The move follows the restructuring of leases on the site by property giants Grosvenor and Derwent who have now formalised a joint venture to redevelop the site.
The existing properties occupy a site of over 1.5 acres, at Hyde Park Corner. Redevelopment plans will include a luxury hotel, office and apartments.
Architects are in the process of being selected to transform and extend the existing 168,000 sq ft floor plate in a scheme which experts estimate will cost at least £200m.
John Burns, Chief Executive at Derwent London, said: “Having assembled the ownership of this site over many years, this initiative unlocks the opportunity for a substantial redevelopment in one of the best locations in the West End.”
Giles Clarke, Grosvenor Britain & Ireland’s Executive Director with responsibility for its London estate, said: “Signing this deal with Derwent London means we can now start working up detailed plans for this important site.
“This is one of the most exciting development opportunities currently available in prime central London.”