Original builder ARJ Construction fell into administration not long after securing the project to build 56-flats, workspace and cafe at the former Paradise Depot.
The council feared it was at risk of losing a significant part of the funding secured for this project as a result of the Hertfordshire’s builder’s collapse.
In order to protect the continuity of the project and the funding stream, the council said it was now in talks with the next-place bidder in the original tender race, Bugler Developments.
ARJ secured the job for £17m at the end of last year, subject to successful negotiation and cabinet approval.
