New Heathrow East terminal to be built in time for 2012 Olympics.

BAA has announced plans to build a new Heathrow East terminal to coincide with the 2012 Olympics.

The plan would see Heathrow’s existing Terminal 2 and Queen’s Building knocked down after work finishes on Terminal 5 and the new Heathrow East development, approximately the same size at T5, built in its place.

Initial estimates put the cost of the project at £1-1.5billion and BAA hopes construction will start in January 2009 when Terminal 5 work is finished.

The project, which is aimed to be ready to coincide with the 2012 Olympic Games, is also likely to pave to way for BAA to look at closing or redeveloping Heathrow’s current Terminal 1.

BAA Heathrow managing director Mick Temple said: “This is an option that I believe not only needs to be put forward, but followed as far as possible. This is not an opportunity that will be with us forever.”

Temple also said that Heathrow’s Terminals 3 and 4 will need redeveloping in the future.