BAM Construction North East is to build 112 luxury student flats in Durham for private developer Sophiero.
Each of the hi-spec apartments will be unique, and include its own kitchen and bathroom.
They will be housed in one four-storey block on Green Lane near the River Wear.
Work is due to start on site in late July 2012 and complete in summer 2013, with a total construction cost of about £5 million.
The scheme is aiming for a BREEAM Very Good rating, and will be built using a traditional masonry construction rather than timber or modular pods.
Construction director Andrew Warwick said: "We are delighted to be delivering this high quality living accommodation for students in Durham.
"We have maintained a relationship with Sophiero over many years and this contract shows we are trusted to build student accommodation to a high standard in the most efficient way possible.
"With each flat being unique, no pods used in construction, the river just outside and the city centre only a few minutes’ walk away, these will be fantastic student homes."
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