LAING O'Rourke is to revamp a run-down shopping district in a Surrey town under a deal worth up to £100 million.
The contractor is negotiating with developer and house builder Crest Nicholson over the work to redevelop the Park Street area of Camberley, near Guildford. The area in the town centre, adjacent to the High Street, will be transformed with an upmarket residential, leisure and retail development.
A source close to the deal said: 'Laing O'Rourke and Crest Nicholson are thrashing things out at the moment.
I think everything should be wrapped up over the next few months. The developer has publicised it as a development worth £100 million but what the contractor gets isn't quite sorted yet. All I can say is it'll be between £50 million and £100 million.' The area will be renamed the Atrium. Park Street itself will be pedestrianised and converted into a tree-lined boulevard.
Along the street there will be 14 shops, 217 apartments, some of which will be built under the affordable homes scheme, and a 900-space multistorey car park. Part of the street is occupied by restaurants and will not be redeveloped.
The rest of the 3 ha site will feature a nine-screen cinema, a bowling alley, health and fitness club, cafes and restaurants.
Plans were formally accepted by Surrey Heath Borough Council in December and the first phase, which includes site clearance, demolition and preparatory work, has started. The initial phase will also involve building retail units along Park Street. The entire first part of the project should be completed by the end of June, 2007.
The second phase will comprise construction of the apartments, which should be completed by the end of June, 2008.
The third and final phase will be the multistorey car park, leisure units and affordable housing which is due to be completed later that summer.