London's Design Museum has confirmed that it has received a £7.5m donation towards its new development project from the Conran Foundation - endowed by Sir Terence Conran.

The cash gift has been pledged by the foundation, in addition to the value of the sale of the lease of the current museum building at Shad Thomas, which is valued at £10m.

Under its development plans, the Design Museum is aiming to move to the Commonwealth Institute building and offer three times as much space as its current home.

John Pawson will convert the interior of the vacant Commonwealth Institute building, while Rem Koolhaas' OMA has created the vision for the surrounding development.

The capital budget for the project is £77m, with the Heritage Lottery Fund also earmarking support worth £4.9m with the award of a first round pass announced late last year.

Design Museum director Deyan Sudjic said: "By making our ambition to move to the former Commonwealth Institute much more achievable, [Sir Terence] makes possible a project that will give the museum three times as much space as it has now."

Sir Terence added: "Moving to the Commonwealth Institute will allow all our dreams and ambitions for the Design Museum to come true."

Image: Design Museum/Luke Hayes