The project is part of the university’s strategy to offer world-class research and education, as well as a wider student experience.
As part of the deal, the consortium will design, build, finance and operate the new facilities on a 51-year concession.
The scope of the project includes the design and construction of two new facilities featuring 1,000 bed spaces, a new University hub with a 300-seat banquet hall, and sports and music facilities.
Interserve CEO Debbie White said: “We are delighted to have reached financial close on this project and look forward to starting on site imminently.
“This project builds on our extensive experience in the further education sector and our strong 15-year relationship with Durham University.
“Through our understanding and expertise in delivering market-leading education projects, we are proud to be supporting Durham University to realise their University Strategy 2017-2027 by delivering these world-class facilities.”
Interserve will begin construction on the project shortly, which is expected to be completed in 2020.
Durham University vice-chancellor Stuart Corbridge said: “Our ambitious University Strategy 2017-2027 aims to ensure we continue to deliver world-class research, education and wider student experience.
“The development of two college facilities at Mount Oswald, including one brand new College and a purpose-built new home for our John Snow College, is a key project in delivering a wider student experience as good as anywhere in the world.”