Construction is set to start on a new 140-bedroom Ibis hotel in Queen's Road, Brighton.
Contractor and developer McAleer & Rushe will start work on the new nine-storey building this week.
The hotel will replace the former Grosvenor Casino on Queen's Road, just outside Brighton railway station. Work on-site will continue until June 2013.
Thomas Dubaere, managing director, Accor UK & Ireland, said: "We are very excited to be opening a new hotel alongside McAleer & Rushe in the vibrant city of Brighton & Hove. It is an important destination for the Ibis network of hotels and continues Accor's strategic and ambitious expansion in the UK to increase our presence to 300 hotels by 2015."
By Neil Gerrard
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