A CITY centre campus for the University of Wales, Newport, has moved a step closer today.

Building contractor HBG were appointed to prepare the land on the banks of the River Usk.

Initially, the company will carry out site clearing work.

It is hoped the £35 million campus will become a "hothouse of creativity, innovation and entrepreneurial activity".

The new campus, near the spectacular footbridge, will be the base for Newport Business School and the design, film and digital media aspects of the Newport School of Art, Media and Design, both renowned in their fields.

It is set to be the first phase of a £50 million development for the university with partnership funding from Newport city council and Newport Unlimited.

The university aims to transform the city centre by becoming a magnet for cultural activity along the riverfront and a centre for enterprise embracing a contemporary arts centre, extensive exhibition space and national photographic archive.

It is expected that the campus will be completed in 2010 to co-incide with the Ryder Cup coming to the city.

"The university's new city centre campus will feature an innovative hothouse at its core where designers, media specialists, business researchers and entrepreneurs will work together and spark off each other to create new commercial ideas to help drive entrepreneurship and creativity in the regeneration of the city," said Chris O' Malley, pro vice-chancellor (regional and international development).