Investors have snapped up a plot with outline permission for a 32-storey skyscraper in Sheffield city centre.
Edinburgh-based COREM has bought the site on the corner of Pinstone Street and Furnival Gate from Turner Investments.
The company, which is backed by private investors, paid cash and will also act as developer.
Turner Investments obtained outline consent for a block of private rented flats - rivalling Sheffield’s tallest in height, St Paul’s Tower - a 13-storey building on Union Street and a new building on Pinstone Street.
There would be shops on the lower floors to create a ‘strong, active link between The Moor and the emerging Heart of the City 2’.
Existing buildings, including Mid City House on the corner and shops, flats and offices, would be demolished.
Richard Edlmann, director at COREM said: “We are delighted to have secured this prime freehold site located in the heart of Sheffield.
“It represents the opportunity for COREM to work with the city to develop a world class scheme which will serve to enhance the existing vibrancy and vitality of Sheffield city centre.
“We will draw on our extensive experience in the private rental sector to help meet the need for modern and well managed apartments with appropriate facilities, as well as our commercial pedigree to compliment the fantastic retail and leisure facilities recently added to The Moor.
“With our experienced team, market penetration and ability to deploy capital quickly we aim to continue to expand our UK commercial investment portfolio over the coming months.”
A spokeswoman said they hoped to start on site in 2020.
Jonathan Vardy, director at Turner Investments, said: “As a local company, we were determined to identify the right developer to deliver this complex project and believe COREM has the necessary attributes to take it through to a successful conclusion for the city of Sheffield.
“City living will form a crucial part in the continued regeneration of the central area by providing improvements.”