Bovis, Sir R McAlpine & Miller chase £150m Glasgow deal

Three firms are sweating it out while the client decides which of them will build a £150m extension to a major shopping centre in the heart of Glasgow.

Bovis, Sir Robert McAlpine and Miller Construction are now expected to know by the end of June which of them has landed the prestigious Buchanan Galleries job.

An insider said: "A decision was expected earlier this year but it's been deferred. The reason for this isn't clear, but it could be the bids are very close or maybe the credit squeeze is making people think twice about this project."

Bovis built the first phase of the scheme, which could stand it in good stead for the latest deal.

But a source said: "The other two contenders are more than capable of tackling a job like this. The word is that the client is now going round visiting the sites of similar jobs all three contractors have carried out, so maybe a decision will be made after that."

Construction work, which will double the size of the Galleries by 70,000m2 and make it one of the UK's largest shopping centres, is due to start later this year with completion in 2011.

The scheme will also include a new multi-storey car park, improving the bus station and developing a new atrium entrance.