Barr has just started work at the Salters Lane site on behalf of developers Terrace Hill.
Once completed in spring 2013, the building will be leased to Sainsbury’s and Barr will fit out the store for the operator.
As part of the contract with Terrace Hill, Barr will create a new foodstore, a petrol filling station, a new access road and car parking for 322 customers.
It is expected the new store will create up to 250 full and part time jobs when it opens in May next year.
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Terrace Hill has offices in London, Teesside, Bristol, Manchester and Glasgow and the Sedgefield project is Barr’s first with the developer.
Paul Griffen, construction director at Barr Construction, welcomed the opportunity to cement this new relationship.
He said: "It is a testament to Barr's supermarket expertise that we have been appointed to both erect the building and handle the internal fit out.
"Terrace Hill is one of the UK’s most successful foodstore development businesses, while Barr's track record of delivering stores for Sainsbury's and other major retailers is second to none.
"We therefore look forward to this project signalling the start of a new partnership between ourselves and Terrace Hill."
Research by developers Terrace Hill prior to submission of its application for planning permission to Durham County Council indicated that almost 90% of main food shopping expenditure in Sedgefield is spent outside the Sedgefield area.
The development was awarded planning permission by Durham County Council in December 2011 and Terrace Hill signed an agreement to lease the store to Sainsbury’s in January 2012.
(CD/GK)
