London developer Galliard Homes has made an £110m agreement with Abu Dhabi based retail, hospitality and property conglomerate Lulu Group International.
The agreement will result in the creation of a bespoke 92,000 sq ft 5-star hotel within an imposing refurbished Edwardian building at 1- 5 Great Scotland Yard.
The address originally housed the original Scotland Yard Police Station.
As part of the agreement, Steigenberger Hotel Group has been selected as the hotel operating company creating a bespoke brand to be known as The Great Scotland Yard, which will form part of the portfolio of Signature branded hotels.
The hotel will provide a mix of luxury bedrooms, two bars, restaurants, library, lobby/lounge and private meeting, entertaining and dining rooms along with 24/7 concierge service.
An adjoining Grade 2 Listed Victorian townhouse will be incorporated to create a stunning entertaining suite.
The completed hotel will be arranged over seven storeys with two basement levels.
It will retain the grand Edwardian Imperial red brick and stone facade while the interior design will be contemporary and stylish.
The hotel is scheduled to open in the first quarter of 2017 and will provide employment for up to 250 full time staff.
Construction on site is now 30% complete with the interior fit out scheduled to start in March 2016.
Puneet Chhatwal, CEO of the Steigenberger Hotel Group, said: "This iconic 5-star hotel will mark the entry of the Steigenberger brand into the vibrant and world-renowned London hotel market.
"Our vision is to create an outstanding 5-star hotel drawing on our reputation for quality and service combined with the outstanding central location, grand architecture and fascinating history of Great Scotland Yard.”