Work has begun on a new £9.3million arts centre on the banks of the Clyde.

First Minister Alex Salmond kick started the project, to replace Greenock’s old Arts Guild with a state-of-the-art facility at Greenock waterfront.

He said: “I am honoured to be cutting the first sod of such an inspiring project that will not only provide a modern facility for the people of Inverclyde, but will also help drive forward regeneration throughout the region.

“This promises to be one of the finest theatres of its kind and through the youth theatre and education elements of the programme, offers young people an opportunity to build their self-esteem and skills.

“The Guild has an impressive track record of delivering high quality arts activities in Inverclyde.

“Thanks in part to considerable Scottish Government support, the stage is set for this stunning vision to be turned into reality.”

The new arts centre will carry on the tradition of Greenock Arts Guild, which has been successfully delivering arts and theatre events in Inverclyde for 60 years.

The new centre will be on a prime, former dockyard, location next to the historic Georgian Custom House, with superb views over the River Clyde.

It will form part of the wider regeneration of former industrial land along the waterfront.

The centre will house a 500-seat auditorium, a 130-seat studio theatre, rehearsal rooms and a café and bar with views over the Clyde.

It is hoped it will be open by 2012.

The project is jointly funded by Greenock Arts Guild and its project partners Creative Scotland, Inverclyde Council, Riverside Inverclyde and the Big Lottery Fund.

Greenock Arts Guild chairman Elliott McKelvie said: “We are delighted to have the First Minister launch the construction phase of our exciting project.

“Within 18 months, Inverclyde will have one of the best arts centres in the UK, offering a diverse range of performance as well as being a social hub at the heart of the community.”

Regeneration convener councillor Jim Clocherty said: “The council is one of the key investors in the new Arts Guild and I am pleased that the project has been given the support of the First Minister.

“I would like to welcome him to Inverclyde where I am sure he will be equally impressed to hear about the other exciting regeneration projects under way in the area.

“We have committed £2.5m to the Arts Guild and once completed it will be at the centre of a transformed waterfront and at the heart of our community.”

Bill Nicol, chief executive of Riverside Inverclyde, said that Riverside Inverclyde had worked hard in support of the new arts theatre and was instrumental in securing the site at the East India Harbour.

He added: “It’s great to see the First Minister on site and it’s also fantastic that the construction of the theatre will be under way in advance of the Tall Ships event in 2011.

“A new theatre will greatly improve the attraction of the waterfront area and secure the Greenock Arts Guild’s ambitious plans for the arts in the west of Scotland”