Tony Owen, proprietor of Owens restaurant and bar in Southport, is to develop a £3m boutique hotel in the town.
The 21-room Owens The Hotel, which is scheduled to open in June 2008, will be the first hotel in Southport's Post Office Quarter.
The development, which has begun with the introduction of two new function facilities and a new restaurant scheduled to open next month, will include a roof terrace bar as well as open air café facilities and balconies overlooking the town centre.
The hotel will cater for both leisure and business travellers with all rooms having broadband internet access. Planning permission for a further 15 rooms and a health spa is currently pending.
Owen said: "Improving the outlook of the old Post Office area has been key to the project. We wanted to breathe new life into an otherwise drab area, and our hotel will have a long term, beneficial effect."