THE company chosen to design and build an £8.7m extension to one of the region's hospitals has been named.

Kier Northern, based in West Cornforth, County Durham, has been chosen to build the extension to Sunderland Royal Hospital.

Among the company's recent projects has been a revamp of the Fenwick's store, in Newcastle, as well as large Private Finance Initiative projects in Leeds and Sheffield.

Work will start next month on the project, in which the former education and postgraduate centre will be demolished. It will be replaced by a five-storey unit comprising day-care theatres, a day ward, sterile services department and mortuary.

About 150 people are expected to be involved in the work.

A spokesman for Kier Northern said care would be taken to keep noise and disruption down because the hospital would stay open throughout.