Shepherd will convert the grade II listed former Berners Hotel in Fitzrovia into a luxury lifestyle hotel under the EDITION brand, created by Marriott International in partnership with American hotelier Ian Schrager.
The contract award means Shepherd will return to the site almost two years after leaving when the project stalled under previous owner JJW Hotels & Resorts which fell into administration in August 2010.
Shepherd has launched a £5m legal action against JJW claiming unpaid bills for work under the original £31m contract.
Marriott plans to have the hotel open by 2013 with 175-rooms behind the restored facade with construction due for completion in December 2012.
Mark Tant, Shepherd Construction’s managing director for the South Division said: “It is fantastic for us to be back on-site on a project that we can now see through to completion.
“We’re delighted to be working with Marriott International and look forward to seeing the London Edition open in 2013.”