WORK on a £150m city centre development is due to get underway.

The developers of Milburngate, in Durham, say construction work will start early in the New Year.

The scheme, which includes 153 apartments, a 92-bed Premier Inn hotel, and 5,000 square metres of offices, was granted planning permission in December after an updated application was made to alter the development.

The former passport office at Milburngate has been cleared, ready for building work to start in the New Year

The construction partner is due to be selected this month, with work starting shortly after. The first phase, which covers about 70 per cent of the site, is due to be complete by early 2021.

The development is a joint venture between Arlington Real Estate and the Richardson family.

Arlington managing director Allan Cook said: “Milburngate is a development of regional significance, that will not only help address the urgent need for high quality residential, offices and retail and leisure space in the city, it will also set a new benchmark for quality and make a meaningful contribution to securing the city’s social and economic future for generations to come.”

Among the occupiers already agreed is boutique cinema company Everyman, and bar and restaurants, Pitcher & Piano, Bar + Block and Miller and Carter.

Milburngate House, Framwelgate Waterside, Durham City, has been knocked down and is being redeveloped. A planning application for a Premier Inn next to the bridge has been submitted to Durham County Council Picture: TOM BANKS. Milburngate House, Framwelgate Waterside, Durham City, has been knocked down and is being redeveloped. A planning application for a Premier Inn next to the bridge has been submitted to Durham County Council Picture: TOM BANKS.

The £150m scheme replaces the former passport office, which has now been demolished

Ben Holmes, Director at Richardsons, said: “Milburngate will have a significant positive impact on the quality and diversity of Durham City’s leisure offering, alongside the introduction of important residential properties and new offices, all of which will enhance the vibrancy of the riverside, and the city centre.

“Attracting new residents, visitors and businesses will be of social and economic benefit to Durham City drawing people in from across the North-East and from further afield.”