The 205-bedroom hotel will be built on a car park site to cater for business and leisure guests and will offer an on-site gym and conferencing facilities, as well as a ground-floor bar and restaurant.

Robin Dobson, UK director of development and project management at Hammerson, said the firm also owned a 10-acre site just north of Victoria Leeds, which would be brought forward for development in due course, creating a new mixed-use City Quarters neighbourhood.

Designed by architects Acme, who delivered Victoria Gate, the new hotel façade takes inspiration from the surrounding architecture and the city’s rich merchandising and textile history.

It will sustain nearly 1,000 construction jobs over the life of the project.

The Victoria Gate Hotel is one of the first schemes Hammerson has brought forward as part of its new City Quarters concept.

This will see the developer invest in transforming many of its city venues beyond pure retail into successful neighbourhoods providing homes, workspace, hotel space and accessible public realm.

This latest announcement follows the recent submission of mixed-use masterplan applications for both Martineau Galleries in Birmingham and the Shoreditch Goodsyard in London.