A giant 40-foot traditional Chinese arch will welcome visitors to Birmingham’s Chinatown when it is installed as part of a multimillion-pound new public square.

The Southside Square development will transform the area around Hurst Street, Ladywell Walk and Thorp Street into a vibrant public space fit for markets, festivals and outdoor performances.

Traditional Chinese dragons on plinths will also mark the Hurst Street entrance to the area.

Meanwhile, the Ladywell Walk through road will be closed and partly pedestrianised to unite the Chinatown area with a public square.

It has been dreamt up by the Southside Business Improvement District , the Chinese community, the Hippodrome theatre and city council as the latest step in the transformation of the city centre.

Designs for Southside Square in Birmingham

James Wong, chairman of the Chinese Festival Committee and director of Chung Ying Group, said that the new square will be pedestrian-friendly, making it easier to get around.

“This new space also enables us to showcase the fantastic arts and culture we have here,” he said.

“The Chinese arch is something we have been working to achieve for a long time, creating a permanent celebration of Chinese culture in Birmingham and an icon that will be celebrated for years to come.”

Birmingham Hippodrome has pledged to use the square for outside performances.

Chief executive Fiona Allan said: “This will be an exciting and new creative space where local communities can gather for cultural experiences, as performers, participants and audiences.

“We look forward to enhancing our performance programme in this space as we grow our festivals and our community projects for increasingly diverse audiences”.

Paul Garry, chairman of Southside BID said: “We anticipate the square will provide a safe and welcoming environment for all visitors and residents to enjoy and we are working hard with our partners to make this project a reality.”

Designs for Southside Square in Birmingham - view along Hurst Street

Funding will be sought from the Greater Birmingham and Solihull Local Enterprise Partnership’s Enterprise Zone initiative, spin-off funds from recent residential development and contributions from local businesses, organisations and community stakeholders.

The plans have been unveiled two weeks after planning permission was granted for the £70 million revamp of the Ringway Centre on Smallbrook Queensway, which includes the demolition of the Hurst Street link bridge .

On the other side of the district, the Birmingham Wholesale Markets are due to close later this year to pave the way for the £500 million development Birmingham Smithfield district with 2,000 homes, businesses and gardens.

Birmingham City Council leader John Clancy said: “Southside Square will give a new heart and stronger identity to Chinatown, as well as extending the benefits of the New Street Station redevelopment with improved pedestrian and cycle links.”