Work starts on Olympic Village minus funding agreement

Despite not having a final funding agreement in place, Lend Lease has started construction of the London 2012 Olympic Village.

Piling works to insert 24m columns are underway on the site, which will provide 17,500 beds for athletes and officials during the Games.

In legacy the site will contain 3,500 new homes.

The Olympic Delivery Authority (ODA) said discussions over financial arrangements with Lend Lease were continuing and interim agreements would be signed soon.

The initial construction work is being funded by the ODA until the full finances are agreed later this year.

Lend Lease Europe chairman Nigel Hugill said more than 15 architectural firms were currently working on the design brief.

He said: “They are working flat out with our own delivery teams to a clear brief which provides for substantial offsite prefabrication.

“We are far from complacent but we are certainly content with delivery progress to date.”

Lend Lease has been dogged by reports it is struggling to raise cash to fund the £2bn village project as banks restrict lending.