Joint venture partners Lend Lease and London & Continental Railways have agreed a deal with Starboard Atlantic Hotels LLP – a joint venture between Starboard Hotels and Union Hanover Securities.

The JV has purchased the site to build a 275,000 sq ft hotel of up to 500 bedrooms, comprising the design-led Urban Villa extended stay hotel and an upmarket internationally branded hotel.

A planning application will be submitted later this year with the complex scheduled to open in 2016.

The 18-storey hotel complex will overlook the former London 2012 Athletes’ Village, now known as East Village.

It is also directly adjacent to Westfield Stratford City, Queen Elizabeth Olympic Park and Stratford International station.

Lend Lease expects to submit a planning application later this year for the first 350 residential units on the site of the former Olympic Park.

If the application is successful, the new homes will go on sale in early 2014.

Kristy Lansdown, Lend Lease’s Project Director, said: “This deal represents a decisive step for both The International Quarter and the Olympic legacy.

“The Starboard Atlantic brand offer is an ideal fit for the new commercial hub we are creating in Stratford, which capitalises on the world-class infrastructure which was put in place for the London 2012 Olympics and is one of the best connected places in London.”

Paul Callingham, managing director of Starboard Hotels, said: “We are thrilled to have secured such a prominent site for a hotel in the heart of the Park, close to Westfield and Stratford International.

“The Olympic Park has become one of the most iconic venues in London and plans for creating a legacy on the site will ensure that it remains a key hub for both business and leisure in East London.

“The Starboard Atlantic Hotels offering will provide a mix of four-star hotel space, luxury aparthotel and first-class restaurant facilities.

“We are in discussions with a number of brand partners for the hotel itself, whilst we will be expanding the Urban Villa concept, currently being rolled out across the country by Union Hanover.”