GMI Construction Group has secured the contract to deliver the £7m refurbishment of South Shields’ landmark Customs House as part of wider regeneration plans for the town.
The contractor has been appointed by South Tyneside Council as principal contractor for the transformation of the Grade II listed building, which has served as one of the region’s leading cultural venues since being converted into an arts centre in the 1990s.
The project forms part of South Tyneside Council’s broader regeneration ambitions, supported by £20m secured through the UK Government’s Levelling Up Fund Round Three programme.
Procured through the NEPO Framework, which represents 12 North East local authorities, the scheme will preserve and enhance the historic building while creating expanded facilities designed to meet the changing needs of audiences, artists and the wider community.
Originally built in 1863 and extended in 1878, the Customs House is a key part of South Shields’ maritime heritage. Operated by The Customs House Trust Limited, the venue currently includes a 442-seat theatre, a 132-seat studio and cinema, rehearsal rooms, gallery spaces, a restaurant and private dining facilities.
The redevelopment will see the Mill Dam building undergo significant internal reconfiguration, alongside the restoration of key heritage features and the addition of sensitively designed extensions. The completed project will provide modern, accessible and multifunctional spaces for community, leisure, educational and commercial use.
Planned improvements include new rehearsal and performance spaces, enhanced food and drink facilities overlooking the River Tyne, improved accessibility throughout the venue and a new architectural glass entrance designed to create a more welcoming arrival experience.
An ‘internal street’ linking the Customs House with the neighbouring Daltons Lane workshop will create a communal hub for events and social interaction. The refurbishment will also deliver a large multi-functional events space, upgraded restaurant and café facilities with a raised performance area, new offices, additional storage and enhanced toilet provision.
Dean Hope, GMI Commercial Director for the North East, said: “We’re proud to have be entrusted with delivering this transformative project for such a historic and much-loved building. The Customs House holds a special place in the heart of South Shields, and this refurbishment will preserve its heritage while reimagining its future as a truly inclusive, vibrant cultural venue.
“GMI is committed to delivering projects that bring lasting social value to communities, and we’re excited to help shape a new chapter for this iconic building that will engage and inspire future generations.”
Ken Rawe, GMI’s Head of Frameworks, added: “Securing this prestigious project through the NEPO Framework highlights the strength of our regional partnerships and our proven ability to deliver high-quality, heritage-sensitive schemes.”
South Tyneside Council says the investment will play a key role in strengthening links between the town centre and riverside while increasing visitor numbers and supporting the local economy.
Cllr David Royal, member for economic growth, investment and regeneration at South Tyneside Council, said: “Appointing GMI Construction is an exciting step forward for this landmark project and we’re delighted to welcome them on board.
“The Customs House is at the heart of South Shields’ cultural offer, and these plans will ensure it continues to thrive as a vibrant, modern venue.
“This investment will not only enhance the experience for audiences and performers but will also boost footfall and strengthen the link between the town centre and riverside, supporting our vision for an exciting, connected place.”
Kelly Anders, CEO at the Customs House, said: “We are absolutely delighted that The Customs House will benefit from this major capital refurbishment, and we extend our sincere thanks to South Tyneside Council for their support.
“Our collaboration with GMI and the other agencies involved in the project is already underway, and there is a real sense of momentum building.
“We are excited about what lies ahead and proud to play a central role in shaping the future of the Mill Dam area as part of this ambitious new vision.”
The project is also expected to support local employment and skills development through GMI’s regional social value commitments.
Construction is scheduled to begin later this year, with works being delivered through a phased programme designed to minimise disruption to the venue’s ongoing operations.
