Laing O’Rourke has been selected as preferred bidder for the major overhaul and expansion of Manchester Airport’s Terminal 2 building.

The firm is understood to have been told last week that it had beaten Chinese-led rival consortium Beijing Construction and Engineering Group, John Sisk & Son and Willmott Dixon.

According to a close source, it is understood the project is potentially worth up to £700m and includes demolition of Terminal 1 and the major Terminal 2 expansion with new piers.

Enabling works could now start before the end of the year.

Unsuccessful bidder BECGI UK is currently working on Airport City, a 15-year, £800m development project at Manchester Airport. The firm is an equity and construction partner in the project working alongside Carillion.

Being named preferred bidder in the two-stage contest is a major coup for Laing O’Rourke after delivering Heathrow’s Terminal 5 building.

Over the next 10 years Manchester Airport plans to spend around £1bn modernising the airport.

The major Terminal 2 upgrade, forms the core of this modernisation plan that involves new baggage handling facilities, alterations and extension of the existing terminal, new piers and multi-storey car parks.

Arcadis is project managing the scheme with Jacobs providing multidisciplinary engineering and selected architectural services for many facilities including terminal, piers, airfield, multi-level car parks and surface access facilities.

  • The expansion and reconfiguring of Terminal 2, to become primary terminal building
  • Improvement of Terminal 3 to cater for increased demand
  • New and enlarged airside transfer facilities, including the direct linkage between Terminals 2 and 3
  • US pre-clearance facility
  • Enlarged security hall that will screen more passengers, quicker
  • New customer friendly enhancements, including self-service check-in facilities and 50 food and retail outlets
  • New stands and piers, offering better departure gate facilities
  • Improved surface access road system