LANCASTER University's multi-million pound plans to build new residences for students have taken a step forward this week.

Two preferred private sector partners have been short-listed for the multi-million pound project, which will see 1,600 new rooms constructed in the next six years, some of which will replace existing accommodation.

University chiefs say more details will emerge after the private sector partner is announced, but have said that the new accommodation is likely to cater for an increase in student numbers as well as allowing a higher proportion of students to live at Bailrigg.

The university has been forced to drastically reduce the number of students returning to live on campus after their first year because of recent problems, which have seen first years forced to live in the city centre.

They have also refused to confirm the details of the accommodation to be provided - rumours have been circulating for several years that upmarket facilities, including en-suite bathrooms, cable TV and internet access will be part of the package, allowing the university to charge higher rents.

Most of the university's current buildings were built in the 60s and 70s, with one college reputedly based on the design of a Swedish prison.

The university's director of resources, Euan McGregor, said: "We have been very pleased with the interest and innovation shown by the private sector so far.

"The evaluation process has been demanding and we are looking forward to working with Jarvis UPP and Norwest Holt to refine their proposals."

The consultants for the scheme will be Insignia Richard Ellis North West who have recently completed a £21 million development at Wigan and Leigh college.

Managing director, Christine Hanson, said: "Lancaster University is committed to significantly modernising and improving the facilities available on campus.

We are currently undertaking a property development and advisors role to assist the university to achieve their objectives.

"We are now one of the leading property educational advisors in the UK and the Lancaster instruction fully utilises our team approach."