High Wood Heath, a consortium of Laing O’Rourke and Serco, has secured a contract to construct a new district general hospital for the Dumfries and Galloway region in Scotland.

The value of the hospital could be around £200m.

High Wood Health intends to commence the construction of the new facility in early 2015.

Project director Dennis O’Keeffe said: "Following an intense period of competitive dialogue and evaluation, we are pleased to announce High Wood Health as our preferred bidder.

"Their proposed solution is one that brings to bear a consortium of designers and contractors with considerable expertise and resources to fulfil our expectations."

"Following an intense period of competitive dialogue and evaluation, we are pleased to announce High Wood Health as our preferred bidder."

NHS Dumfries and Galloway chief executive Jeff Ace said: "This is the major milestone that we have been working towards for months now, along with two bidders who have produced the final designs for the kind of facility that we need so that our staff can deliver the best care possible for our patients."

Highwood Health is a consortium, in which Laing O’Rourke is a construction partner, while Serco offers estate management services.

Balfour Beatty and Skanska were also shortlisted for the deal in September 2013; however, Skanska withdrew in November.

Since July 2012, Mott MacDonald and Keppie Design have been working as technical consultants for the project.