Joint statement from London Development Agency and London and Continental Railways

The London Development Agency (LDA) and London and Continental Railways Limited (LCR) confirm today that all parties have reached a successful outcome to their negotiations on land issues regarding Stratford City and the 2012 Olympic and Paralympic Games.

The agreement ensures that all the land and infrastructure required for the Olympics on the Stratford City land will be delivered, and that the first phase of the Stratford City development, known as Zone 1, can proceed. It also includes provisions to guarantee that LCR and Stratford City Developments Limited interests are protected and safeguards the requirements of Government, LDA and the Olympic Delivery Authority for delivering the Olympics and the wider regeneration of Lower Lea Valley.

Manny Lewis, Chief Executive Officer of the LDA, said: "This is the right result for the 2012 Games and for Stratford City. This agreement not only safeguards the development of both but protects their integration too. The LDA has always been fully committed to supporting both projects and we now have certainty on the way forward. On all the land assembly issues related to the Olympic Park, we have always said that negotiation is our preferred route and today's announcement proves that, even when the issues are highly complex, negotiation works and is the best way forward. We will continue this route with all other parties with whom we are in contact on preparing the site for the 2012 Olympics."

Stephen Jordan, Managing Director, London & Continental Stations & Property, said: "We and our partners are relieved and pleased that our commitment to finding a balanced way forward has resulted in such a positive outcome. The Stratford City Development Partnership can now get on and deliver Stratford City with its homes, jobs and shops. This agreement was essential for both a successful Games in 2012 and to ensure the lasting legacy for the people of East London."

Mayor of London, Ken Livingstone, said: "This is excellent news which gives us the certainty we need to stick to the timetable and deliver a landmark Games in 2012."

The Compulsory Purchase Order (CPO), which will enable the LDA to secure the land needed to regenerate the Lower Lea Valley and to enable the development of the Olympic Park, will be issued imminently. The CPO will not include the interests of LCR and Stratford City Development Limited in Zone 1. The agreement specifically relating to Zone 1 includes provisions to guarantee that infrastructure needed for the Olympics within the Zone will be delivered.

LDA continues its negotiations with all other landowners in the Olympic Park area.

For further media information: contact the London & Continental Railways Media Office: 020 7391 4369 / 07717 151 070 or the LDA Press Office: 020 7954 4100

Notes to Editors:

The London Development Agency is the Mayor's agency for business and jobs. The LDA prepares the Mayor's business plan for London and mobilises the support and resources of hundreds of partner organisations to help build a thriving economy for London's people, businesses and communities. The LDA is dedicated to improving sustainability, health and equality of opportunity for Londoners.

Stratford City: Following the signing of the section 106 agreement, it was also announced by LCR that 40 acres of the 170 acre Stratford site will be released in mid 2006 to allow for an early start for enabling works for the start of Zone 1 of Stratford City. This has been achieved through the successful construction of the Channel Tunnel Rail Link which is on schedule to be ready in 2007. The development partners (SCDL - see below) intend to submit the detailed Zone 1 application for Stratford City to Newham in early 2006. Zone 1 will include up to 1.5 million sq ft of retail space, 400,000 sq ft of leisure space, a hotel, small business/start up commercial space, 500 homes and up to 1 million sq ft of commercial office space. The homes will be delivered by a new partnership specially formed for this purpose by LCR and Stratford City Developments Ltd (SCDL).

London & Continental Railways: In 1996, following an international competition, London & Continental Railways Limited (LCR) was selected by the Government to build and operate the Channel Tunnel Rail Link (CTRL), and to own and operate Eurostar (UK) Limited, the UK arm of the Eurostar train service from London to Paris and Brussels. The CTRL is being constructed under a private-public partnership contract between the UK Government and LCR.

Inter-Capital & Regional Rail, a consortium of National Express Group, British Airways and the French and Belgian national railways (SNCF and SNCB), have a management contract with LCR to run the Eurostar train service.

Stratford City Development Limited: SCDL is the development partner consortium of London & Continental Railways and is owned by Stanhope and Duelglide. Duelglide in turn is owned by Westfield, Multiplex and Aldersgate.