McLaren has appointed former Sir Robert McAlpine London boss Paul Heather into a new role at the £650m turnover business as it looks to challenge the premier league of Tier 1 firms for work.

Heather, who started this week, left McAlpine last September after four years at the firm, having joined it from Skanska where he spent 17 years.

His new role at McLaren is group managing director of its construction business where he will report into the firm’s owners Kevin Taylor and Phil Pringle. “We’ve been talking to Paul since before Christmas,” Taylor, who is the firm’s chairman, said.

Taylor added the firm’s construction arm was eyeing revenue of £750m in its next financial year, which ends in July 2023, and is looking at recruiting a further 100 people to the payroll to bring the number up to 750.

He said McLaren was eventually looking at picking up some jobs currently the preserve of a handful of major contractors.

Its major clients include British Land and Taylor added: “It will take time but other developers of that ilk have asked us to discuss projects with them that haven’t in the past. It’s a growing market and there is space for new entrants.”

McLaren recently beat Sir Robert McAlpine to an £80m scheme to turn the former House of Fraser flagship on London’s Oxford Street into a mixed-use scheme.

“Paul will help us grow London and major projects,” Taylor said, adding the firm was also looking at carrying out some construction management work.

One industry source said: “Paul Heather is a highly regarded guy in the London scene. I think a number of the premier league Tier 1s have lost their way and the clients are disillusioned with what value they are bringing. He will give McLaren more kudos in the eyes of both developers and the key design and cost consultant houses.”

And one major London consultant added: “I think it will take more than [Paul Heather] to rival the Tier 1s at the moment but it’s a step in the right direction.”

At McAlpine, Heather worked on a number of high-profile schemes include the Stirling Prize-winning Bloomberg building, 100 Liverpool Street for British Land and the redevelopment of Wimbledon No 1 Court.