LGIM Real Assets (Legal & General) has signed an agreement to develop a new hotel in the heart of Glasgow city centre.

Designed by NORR architects, the new hotel will be located on West George Street immediately opposite Queen Street Station and has been pre-let to Meininger Hotels on a 25-year lease.

The new hotel will provide 160 rooms and the scheme will also create around 1400 m2 of new retail space at basement, ground and mezzanine levels.

Craig Westmacott, senior fund manager at LGIM Real Assets, said: “We are pleased to be working with Meininger Hotels as they seek to expand their successful brand into the UK. This site is an excellent location for a new hotel and together with the redevelopment of Queen Street station will bring significant improvements to this key area of Glasgow city centre.”

Hannes Spanring, CEO of Meininger Hotels, added: “Great Britain is a very important market for us and Glasgow as Scotland’s largest city is the perfect location for another Meininger hotel in the UK. The Glasgow hotel is an excellent addition to our portfolio, due to its prime location in the heart of the city centre.”

The opening is scheduled for 2020 with construction due to begin this year.