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The scheme is designed by Watson Batty and managed by Hadron Consulting.
Located near Caerphilly’s public transport interchange, the new hub will transform a patch of disused scrubland into a flagship destination offering a wide range of facilities for residents of all ages and abilities.
The timber-clad building will include a six-lane swimming pool, fitness and health suites, squash courts, cycle and studio spaces.
The project is being backed by £20m from the UK Government’s Levelling Up Fund, with the rest funded through council reserves.