Balfour Beatty has announced that Balfour Beatty Construction has been awarded the first phase of Europe's largest City centre retail regeneration project under a contract valued at £16.5 million.

The contract, for the centre of Birmingham, was negotiated in two stages with the Martineau Limited Partnership, acting on behalf of the Birmingham Alliance (a partnership between Land Securities, Hammerson and Henderson Investors).

The project, scheduled for completion next autumn, consists of the demolition, alteration and rebuild of retail facilities, including piling, new structural frames, quality claddings and installation of new services.

Balfour Beatty has also announced that Heery International, its project and construction management subsidiary, has formed a joint venture with one of Spain’s leading developers, Grupo Lar, to extend the group’s services in the Spanish market. The new company will be called Heery Professional Services SA, with its base in Madrid.

Graham Rice, MD of Heery International, commented: "We have been discussing the possibility of a more formal link with Grupo Lar since we started work on their Crisalis Building project last July. Both sides felt comfortable with each other and the formation of this company is a logical next step in our relationship."

Anna Lagerkvist