Olympia’s £1.3 billion redevelopment set to inject over £600 million into UK economy

The landmark £1.3 billion redevelopment of Olympia, London’s historic exhibition venue, will inject more than £600 million into the UK economy, according to new socioeconomic data.

The analysis by economic consultancy, Volterra, echoes the Mayor of London’s recently published London Growth Plan, which highlighted Olympia as an internationally significant visitor destination forecasted to attract 3.5 million annual visitors.

Including residents, workers, diners and visitors, Olympia’s annual footfall will reach about 10 million and is expected to attract a chunk of London’s 20.3 million international visits.

The 3.5 million visitors to Olympia’s event spaces, new hotels and performance venues will support an estimated annual spend of £464 million across retail, food and beverage, travel and accommodation. The total expenditure associated with Olympia’s events, conferences and exhibitions, including accommodation, transport and other costs, could reach up to £1.3 billion –27 per cent of the UK total.

The redevelopment includes a state-of-theart 4,000-capacity music venue, run by AEG Presents, and a new 1,575-seat theatre, the largest purpose-built theatre in London in 50 years and which will be operated by Trafalgar Entertainment, jointly anticipated to generate £18 million GVA annually and support up to 300 jobs.

Overall, Olympia’s transformation will create 7,000 direct jobs and support an additional 2,000 jobs through the supply chain. Workers are projected to spend up to £18 million annually in the local economy on leisure, food and drink.

Set to begin opening later this year, Olympia will also host two international hotel brands – citizenM and Hyatt Regency – a boutique fitness venue by 1Rebel, 550,000 sq ft of premium office spaces and over 30 hospitality venues including D3 Collective and Incipio. It will also feature Wetherby Pembridge, a new co-educational senior school, and 2.5 acres of public space.

Olympia will host around 800 events annually. This ambition reflects Olympia’s rich heritage since its inception in 1886, from hosting the first Ideal Home Show in 1908, and the first computer exhibition in 1958, to concerts featuring Jimi Hendrix, Pink Floyd and The Who and Dame Vivienne Westwood’s first official fashion show.

Lloyd Lee, Co-Founder and Managing Partner at Yoo Capital, said: “Investment in London’s creative industries is crucial in driving economic growth – with the Summer Spending Review on the horizon, we hope to see continued commitment from the Government in supporting the creative industries, not only through policy and funding but by recognising culture as a driver of long-term economic growth.”

The Mayor of London, Sadiq Khan, said: “The regeneration of Olympia is one of the most exciting projects in London. This is exactly the kind of project that London needs - helping us to attract tourism, enhancing our cultural offer and delivering a huge boost to the economy.”

Olympia is being developed by Yoo Capital and Deutsche Finance International, delivered by Olympia Estates and codesigned by Heatherwick Studio and SPPARC.