The £121m job for Grove Developments will see Balfour design and build the 452-room hotel and 100 serviced apartments within the two-building complex.

Its contract will also involve hard and soft landscaping works designed to create VIP access to London’s O2 arena.

The new hotel will be built to achieve a BREEAM ‘Excellent’ rating boasting photovoltaic panels and rainwater harvesting, which will lower the building’s energy consumption and reduce demand on mains water.

All hotel and apartment bathrooms will be constructed off site as individual modules before being transported and installed.

This modular system saves construction time on site and reduces carbon emissions by minimising the volume of lorry movements.

Balfour Beatty Chief Executive Officer, Andrew McNaughton, said: “We are delighted to see that our customers are eager to embrace sustainable best practice to develop a scheme that will help promote UK trade and investment, and welcome the opportunity to apply the sustainable construction methods we have been developing as part of our complex building offering.”

The hotel will be accompanied by a separate tower of serviced apartments

Work will begin this summer and is due for completion in summer 2015.

Also this week, Balfour Beatty confirmed its appointment to construct an £12m Aloft Hotel development project for Ashall Property.

Situated on the corner of North John Street and Dale Street in Liverpool’s city centre, the scheme will transform the unoccupied Grade II listed, gold-domed Royal Insurance Building into a 116-room design-led Aloft Hotel.