The contractor is already on site at the shopping centre redevelopment
Laing O鈥橰ourke has been confirmed by retail developer Intu as the main contractor on its 拢178m revamp of Watford shopping centre.
The project plans to extend Intu Watford into a single 1.4 million sq ft shopping centre. The cost of the job has jumped by 22% since last summer, when Laing O鈥橰ourke replaced BAM on the scheme.
Bam had been lined up as the main contractor on the job, but walked away last summer after failing to agree a price for the job with Intu after the cost of the scheme increased by 48%, from 拢100m to 拢148m.
Bam said at the time that 鈥渦ltimately we could not reach agreement with Intu on a sum that reflected an agreed view of the market and the management of risks鈥�.
Liam Cummins, head of UK construction at Laing O鈥橰ourke said: 鈥淲e are delighted to be continuing to develop our partnership with Intu, and look forward to delivering this transformational retail project for Watford.鈥�
In a trading update earlier this month Intu said it had agreed a fixed cost building contract for the revamp and extension works, adding that the main contractor was on site following the demolition by Keltbray of the former Charter Place precinct adjacent to the centre.
Intu in the update ascribed the latest jump in cost to 鈥渃ost inflation鈥� driven by booming demand in the nearby London market and a 鈥渞e-defined鈥� scope for the works, which now includes improved services including upgraded car parks.
Rebecca Ryman, regional director of Intu, said: 鈥淥ur 拢178m extension of Intu Watford will transform the centre into a contemporary shopping experience providing a fantastic place to shop, eat and play. It will massively strengthen Intu Watford as a destination which retailers want to invest in and our visitors enjoy.鈥�
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