Plans have been approved for the first phase of the multi-million pound redevelopment in Manchester to include a 150 room hotel and a five-storey office block.
The project, designed by Manchester architects HKR, will transform land at the junction of Great Ancoats Street and Pollard Street in Ancoats.
The approved plans, submitted by developer Royal London Asset Management (RLAM), include a seven storey, three-star hotel alongside a 3,700 sq m office building.
The application for phase one of the mixed use development has been agreed by planners at Manchester city council.
Phase two will include a 20,000 sq ft food store and 74 homes, including one to three-bedroom apartments and town houses.
The hotel will be one of the Etap chain, which is part of the Accor group.
French firm Etap Hotels has more than 380 hotels across Europe.
It is estimated more than 160 jobs will be created for the office and retail elements of the development, plus scores more at the hotel.
An RLAM spokesman said: “Now that our plans have been approved, we will be pushing ahead with the site clearance and redevelopment work with a view to completing the build in the third quarter of 2011.
“We are in discussions with a number of brands about the new retail shopping space and hope to be able to announce some prospective new tenants in the coming months.”
Both buildings feature modern design said to be inspired by the mills and cotton warehouses that previously thrived in the area and the development will be powered by low-carbon technologies.
The site marks a gateway into the Ashton Canal Corridor, a significant regeneration area that connects the city centre with Sport City.