The Ministry named Inteq preferred bidder on its Corsham PFI project.

The MoD, through the Defence Communication Services Agency, aims to establish a communication centre of excellence at Corsham in Wiltshire. All essential MoD personnel and business partners will co-locate on a single site.

The consortium will be responsible for working with Defence Estates to create and manage a working and living environment capable of supporting an estimated 2,000 users of the site including new flagship offices and single living accommodation.

John Laing and Interserve will each have a 50% equity/sub-debt stake in the project and Interserve will provide a range of facilities management services over the 25-year concession period. The contractors anticipate the project will be worth £180m over that time.

It is anticipated that the contract will reach financial close in late 2007, with construction completing in 2010.

Commenting on the deal, Adrian Ewer, chief executive of John Laing said: “We are delighted to be partnering with the MoD on this exciting project, which when completed will be a critical component in the security of the nation. Building on our strong reputation in the defence sector, this is a further demonstration of what can be achieved when combining the skills of the military and private sector.”