The group, which was founded by a group of former executives from Thistle Hotels headed by Bev King, will launch the 148-bedroom property in 2016. It is being built as part of a £14m development in Saw Close, which will incorporate a casino operated by French company Groupe Partouche and a restaurant.
Launched in 2011, Z Hotels is also expected to shortly announce the opening of a fourth hotel in London. To be developed in conjunction with Portman Estates, the hotel will be known as Z at Gloucester Place. The hotel will be located across six town houses in Gloucester Place, with the first phase across two of the houses opening in 2015 and the rest of the property launching the following year.
Z Hotels currently has hotels in Soho, Victoria and Piccadilly in London, in addition to properties in Liverpool and Glasgow.
The expansion of the group is being funded by a £4m loan from Santander Corporate & Commercial.