Derwent Holdings, which owns the retail park and a number of sites on the dual carriageway, wants to create a 600,000 sq ft shopping park.

The developer said if it secures planning permission at a meeting of city planners next week it is ready to start site preparations right away.

Derwent said its plans for Edge Lane retail park will turn the key gateway into an attractive boulevard.

John Taylor, from Derwent Holdings, said the first thing the company will do if planning permission is granted is remove the “grot-spots” blighting Edge Lane.

“We are ready to start straight away. The £200m is allocated.”

As part of the wider regeneration strategy, Derwent has agreed to provide a site for an extension to Mersey Care’s mental health facility at Rathbone Hospital, which was given planning permission earlier this year.

The developer will also construct  a larger Victorian-style park to replace the current semi-derelict Rathbone Park and clean up their extensive land holdings.

Once the four-year build is complete the huge site will provide work for 2,000 people, the company said.

Mr Taylor said the jobs would be a “significant increase” on those that already exist.

Cllr Joe Anderson said: “The thing that excites me about this project is that providing it gets planning permission it will happen because Derwent has the money to do it.

“This is a great opportunity to create jobs in the Old Swan and Kensington areas, and it will also bring much needed regeneration to that part of Edge Lane.”