Minerva is to announce a £150m construction contract with Skanska that will give the green light to the development of one of the largest City of London office schemes. Financial Times

Minerva’s St Botolph’s office development, which will provide 560,000 sq ft of office and retail space on a site near Aldgate, has been shortlisted as a potential home for newspaper publisher News International.

Occupier interest in the site, as well as the construction agreement that is to be announced today, will be welcomed by the developer.

Minerva’s share price has dropped almost 80% over the past year to close at 89p yesterday, partly because of fears over its development exposure to the City, where it has two large office schemes.

Minerva has been talking to Skanska about building St Botolph’s for almost 18 months, and will hope that the signing of the contract will now quash rumours about issues with its development pipeline.