Vinci Construction is understood to be in final talks to sign the building contract for the new hospital, which is designed by Lord Foster.
It will be built at Didsbury Point on land previously owned by Countryside Properties and Liberty Property Trusts.
Circle, an employee-owned partnership of clinicians, purchased the five acres site fronting the A5103 Princess Parkway for its new hospital, which will be known as CircleManchester.
Outline planning permission has already been granted by Manchester council and it expects to open its doors to the first patients in 2013.
The new facility is adjacent to Countryside Properties and Liberty’s 55,130 sq ft office building, One Didsbury Point.
Mark Chatham, director at Countryside Properties, said: “Ironically, the wider site used to be the home of the original Withington NHS Hospital which closed in 2002.”
Circle opened its first new build hospital, CircleBath, in March 2010, and Vinci Construction is presently building Circle’s second new build hospital, CircleReading, which is due to open in autumn 2012.