Britain's Millennium Dome will become a 20,000-seat sports and entertainment complex under a deal announced today in which the government agreed to give the loss-making white elephant to a business consortium in exchange for a share in future profits.
Meridian Delta Ltd. was to take over the dome and a surrounding, 190-acre site on the south bank of the Thames River, said Lord Falconer, the minister responsible for the attraction. The Meridian consortium comprises Los Angeles-based Anschutz Entertainment Group and two partner companies.
In return, the British government hopes to earn up to $803 million from events organised there over the next 20 years.
The dome, which opened on New Year's Eve 1999, was rated a spectacular waste of money and a failure for the government when it did not draw expected crowds.
Filled with theme exhibits, interactive technology and live shows, the dome attracted only 6.5 million visitors - just over half the 12 million expected by planners.
It quickly became an embarrassment for Tony Blair, who had staked New Labour's reputation on the facility's success. The dome closed its doors on the last day of 2000.
AEG, Meridian's privately owned entertainment arm, expects to invest $197 million to convert the facility. AEG manages a similar complex in Los Angeles, the Staples Center, home to the NBA's Lakers and the NHL's Kings.
"We have had very positive discussions with a number of British promoters, such as Harvey Goldsmith, and they are very keen to have a state-of-the-art venue in London," said Detlef Kornett, managing director for AEG's operations in Europe.
In addition to the dome itself, AEG plans to redevelop the surrounding area to include restaurants, bars and theaters.
AP