Plans for a £500m regeneration project in Birmingham – introducing new leisure facilities, a hotel offering, retail space and offices – have moved a step further ahead after a constructor was chosen to begin enabling work on the first phase of the project this autumn.

Wolverhampton-based firm Carillion has been elected to work on the 17-acre Paradise Circus mixed-use scheme, which is being developed by Paradise Circus General Partner: a joint venture between the city’s council and the British Telecom Pension Scheme, managed by Hermes Real Estate.

As well as a hotel, leisure facilities and 1.8 million sq ft (167,225sq m) in office space, the project will see the creation of shops, cultural offerings and civic amenities.

Paradise Circus is to be located within a public space between Birmingham’s Chamberlain and Centenary squares, with the regeneration being conducted over three building phases in accordance with a planned completion date between 2017 and 2018.

Glenn Howells Architects is behind designs for the first building being created, with Argent looking after the design and delivery of the project and Grant Associates producing the landscape architecture at the site.

Its developers hope the scheme will make an important contribution towards the council's delivery of Birmingham's new Enterprise Zone and Big City Plan, which will see the council attempt to turn Birmingham into a global destination by 2030.