Tate Modern has announced a major gift of £10m from the Eyal Ofer Family Foundation to support the completion of the new development of Tate Modern.

The donation has raised 85 per cent of the funds that are needed for the £215m 10-storey extension, which will increase space by 60 per cent. It is due to open by 2016.

Eyal Ofer is an international shipping magnate whose business interests include a vast global real estate portfolio. His family has a long tradition of philanthropy in the UK and overseas.

Ofer’s father, Sammy Ofer K.B.E., contributed to major cultural projects in London such as the Sammy Ofer Wing of the National Maritime Museum (opened in 2011) and the restoration of the Cutty Sark in Greenwich (opened in 2012).

Through this donation Eyal Ofer aims “to provide continuity to his family’s legacy of charitable giving and to broaden public access to contemporary art in the future.”

When the completed project opens, it will provide more space for art from around the world and enable Tate Modern to explore new areas of contemporary visual culture involving photography, film, video and performance.

Tate Modern will name the exhibition galleries on Level 3 East the Eyal Ofer Galleries.

Eyal Ofer said: “Tate Modern is one of the world’s great public art institutions. So it is my privilege to be supporting this development project as it expands the gallery’s exhibition space and enables an iconic institution to enhance the experience and accessibility of contemporary art for an even broader range of visitors from across the UK and abroad.”