London (AFP) – West Ham move home to the Olympic Stadium in August at a cost of £2.5million ($3.54 million) per year, it was revealed on Thursday.
The Premier League side have taken up a 99-year tenancy agreement with The London Legacy Development Corporation (LLDC).
West Ham’s new landlords will meet running costs for the centrepiece of the London 2012 Games for areas such as the pitch, goalposts, floodlighting and corner flags.
The stadium is also to host the 2017 IAAF and IPC Athletics World Championships and there is a 50-year agreement for British Athletics to use the venue each July.
West Ham won the bid to be lead tenants of the 60,000-seat arena ahead of Tottenham and Leyton Orient.
The transformation of the venue from its Olympic and Paralympic condition cost £272 million, with West Ham contributing £15 million.
The Hammers will pay an annual rent of £2.5 million for 25 matches – or £1.25 million if they fall out of the top flight – with a £100,000 fee for any additional match.
Performance-related payments are in place for positions from 10th (£25,000) to first in the Premier League. Finishing from first to fifth would result in a payment of £100,000.
The Hammers, who are the sole beneficiaries of ticket sales, are currently sixth in the Premier League.
A payment of £250,000 is required for qualifying for the Champions League group stages – and £1 million for winning the European Cup.
Winning the FA Cup or Europa League would cost £100,000; qualifying for the Europa League also costs £100,000.
The contract also showed the first £4 million of any naming rights for the stadium would go to LLDC, with any figure above that split 50-50 between LLDC and West Ham.
Revenue from catering and stadium tours would also go to LLDC.
The Hammers are due to move into the arena in time for the start of the 2016/17 Premier League season.
West Ham hope their on-pitch performances this season show additional future revenue can be generated.
A club statement said: “While someone renting the stadium for 25 days a year cannot be responsible for 365 days’ running costs, going by our performances this season, we hope to deliver additional revenue to the stadium via extended cup runs and big European nights.
“This will secure the international exposure and additional usage and revenue that may now be more challenging for the stadium owners to find elsewhere as a result of this ruling.”
Details of the deal were released after an Information Tribunal rejected LLDC’s appeal against a London Assembly ruling that the contract between it and the Premier League club should be made public.