for London
and the UK".
12. The Government's legacy plan sets out
six legacy promises:
— to make the UK a leading sporting nation;
— to transform the heart of East London;
— to inspire a generation of young people;
— to make the Olympic Park a blueprint
for sustainable living;
— to develop choices and opportunities
for disabled people; and
— to demonstrate the UK is a creative,
inclusive and welcoming place to live in, visit and for business.
13. The Mayor of London's draft replacement
London Plan states that "the Mayor will work with partners
to develop and implement a viable and sustainable legacy for the
Olympic and Paralympic Games, to deliver fundamental economic,
social and environmental change within East London. This will
be London's single most important regeneration project for the
next 25 years."
14. The Mayor of London is working with
the Host Boroughs to prepare supplementary planning guidance for
the Olympic Park and the surrounding area.
15. The five Host Boroughs (Newham, Tower
Hamlets, Hackney, Waltham Forest and Greenwich) have led the development
of a Strategic Regeneration Framework (SRF, An Olympic legacy
for the five host boroughs, Nov 2009) which aims to achieve Convergence—parity
of social and economic benefits—between the east London
boroughs and the rest of London within 20 years.
16. The Company is developing its plans
for supporting the delivery of SRF objectives including creating
urban quality, maximising sports legacy, reducing worklessness
and delivering homes for all.
THE COMPANY'S
GOALS
17. The Company has set out what it aims
to achieve:
— Create a new great park for London building
on the capital's tradition of parks such as St James' and Hyde
Park and its neighbourhood garden squares. The highly active park
and premier centre for the enjoyment of sports, culture and recreation
will offer a full variety of international, regional, community
programmes and cultural events that celebrate the Olympic legacy.
— Build a diverse community with significant
levels of homes for families that offers an incomparable lifestyle
by the blending best of London's housing traditions with unique
access to nature and sporting facilities.
— Be a catalyst for regeneration of East
London by ensuring the site is physically, economically and socially
interconnected, with the surrounding communities and that local
communities are fully engaged.
— Create a place for sports and leisure
facilities for elite and amateur athletes, as well as for local
schools and people which capitalizes on the Park's Olympic heritage
and enhances the Park's social and economic opportunities for
people from the neighbourhoods which connect to the Park.
— Create unique employment and business
opportunities including a campus type environment attracting a
range of industries including research, innovation, media and
new enterprises including social enterprise which will all contribute
to London's competitive advantage and supporting the regeneration
of East London and opportunities for inclusion.
— Create a model of sustainable estate
management and land stewardship which provides excellent standards
of ongoing management and maintenance over the long term while
at the same time providing a good return to the public purse on
the significant public investment made.
LAND OWNERSHIP
AND ASSETS
Land Ownership
18. The accompanying Land Ownership Plan
(Appendix B) illustrating land ownership on the Olympic Park and
Stratford City should be referred to throughout this section of
the submission.
19. It is a common misconception that the
Legacy Company owns all of the land in the Olympic Park. The Company
will own only part of it, which is the land currently owned by
the LDA. Negotiations on the transfer of land assets from the
LDA to the Legacy Company are continuing.
20. The land which is expected to be transferred
to the Company includes three of the five permanent venues on
the Park; the Olympic Stadium, the Aquatics Centre and the Multi-use
Arena.
21. Lea Valley Regional Park Authority (LVRPA)—will
own and operate the Velopark and Eton Manor facilities after the
Games together with the land around these venues, plus further
sporting facilities to the north of the Park.
22. Joint working with LVRPA and other landowners
will help to substantially enhance the Company's assets base and
the Park's long term attraction to investors and its appeal as
a place for people to live, work and play. The other main landowners
include:
23. The Olympic Delivery Authority (ODA)—has
responsibility for developing the Athlete's Village. The Stratford
Village Development Partnership comprising the ODA and a consortium
of social housing organisations has been established, which will
provide 2,800 homes in the first neighbourhood on the Park following
the Games.
24. London and Continental Railways (LCR)—has
built and has responsibility for operating the high speed Channel
Tunnel Rail Link. LCR has development rights over areas of Stratford
City adjacent to the Olympic Park and the Athlete's Village.
25. Westfield—owns the 1.9 million
square foot Stratford City Shopping Centre and the surrounding
land which will be used for new hotels, offices, and residential
apartments together with new community facilities, a health centre
and a specialist Retail Academy.
26. British Waterways (BWB)—own and
operate the Lea Navigation Canal and tow path running along the
western boundary of the Olympic Park. British Waterways also own
the three waterways that run through the South Park including
for the most part the adjoining tow paths and will be a key partner
in helping to realise the leisure and recreational opportunities
proposed for the Park.
27. LB Hackney are the freehold owners of
the Hackney Marshes to the north of the Olympic Park, a small
area of which, East Marsh, will be taken out of use to provide
coach parking and accreditation during the Games. The Council,
ODA and LDA are providing significant investment into the remaining
sports facilities currently to enable them to accommodate the
football facilities being displaced from East Marsh.
Assets
28. After the transfer of land from the
LDA to the Legacy Company is completed and following the transformation
works by the ODA after the Games, the Company's main assets will
be:
— 104 hectares of land including Parkland
and development platforms.
— The Olympic stadium which has an 80,000
seat capacity during Games time. The Company has put in a place
a formal process which will invite interested parties to now come
forward with proposals for the Stadium's use after the Games.
These will be formally evaluated and the Company aims to complete
this process and reach a settled position by the end of the financial
year.
— The Aquatics Centre which incorporates
two 50 metre swimming pools and a diving pool. The 17,500 seating
capacity for the Games will be reduced to provide 2,500 permanent
seats and with the ability to expand to 3,500 temporary seats
for use after the Games. Arrangements for the use of the Aquatics
Centre in legacy are currently being finalised.
— The Multi-use Arena which is capable
of staging a mixture of sporting, cultural and leisure activities
and events after the Games will have permanent seating for 6,000
with the ability to accommodate a further 1,500 temporary seats
on the field of play. Arrangements for the use of the Multi-use
Arena after the Games are currently being finalised.
— The Main Press Centre which will provide
29,400 square metres of commercial space over five floors. The
Company is in discussion with a range of interested parties and
will be carrying out a more detailed market testing exercise later
this year.
— The International Broadcast Centre comprising
the IBC offices (8,800 square metres) arranged over five floors
and the IBC studios (53,300 square metres) over two floors. The
Company is currently reviewing the architectural options available
to sub divide the building to provide smaller employment studio
units.
— A Multi-Storey Car Park which has capacity
during the Games for 1,300 cars and 30 coaches.
— Bridges and Roads servicing the site.
— A combined cooling, heating and power
plant capable of providing heating for all of the development
proposed across the Park.
DELIVERY PHASES
29. The Company has planned four phases
of delivery (Appendix C)
2010-11
Planning, Promotion and Preparation
After the initial company set up during 2009,
the Company is now focusing on detailed long term plans for the
main venues, site infrastructure and the management and maintenance
of the Park after the Games. The Company will also start marketing
the site to investors and developers and prepare its programme
of events and activities for the Park for both prior to and immediately
after the Games.
2011-12
Partnerships and Procurement
This year will be focused on the appointment
of partners, service providers and operators and the Company will
be working closely with the ODA and LOCOG on the plans for the
transformation of the Park after the Games.
2012-13
Reinstatement and Handover
After the Games in 2012, the Company will prepare
for taking ownership of the Park in summer 2013 working closely
with the ODA as they complete their transformation works on the
Park site.
2013-18
Activation and Regeneration
These five years will see the development of
neighbourhoods within the former Athlete's Village, work started
on other new housing developments and commercial businesses and
the delivery of an active events programme of sporting, leisure
and cultural activities.
PRIORITIES FOR
2010-11
30. The Company's priorities for 2010-11
are as follows:
— Land and debt
The Company will continue to work with the Mayor's
office, Government and the LDA to resolve land and debt issues.
— Confirm the use for the Main Stadium
The Company will lead a formal process to identify
the best use of the Stadium after the Games and aims to reach
a settled position by the end of the financial year.
— Submit the Legacy Masterplan Framework
planning application.
The conclusion of this review, which has addressed
issues of sport, sustainability, connectivity and family housing,
will enable submission of planning applications at the beginning
of 2011. The formal developer procurement process will commence
at the same time.
— Secure a capital and operating budget
Quantifying the Company's budget requirements and
agreeing funding arrangements for these is a critical first year
action.
— Develop an operating model for the Park
and venues
During 2010-11, the Company will begin procurement
of tenants and operators for the venues and the parkland.
— Leverage the Olympic Opportunity
The Company will put in place a programme of events
in the Park pre and post Games and develop LOCOG sponsor interest
in legacy.
— Agree how the Company can contribute
to achieving convergence
The Company will develop its response to the SRF's
convergence objectives as well as to other policy priorities as
part of its wider role outside of the Park.
— Adopt the Corporate Plan and build Company
brand and capacity.
FUNDING SOURCES
AND BUDGET
31. OPLC has been funded in its establishment
phase and through to the end of March 2010 by the LDA and one
of its Founder Members, CLG. It has on-going operational funding
totalling £7.5 million available in each of the financial
years from 2010-11 to 2012-13, and is currently discussing its
capital budget and full operational budgetary needs with these
same funders.
TRANSFORMATION BUDGET
32. The ODA has a budget of £350 million
for transformation work after the Games. The scope of works which
this budget is planned to cover includes:
— transformation of all permanent venues;
— removal of temporary venues;
— delivery of the additional parkland areas;
— conversion of games roads and construction
of new roads and bridges; and
— conversion of off-site venues such as
the Royal Artillery Barracks.
33. Prior to the establishment of the OPLC,
work was conducted by the LDA to scope out further works which
may be required to make the Park ready for its long term development.
The scope of these further works includes such items as:
— IBC/MPC Transformation (including the
Gainsborough Bridge and Arena Fields).
— Pavilions, playgrounds and buildings
for the Parklands.
— Preparation and management of the development
sites.
— Removal of accreditation areas, transport
malls and vehicle screening areas).
— Funding for adoption of roads, bridges,
utilities and other infrastructure.
34. Work is still in progress to arrive
at a precise figure for transformation costs which will make the
Olympic Park safe, allow access to the public and prepare the
site for long term development after the Games. The LDA has estimated
that an additional capital of £450 million will be required
to complete the transformation of the Park. We are currently working
to verify this figure.
February 2010
APPENDIX A
OLYMPIC PARK LEGACY COMPANY BOARD MEMBERS
Baroness Margaret Ford is the Chairman
of the Olympic Park Legacy Company Board as well as being
Chairman of the Olympic Park Legacy Company itself.
The following members are non executive Board
members:
Ranjit Singh Baxi is one of the UK's
most highly regarded Asian business leaders. His own business,
J and H Sales based in Redbridge, exports waste paper
from Europe, the UK and USA to the Indian sub-continent and the
Far East, and has become one of the leading recycling export companies
in Europe. Ranjit is also a Divisional President of the Bureau
of International Recycling, an international trade federation
based in Brussels and a Non- Executive Director of Think London.
A Governor of the University of East London, Ranjit is actively
involved with the UK Punjabi Community and is the President of
the World Punjabi Organisation ( European Division).
Nick Bitel is Chief Executive of the
London Marathon and one of the country's leading events experts.
A partner in sports law firm Max Bitel Greene LLP, he is a member
of the Events for London Steering Group, a member of the London
Community Sports Board and former Vice Chairman of Wigan Athletic.
Aman Dalvi has lived in east London all
his life. He is Corporate Director, Development and Renewal at
the Borough of Tower Hamlets, is a former Chief Executive of Gateway
to London, and former Chief Executive of Ujima Housing Association
and has extensive experience of housing development and regeneration.
He leads on Tower Hamlet's Olympic activities and is a former
member of the Board of English Partnerships. He sits on the Board
as an individual member and not as a representative of the Borough
of Tower Hamlets.
Keith Edelman, is the former Managing
Director of Arsenal Holdings and a key player in the Emirates
Stadium project. He is currently Chairman of Nirah, and a Non-Executive
Director of Beale plc, Arnotts Holdings and Safestore Holdings.
He is a former Non-Executive Director of Eurotunnel and formerly
Chairman of Glenmorangie.
David Edmonds has had extensive experience
within the housing and regeneration sectors and was the senior
civil servant in charge of the Government's Inner Cities programme
in England. He is a former Chief Executive of the Housing Corporation,
Board member of English Partnerships and Chairman of Crisis, the
charity for the single homeless. He was also the UK's telecoms
Regulator for five years and the Chairman of NHS Direct for four
years. He is currently the Chairman of the Legal Services Board,
and Chairman of logistics company, Wincanton PLC.
David is a Non-Executive Director of property
company Hammerson PLC and a Non-Executive Director of William
Hill PLC.
David Gregson is Chairman of Phoenix
Equity Partners, one of the leading private equity groups in the
UK. He is currently Chairman of Abel & Cole and of Precise
Media Group, a Director of Letts Filofax Group, and a trustee
of the World Wildlife Fund-UK and of The Climate Group. David
was previously Chairman of the Mayor of London's Legacy Board
of Advisors.
Robert John is a director of a number
of private sector companies which focus on housing and regeneration
issues. He has held senior roles at Canary Wharf and has a continuing
interest in transport and regeneration. He was appointed Chair
of Wales in London in 2006 and is involved in a broad range of
activities in Wales. He also advises on property development in
Africa and India.
Sir Robert Kerslake is Chief Executive
of the Homes and Communities Agency beginning in post as Chief
Executive Designate from 31 March 2008. From 1997 to 2008 he was
Chief Executive of Sheffield City Council. He was previously with
the London Borough of Hounslow initially in the post of Director
of Finance and then for seven years as Chief Executive. He has
held previous roles with the Greater London Council, handling
Transport Finance, and with the Inner London Education Authority,
He is a former Non-Executive Board member at the Department for
Communities and Local Government.
Philip Lewis is a chartered surveyor
and Deputy Chairman of Lambert Smith Hampton, one of the UK's
largest property consultants. He is a former Chairman of Sport
England, London and past President of the British Council of Shopping
Centres. He was previously Chief Executive of Milner Estates plc
and Executive Chairman of Safestore plc. He has held Non-Executive
roles in a number of companies and is involved in various charitable
organisations.
Lord Mawson is one of the UK's leading
social entrepreneurs. Over 25 years he has created a family of
projects, in particular the renowned Bromley-by-Bow Centre in
East London. Today he is leader, motivator and adviser to major
projects including St Paul's Way Transformational project in the
London Borough of Tower Hamlets and Water City, a visionary plan
to revitalise east London.
Elizabeth McMahon is Managing Director
of Madison Muir, strategic marketing, brand and business development
advisors. Liz was Head of International Marketing for the London
2012 Games bid and was Director of Marketing Services at the International
Olympic Committee. A former Director at Citigroup and JP. Morgan,
she also managed the global corporate marketing and communications
department at 3M. She tutors in marketing communications and sponsorship
at the Westminster Business School and the George Washington University
Olympic Games MBA programme. Liz sits on the Corporate Development
Board of the NSPCC and the Board of the International Womens Forum
UK.
Jules Pipe was re-elected as Mayor of
Hackney for a second term in May 2006, having become the Borough's
first directly elected Mayor in October 2002. Before becoming
Mayor, Jules worked as a newspaper journalist, working for, among
others, the Sunday Times and Sunday Telegraph, as well as serving
as a ward councillor from 1996 to 2002, and Leader of Hackney
Borough Council from June 2001 until elected as Mayor in 2002.
Tessa Sanderson is an Olympic Gold Medallist,
our ambassador for the London 2012 Games and head of the Newham
Sports Academy which was set up to find and train talent for the
London 2012 Olympic and Paralympic Games. A former Vice-Chairman
of Sport England, she has won Sports Personality of the Year and
Athlete of the Year three times and presents sport on various
international television channels.
Sir Robin Wales is Mayor of Newham Council.
He was a Councillor from 1982 to 1986 and then from 1992, becoming
Leader in 1995. In 2002, he became the Borough's first directly
elected Mayor and was re-elected in 2006. His major interests
are raising employment, increasing affordable housing and regeneration
in the Borough. He is local government Board member on the London
Organising Committee of the Olympic Games (LOCOG) and is Chair
of LOCOG's remuneration committee. He is also Chair of the Five
Olympic Host Boroughs and is a member of the Olympic Park Regeneration
Steering Group.
In addition to these Non-Executive Directors
of the Company, the Chief Executive, Andrew Altman, and the Company's
Director of Finance and Corporate Services, Jonathan Dutton, are
members of the Board.
APPENDIX C
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