Multibuild the Stockport contractor has won the £30m contract to rebuild and modernise the disused Cumberland House tower in central Birmingham into a Hampton by Hilton Hotel.
The building to open in the summer of 2012 is being given a new facia and a complete internal refit.
Liverpool-based Sanguine Hospitality will run and manage the redeveloped 285-bedroom hotel, which will become part of its fast growing portfolio of hotel and restaurant venues across the UK.
Nick Taplin, managing director of Sanguine Hospitality, said that the new Hampton by Hilton hotel was the second of three projects the company had planned for Birmingham.
Sanguine Hospitality, which is working to open a hotel in Birmingham’s Cube building, has also applied for planning permission to convert Kennedy Tower in the Snow Hill area of the city into a 224 hotel.