Chinese developers have been given the green light to build a 25-storey tower block on Digbeth High Street.
The striking tower is part of the wider Lunar Rise scheme to build 517 apartments on the former Renault car dealership site.
It is the second major Birmingham investment by Shanghai-based Prosperous Global China (PGC) Capital in Birmingham following the development of 77 apartments in Legge Lane, in the Jewellery Quarter.
The new development, at 75-80 High Street, includes 263 one-bedroom, 252 two-bedroom and two three-bedroom apartments as well as shops, bars or restaurants along the ground floor.
It will include two ten-storey blocks as well as the landmark 25-storey tower.
Lunar Rise is the latest in a series of schemes, including the huge Irish Quarter project, to transform the Digbeth area ready for the arrival of HS2 and the Metro tram.
The council's planning committee voted to approve the plan designed by Architects Corstorphine+Wright.
Coun Peter Douglas Osborne (Con Weoley) said: "It is a great investment in an area where it is needed."
And Coun Keith Linnecor (Lab Oscott) added: "It's a quality design, it doesn't stand out and at night will shine out like a beacon."
The development is called 'Lunar Rise', after the city's historic Lunar Society, a group of 19th century polymaths who used to meet in Birmingham on the Monday nearest to the full moon.
Francis Cole, PGC Capital's UK president, said: "This iconic development will be at the vanguard of Digbeth's transformation and will establish a new 21st century look to the area.
"Birmingham City Council's 25-year masterplan is one of the largest urban regeneration schemes in Britain and the city is leading the way with the huge redevelopment plan off the back of HS2.
Digbeth is one of the areas set to benefit most, with new landscaped pedestrian routes through to the city centre, major transport hubs and a surge in investment.
"Digbeth's strong community of creative and digital businesses, independent shops and cultural activities have a central role to play in Birmingham's future.
"PGC Capital is focused on developing close working partnerships with local government to create developments that satisfy the needs of all the shareholders involved."
Construction company ISG will start building work later this year.
Regional director Wayne Flannery said: "This major regeneration scheme is expected to act as the catalyst for further redevelopment in this strategic location, close to the planned HS2 hub."
He said parts of the project would be assembled off site and put together to speed up the process and lessen the impact of building work on the area.