By the end of this year around 150 scientists and researchers will have relocated from the current tech base in Yatton, Bristol.
The Yatton base had an initial focus on highways technology such as motorway signage, signalling and CCTV systems.
But Costain has broadened its activities and is now providing cutting edge technology solutions to clients across all its operations in water, transportation and energy.
Costain chief executive Andrew Wyllie said: “The further expansion of our technology capability through this enlarged Group-wide facility, is another important step towards establishing Costain as the UK’s leading smart infrastructure company.”