Edinburgh Council officials have recommended approval for the £850m new St James Quarter.
Plans include the demolishment of an office block and the St James Centre at the east end of Princes Street, located within the Edinburgh World Heritage Site.
Designers Allan Murray Architects want to replace the 1970's eyesore with a modern quarter of retail and office space, linked by public squares.
If planning permission is granted retail space for 90 stores will be created in addition to 15,000 sq ft of office space, up to 250 homes, a hotel and 1,800 car parking spaces.
According to Allan Murray Architects the new St James Quarter would restore the city's reputation as one of Europe's best shopping destinations.
If approval is given construction will begin in 2011 with completion scheduled for 2016.
(GK/JM)
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