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Balfour Beatty and Bouygues in the running for Battersea Power Station redevelopment third phase

Two contractors are battling it out to win the £800m contract for phase three of the Battersea Power Station development.

Balfour Beatty and Bouygues are understood to be the only two contractors in the running for the scheme.

Phase three, believed to have a contract value of £800m, will feature 1,310 residential homes in total, 103 of which will be classed as affordable.

The homes will be equally split across two new residential developments: Prospect Place designed by Gehry Partners and Skyline/The Flower designed by Foster + Partners.

Construction News understands that other firms were reluctant to bid for the third phase of the transformational £8bn project.

“They have struggled to get bidders,” one director-level source said.

Speaking at Construction News’ Developer Forum this week, BSDC project director Scott Grant said his team was having to “charm” contractors to get involved in Battersea because firms are so busy at present.

Altogether phase three will include: 1,310 residential homes; 33,470 sq m of retail and restaurant space; an 167-bed hotel; a new high street; leisure space; a 1,500 sq m community hub; and 1,349 car parking spaces.

Phases one and two are already under way. Carillion is building the 866-home phase one – Circus West – which is due to complete by the end of next year.

Skanska was chosen as preferred bidder for the £600m phase two of the development in September and took control of the site in November.

Prior to this, Mace was appointed as construction manager for its £100m preliminary works.

Phase two will include the creation of high-end retail space adjacent to the power station’s two turbine halls, as well as commercial office space and residential apartments.

Each of the two turbine halls is the size of the Tate Modern’s, with retail space set to the side.

The halls will be used as event spaces, with commercial offices situated above them.

A total of 254 residential properties will be created on the upper levels, which will range from studios to five-bedroom apartments.

They will be located at the top of the existing façades on the western and eastern flanks of the Grade II-listed building, as well as on top of the structure’s central boiler house.

The second phase also includes the construction of a 2.4 ha public park between the power station and the River Thames that will allow free access along the riverfront.

Skanska won the main contractor deal after carrying out an £88.6m contract to fit out the new homes in phase one.

A consortium featuring SP Setia, Sime Darby and the Employees’ Pension Fund of Malaysia bought the site for £400m in July 2012.

Phase three

Foster + Partners

Skyline

  • Wave-like building
  • Around 655 homes, 103 affordable homes
  • A 167-bed hotel in the northern part of the building, over 13 floors

The Electric Boulevard

  • Primary entrance into the Power Station site
  • More than 200 m in length
  • Two levels of shops, cafés and restaurants

Gehry Partners

Prospect Place

  • Around 655 homes
  • Four buildings centred around a final building called The Flower

Phase three overall

  • 1,310 residential homes, 103 of which will be affordable
  • A 167-room hotel overlooking Town Square
  • 33,470 sq m of retail and restaurant space, plus a 1,500 sq m community hub
  • Leisure space
  • 1,349 car parking spaces for the whole development

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