Transport for London owns the freehold to the exhibition centres known as Earls Court One and Two and Capco is the current leaseholder of both sites.

The agreement would enable the two organisations to establish a joint entity that would own new 999-year leases over the sites‚ as well as other land owned by Capco adjacent to the exhibition centres.

The joint venture agreement was expected to be finalised and signed shortly and ownership of the new entity would be split 63% to Capco and 37% to TfL.

The joint venture would employ Capco as development manager to ensure a comprehensive approach was taken in the implementation of Sir Terry Farrell's Masterplan for the wider Earls Court and West Kensington Opportunity Area‚ Capco said on Thursday.

The Earls Court Masterplan represents an opportunity to regenerate a substantial part of central London‚ creating 7‚500 homes‚ 12‚000 jobs and new health‚ cultural and community facilities as well as 23 acres of green space‚ including the five acre Lost River Park.

It received planning consent from the London Borough of Hammersmith and Fulham‚ and the Royal Borough of Kensington and Chelsea in November 2013.