The build will be a new 157 compact bedroom hotel and will be the second of its kind in the city.
The Hub by Premier Inn hotel is expected to be completed by late 2015 and will be located on Rose Street. The other hotel is a 131-bedroom "hub" in the historic Old Town, in the Caltongate area.
-- Advertisement --
'Hub' rooms are said to save on space by having a desk that slides into the wall and luggage storage under the bed. The rooms, at 11.4sq m, also have an en-suite bathroom with power shower, free Wi-Fi and a 40" smart screen television.
Patrick Dempsey, Managing Director at Whitbread Hotels and Restaurants, said: "As a city, Edinburgh ticks all the boxes as a perfect location for our hub brand.
"It's a popular tourist and business destination with strong demand for good value, quality hotels.
"We believe hub will prove to be a tremendous success, appealing to more price sensitive customers seeking quality accommodation in the centre of the city."
(JP/CD)
