InterContinental Hotels Group has signed a franchise agreement with Peel Leisure for a 218-bed Holiday Inn at Media City UK in Salford Quays.
The hotel will open under the new Holiday Inn brand standards, which are currently being rolled out across the world.
The hotel is due to start operating in autumn 2010 and will be equipped with a bar, restaurant, and meeting rooms, as well as gym facilities.
Bryan Gray, chairman of Peel Media, the owners and developers of Media City UK, said: "We're creating a true city environment here at Salford Quays, and the Holiday Inn will be an important part of the wider Media City UK community."
"With the first residents due to move into their new Media City UK apartments in the spring, this latest announcement shows how the development of the city is really gathering momentum."
The Media City UK Holiday Inn will be operated by Peel Leisure, a division of the Peel Group.
Peter de la Perrelle, director of Peel Leisure, added: "We're delighted to be bringing one of the world's best-known hotel brands to Media City UK."
The Holiday Inn re-launch is the biggest in the hotel industry with a £600m investment across more than 3,200 hotels and 430,000 rooms worldwide, due to be completed by 2010.
Andrew Gill, vice president of development for InterContinental Hotels Group, commented: "Signing the Holiday Inn at Manchester's Media City UK in such a tough economic climate is testament to the strength of the Holiday Inn brand and the importance of the Holiday Inn re-launch. It's an ideal location and we're confident the hotel will be an asset to the development."
The BBC will move nearly 2,500 staff to Media City UK from 2011 onwards, including five departments currently based in London. The keys to the first of three buildings for the BBC were handed over in mid-October. The BBC has so far only been joined by Salford University on the office tenancy schedule.
Peel Media marked the completion of the highest point of phase one of Media City UK in July.
The first phase includes approximately 80,000 sq ft for retail and leisure use. The space will be divided into a range of units across the site, providing shops, cafés, bars and restaurants.
Bovis Lend Lease started work on site in 2007 and Peel Media is investing around £500m in phase one, which covers more than 36 acres alongside the Manchester Ship Canal. When it opens for business in 2011 the site will be home to one of Europe's biggest HD TV studios, along with a waterfront piazza capable of accommodating up to 9,000 people.
Media City UK will be home to around 5,000 workers, students, residents and visitors when the first phase opens.
It was announced yesterday on Place, that a second agent, WHR, would be added to the marketing effort at Media City UK. Cushman & Wakefield has been sole letting agent at the high-profile 5m sq ft scheme since its launch two years ago.