The office is part of a wider council-Muse partnership redevelopment, which will see two further new buildings and public green space created.
The site was originally earmarked for two skyscrapers but the £115m Criterion Place project was abandoned in 2008 following the property slump.
David Wells, Development Director, Muse Developments said: “We are very excited about the opportunity for Muse to undertake its first major office development in Leeds city centre and we look forward to working closely with our partners to deliver one of the few pre-let, Grade A, office buildings to be proposed in the city over the next few years.
“Our already good relationship with the Council and experience elsewhere in Yorkshire will help to deliver Sovereign Square as a significant new space within the city.”