£2billion London City Airport up for sale
PUBLISHED: 09:23 06 August 2015 | UPDATED: 15:49 06 August 2015
London City Airport is to be put up for sale at the end of the year.
Owners Global Infrastructure Partners, who also own Gatwick and Edinburgh airports, are seeking to make £2billion from the sale.
However, this could be limited by the failure earlier this year to win approval for an £200m expansion.
An airport spokeswoman said: “London City Airport can confirm that its owner, Global Infrastructure Partners (GIP), has indicated its intention to sell the airport.
“There is an enormous amount of potential in LCY and the market for quality assets, and particularly airport assets, is strong.”
A public inquiry into the expansion is set to take place in March, but the outcome is not likely to be known until the summer – by which time the airport is expected to have been sold.
The spokeswoman added: “It’s the right time to sell for the investors.
“Meanwhile it is business as usual at the airport - the sale process will have no impact on the airport’s operation or plans for growth.”
GIP has argued that expanding the airport was essential to its future in allowing it to fly to more distant destinations.
But campaign group HACAN East believe there would be more economic benefits if the airport closed and the site was redeveloped.
John Stewart, the chair of HACAN East, said, “When Crossrail opens Docklands and the City of London, the key business markets London City serves, will be within half an hour of Heathrow.
“We will be pressing developers to seize this chance to buy the airport and use the valuable land it occupies to build developments which would enhance the local economy without all the downsides of noise and pollution that the airport has brought.”