The scheme consists of three separate phases to the Wedlock, Dolman and Williams Stands.
Barr will start work on the first phase next month. This will see the existing 86 year-old Wedlock Stand demolished and completely rebuilt, with new conference facilities, administration offices and sports bar.
Barr Construction managing director Barclay Chalmers said: “Barr has a longstanding experience in stadia projects, having delivered over 50 schemes and we will bring all of this expertise to bear in our partnership with Bristol Sport.
“Barr has a policy of working with local labour and local suppliers wherever possible and we look forward to engaging with the supply chain in the South West.”
The two-year project will have a significant impact on the regeneration of the area providing jobs for local people, emphasising Bristol Sport’s commitment to improving the city.
Bristol Sport Chairman, Martin Griffiths, said: “It is hugely exciting to know that the stadium work is under way.
“In just two years Ashton Gate will be transformed into a 27,000 capacity multi-use stadium. It will have the very latest technology to ensure everyone visiting has the best sporting and entertainment experience in the South West.”
Bristol Sport, which is part of the stable of sports companies owned by Stephen Lansdown, is responsible for the management of the multi-million pound rebuild.
Since the end of the football season work has been underway at Ashton Gate to prepare for the rebuild and install a new artificial playing surface.
The DESSO GrassMaster pitch, which will have under soil heating, will enable both rugby and football to play throughout the winter months on a first class surface.