A permanent home for the Great Tapestry of Scotland will be delivered within its £6.7m budget despite construction costs being above initial estimates.
A guide price of £4.6m was given when the contract notice for the project in Galashiels was first published.
However, Stirling-based Ogilvie Construction will be paid nearly £4.9m excluding VAT for the scheme.
Scottish Borders Council said the first figure was a "pre-tender estimate" and had been used "purely as a guide".
It said not all the elements of the project had been included in the initial contract notice but it remained within their "affordability cap" for the overall project budget of £6.7m.
The council recently released a new set of images of how the "landmark facility" will look once it is completed.
It is hoped the visitor attraction will create 16 new jobs and bring about 50,000 visitors a year to the area.
It is part of a wider regeneration project which includes a town trail and sculpture of Robert Coltart, the author of Ally Bally Bee.