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Top e-government news, updated daily, and regular features from the top people in the public sector.
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| Kajima named preferred bidder for Newcastle libraries PFI |
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Kajima has been named preferred bidder for the scaled-down £40.2m Newcastle libraries PFI scheme by Newcastle City Council.
Kajima will now finalise designs for the rebuilding of the City Library and High Heaton Library. The libraries were designed by RyderHKS and will be built by Tolent Construction. Work is expected to start on site towards the end of the year.
The Japanese contractor beat the Kier-led Information Resources group. A third bid from John Laing subsidiary Equion bit the dust earlier this year.
The original scheme, which first came up for grabs two years ago and was initally valued at around £21m, involved redeveloping and relocating four libraries.
But bids came in above the value of the PFI credits the council got for the scheme in 2003.
Credits were later increased to £27m but according to sources “it became clear there were insufficient PFI credits to provide the high-quality facilities required” when contractors sent in their proposals. |
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