Grangefield Estates has been granted outline planning approval by Manchester City Council for the 4m sq ft Health City on a 38-acre site at Chancellor Place near Piccadilly station.
The developer plans to deliver extensive offices, 2,000 homes aimed at families, hotel and leisure uses around the first multi-purpose healthcare complex to be delivered by the private sector in the UK.
Health City will contain primary and secondary care and sports rehabilitation facilities available to both private and NHS patients.
The scheme will be linked to the city centre by a new bridge across the Mancunian Way, the city's inner ring road.
The plans were developed by GVA Grimley with the council and New East Manchester. Eddie Smith, chief executive of New East Manchester, said: "Chancellor Place will make an important contribution to the long term regeneration of east Manchester. Not only will it develop a strategic site in the area but it will create much needed new jobs for local residents. Health City is an exciting concept and we are keen to see it come to life in east Manchester, taking advantage of the area's and indeed the city's excellent transportation links."
Philip McGuinness, development director of Grangefield Estates, added: "Grangefield is committed to Manchester and the delivery of this ambitious plan. We have been working on Chancellor Place since 2003 and obtaining planning approval is a significant step towards delivering this project for Manchester and the North West.
"We are keen to continue working with the city to break new ground in the UK healthcare market through this innovative project."
Gerry Hughes, director at GVA Grimley, added: "This is one of the most exciting and ambitious projects in Manchester. It is certainly not 'more of the same' for the city. It will truly put Manchester on the world stage for healthcare provision, linking into the city's existing strong international reputation. We have had overwhelming interest from healthcare operators from across the world. It is now full steam ahead to capitalise on this interest and to prepare the ground to allow the scheme to take advantage of the market upturn in due course."
Other professionals working with Grangefield on Chancellor Place are EDAW, Martin Stockley Associates, MVA Consultancy, Eversheds, Hill Dickinson and Hoare Lea & Partners.