New Dome bidder waits in wings

Are plans for a business park at the Dome in jeopardy?

A company owned by the Duke of Westminster has said it would be ready to make an offer for the Millennium Dome if the Legacy consortium's £125m bid falls through.

Grosvenor Estates said that if new bids were invited it could join forces with Quintain Estates, which already owns a 12-acre site on the Greenwich peninsula, to build luxury riverside apartments and offices.

Deputy Prime Minister John Prescott confirmed on Thursday that there are "problems" with the proposed sale to Legacy, led by property entrepreneur and Labour financial backer Robert Bourne.

Pierre-Yves Gerbeau: Still interested in bidding

A report in the Times newspaper suggesting that Tony Blair is ready to let new bidders enter the race amid growing anxiety over Legacy, has also increased speculation that the deal might soon be off.

Already waiting in the wings is the Dome's former chief executive, Pierre-Yves Gerbeau, and the owner of the Ministry of Sound nightclub, James Palumbo, who want to turn the Dome into an international concert centre.

Legacy is the "preferred bidder", which means it currently has exclusive negotiating rights.

Prime site

It has ambitious plans to turn the Greenwich attraction into a hi-tech business park, creating 14,000 jobs within three years.

Recent reports suggest it is having difficulty finding companies who want to let space in the complex, but it says it cannot sign up tenants until the purchase has been agreed.

The consortium has until 14 February to finalise the deal with the government and the consortium insists it is on track to meet the deadline.

If the deal does falter Grosvenor Estates told The Times it is ready to present its own plans.

They would build luxury riverside apartments, offices, and retain the Dome on the site at Greenwich in south east London.

The consortium has revealed its vision for the Dome

In a statement it said: "Grosvenor and Quintain would be ready to express an interest if the current proposals for the future of the Dome were to be re-evaluated and alternative proposals were sought."

Video footage has already been released showing what the inside of the Dome might look like if the Legacy bid goes ahead.

The consortium argues that the Dome, which covers a million square feet, is a prime site at a time when demand for office space in London is at a premium.

According to the consortium's property advisers, Insignia Richard Ellis Research, only 5.38 million square feet of office space is currently available in central London, an historic low.