The new site will house a major library extension, a new Law School and a student services building to be known as the Palatine Centre.

More than 200 construction jobs will be created by the project which is due to be completed by September 2012.

All new buildings will be built  to BREEAM ‘excellent’ standard, which will see a £8m energy-efficient heating system installed.

In total, the University’s planned works across the estate in the next three years represent an investment of more than £60m.

Miller Construction has just started refurbishing premises at Mountjoy to house the University’s administrative services, and the enhancement of sports facilities at Maiden Castle are underway.

Finance for the development work has been secured from a number of sources including capital grants from the Higher Education Funding Council for England and generous donations.

John Osborne, Laing O’Rourke’s project manager, said “The project offers a great opportunity to strengthen our relationship with Durham University, and working in partnership with them, we look forward to delivering a world class facility.”

Laing O’Rourke’s Gateway Programme contract

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• A prestigious new Law School, providing modern, purpose-built accommodation to build on our current strong position as one of the UK’s top Law schools.

• A major Library extension, and refurbishment of parts of the existing library, to accommodate all our undergraduate and modern research collections and state-of-the-art working spaces for staff and students.

• The Palatine Centre, bringing together central Student Services (e.g. careers, international office, disability service, admissions, welfare) and the University Executive into a single purpose-designed building adjacent to the main library, a hub and focal point for students, staff and visitors.

• Catering and social facilities for students, staff and visitors