Construction giant exits £280m arena development

Kieran Molloy, Local Democracy Reporter

UK-building giant McLaren Construction has left the £280m scheme to build a new indoor arena and hotel in the Welsh capital.

The development, headed by a consortium led by Live and Robertson Property, named McLaren Construction as the primary contractor of the 16,500-capacity venue in August of last year.

The scheme also received the backing of Cardiff council.

At the time, the then-council leader Huw Thomas said the arena “will transform Cardiff’s visitor economy in a way nothing has since the [Principality] stadium opened in 1999”.

He added: “It’s not just about the bricks and mortar – it’s about underpinning and enhancing Cardiff’s status as a vibrant, dynamic destination for music and culture.”

Now it is understood that McLaren is no longer part of the project and the consortium behind the project will now be taking direct control over the next phase of construction.

The venue, planned to open in 2028, is part of the wider regeneration of Atlantic Wharf at Cardiff Bay. Construction began in 2025. Once forecast to come in at £150m, the cost has spiralled following the pandemic and rising inflation.

Spread over a 30-acre mixed-use development , the regeneration includes office spaces, a new public square and leisure facilities, with the planned hotel containing 182 rooms.

The venue itself will accommodate a diverse range of events from sporting fixtures to family entertainment alongside live music performances, and is designed to feature “world-class acoustics” to provide fans and artists “the ultimate sound experience while noise levels are reduced to maintain a peaceful environment outside the arena”.

A spokesman for the consortium behind Cardiff arena said: “We are committed to delivering a world-class arena for Cardiff and Wales.

“Working with Cardiff Council, we are taking direct control of the next phase of construction, keeping on the expertise of the subcontractors already on site.”

McLaren construction were contacted for comment.