Financial close has now been reached for Blue 3, a consortium comprising Kier and DIF Infrastructure II as co-investors, to design, build and maintain nine new community fire stations in south-east and east London on behalf of London Fire Brigade.

The government is providing £52m funding under the Private Finance Initiative and Blue 3's contract will run for 28 years.

The fire stations will be built and maintained by Kier and handed over between autumn 2014 and February 2016. Stations at Purley, Dockhead, Old Kent Road, Mitcham, Dagenham, Leytonstone, Plaistow, Orpington and Shadwell will replace the current fire stations which were built between 50 and 100 years ago. All except Mitcham will occupy their existing sites. These new fire stations will deliver the quality and flexibility of accommodation needed to support a 21st century fire service, and facilitate fire prevention work through the provision of publicly accessible buildings with community engagement at its heart.

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Kier Group Chief Executive Paul Sheffield commented: "We look forward to working in partnership with London Fire Brigade in delivering strategic assets that are sustainable and promote inward investment in the region. This is an excellent opportunity for us to demonstrate how effective public/private partnerships can deliver high quality, value for money solutions."

(CD/MH)