Event organiser Eventica, whose clients include the Sochi 2014 Winter Olympic and Paralympic Organising Committee and Russian Olympic Committee, applied for planning permission to the Kensington and Chelsea Council last month and are looking to create a temporary pavilion that is likely to host VIP events for Russia's Olympic athletes.

The planning application document submitted by Eventica, who are based in London, says the proposed development is the: "Lawful Development certificate for use of Perks Field from July 27 to August 12, 2012 as a National Pavilion for the Olympic Games."

The dates mentioned encompass all 17 days of the Olympic Games while the application says that the targeted date for the decision on planning permission is due on January 4, 2012.

Reports in the Evening Standard suggest that the cost of hiring the land will go to the Royal household to raise money for the Queen although the price of hire has been blanked out in public documents.

"The renting of Perks Field is a way of managing and adding to the budget of the Sovereign Grant over the next three years," said a Buckingham Palace spokeswoman.

Eventica, founded by millionaire Russian businessman Sergei Kolushev in 1996, helped Russia to secure victory in the FIFA 2018 World Cup bid race while another of their high profile clients includes Aston Martin Moscow.

The attempt to secure Perks Field appears to be a major statement of intent by the event organiser as it will allow Russia to make a major impact at London 2012 as the country continues their policy of promoting itself abroad through sport.

Perks Field was the location for a ball attended by the Duke and Duchess of Cambridge in their first public engagement after their April wedding that raised money for a schools charity and their charitable foundation.

The couple are due to move formally into the Kensington Palace apartment in mid-2013 after it undergoes a major refurbishment.

Kensington Palace also has historical links with Russia as it was the childhood home of Queen Victoria, whose granddaughter Princess Alexandra was married to the last Russian Tsar Nicholas II.

Kensington Palace Gardens is currently one of the most expensive residential streets in the world, and has long been known as "Billionaires Row" due to the extreme wealth of its private residents, although in fact the majority of its current occupants are either national embassies or ambassadorial residences.

Last year market prices for a property on the street were set at an average of £18 million ($28.22/ €21.61).

Sochi also still hope to find a solution so that they can turn Marble Arch into a showcase for the 2014 Winter Olympics and Paralympics after Westminster City Council rejected the £10 million ($15.5 million/€11.6 million) plans which would have involved an ice rink being erected in the heart of the capital accommodating up to 8,000 people a day.

The rejection came following objections from several groups, including the Metropolitan Police.

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