WORK has begun on a £20 million contract won by York-based Shepherd Construction to build new offices at the headquarters of Northern Rock.

The nearly 50,000 sq ft offices will comprise four three-storey square blocks around a central core and will be linked to the bank's existing complex in Gosforth, Newcastle upon Tyne, via a glazed "street" walkway, built above an underground services culvert.

Foundations of the building are being prepared and the offices are expected to be completed by Spring 2005. Because it is a busy area, Shepherd is scheduling delivery of materials both to the offices and a nearby school to avoid rush-hour traffic.

The project continues the success of Shepherd in Newcastle, which will use the same construction team which recently completed £15 million apartments on the city's Pilgrim Street roundabout.

Shepherd is also carrying out the £9 million redevelopment of the former Alfred Wilson House in Newcastle's city centre into Centralofts - 83 loft apartments.

Updated: 08:55 Tuesday, October 14, 2003