Work has commenced on the refurbishment of a historic Birmingham city centre building as a new 110-bedroom apart-hotel starts to take shape.

The first phase of the much-delayed Beorma Quarter scheme in Digbeth will comprise a new Adagio serviced apartments complex, and an office complex and innovation centre in the former Digbeth Cold Storage building which was designed in 1899 by Ernest Bewlay for the Linde British Refrigeration Company.

Completion of this first phase by BAM Construction is scheduled for autumn with the concrete frame due to finished by September.

Later plans for the Beorma Quarter, which is backed by Kuwaiti real estate development company Salhia and has been valued at £150 - £200 million, include a 27-storey landmark tower.

The project in Allison Street is named after the man who founded Birmingham in the seventh century and was first mooted in 2008 but the challenging market conditions and the complex nature of the site mean it has been beset by delays.

Work was due to start in 2009, then in 2010 and again in 2012 following a land grab dispute the previous year.

Now finally underway, the project has already provided work for 300 people and almost £2 million in contract wins for local companies including Coleshill-based Parkstone Group which is carrying out the enabling works and groundworks.

John Mensforth, construction director for BAM in the Midlands, said: "Salhia has read the market carefully and has judged this is the ideal time to develop the exciting Beorma quarter.

"This will greatly enhance the ever-improving Birmingham skyline and bring quality hotel accommodation right on the doorstep of the city's commercial heart.

"It is a highly visible project and will have a real impact on the people of Birmingham."

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