The government has given away the Millennium Dome and 170 acres of surrounding land for the promise of £550m to be returned over the next 25 years.

The international property consortium Meridian Delta (MDL) - including US billionaire Philip Anschutz's Anschutz Entertainment Group (AEG) as well as UK-based property investors Lend Lease and Quintain Estates - plans to convert the Dome into a 20,000 seat indoor arena, and claims development in the area will be up to £4bn; with homes, offices, shops and leisure facilities being built on Greenwich Peninsular.

MDL is committed to investing up to £200m in the dome and English Partnerships (EP) which owned the site on behalf of the government is entitled to a share of any profits.

There is also a profit share in place for the outer rim of the Dome - the Dome Waterfront - which will be a mix of leisure, eating and entertainment facilities.

The deal is subject to outline planning permission being granted for the site masterplan and detailed planning permission for the new arena.

Lord Falconer, minister responsible for the Dome, said: 'This is an excellent deal which secures a viable long term future for the Dome and the rest of the Greenwich Peninsula.

'We believe the deal provides better value for money than any other possible deal, including one where the Dome was demolished, or where land was sold outright.' Details: www.englishpartnerships.co.uk