WORK to complete the major restoration of Winchester's theatre Royal is expected to resume soon.
The £3.8 million project came to a standstill more than five weeks ago when the contractors, Grist Construction, went into receivership.
Crucial negotiations are currently being held with new building contractors and theatre bosses hope an agreement will be reached shortly.
The theatre, which has been closed for three and a half years, was scheduled to re-open next spring.
But it is now highly unlikely that construction work will be finished by Christmas, as originally planned, which could delay the opening.
"We hope to make an announcement in the near future about the construction company that is going to be taking on the work," said theatre spokesman Iain Campbell.
"There is a great deal of complexity involved and a lot of parties involved with the negotiations. "But it should be weeks, rather than months, before the work starts again.
"It is too early to say when we are going to be able to re-open the theatre. When the work stopped it was on schedule."
Despite the setback, Mr Campbell emphasised that fundraising for the theatre was still continuing successfully.
Approximately £180,000 is still needed for technical equipment to complete the appeal.
"It is not an ideal situation, but funds have still been coming in at fairly steady rate," he said.
A concert, staged last week by an Italian choir at the city's Chapel of the Hospital of St Cross, raised more than £1,500 for the fund.
The money will go towards providing facilities so that disabled people can attend the the-atre when it re-opens.
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