Contractor Sir Robert McAlpine has been named preferred bidder to build the £92m Wales Millennium Centre in Cardiff.
McAlpine saw off competition from Taylor Woodrow and will now work with the centre to fix the construction price. Carillion dropped out of the running for the scheme last month.
The overall budget for the national arts centre is £92m, and the ceiling on construction costs is £60m.
The centre expects to sign off the contract with McAlpine by the end of the year.
A project spokesperson said: "Now we have to go through everything with a fine-tooth comb to get the final fixed price."
The choice of McAlpine is the latest development in the troubled history of the centre.
The original plans for the project were scrapped last year, after Amec and the centre could not agree on a price. In April, construction managers Schal and Citex/Mace were stood down after they refused to give guarantees about the price.
