Pinnacle Student Developments is selling 477 student flats on the site of the former Odeon cinema in Liverpool's London Road.
The site near Lime Street Station has been used as a surface car park since the cinema was demolished in 2010 after Odeon relocated to Liverpool One.
The Paramount will include 477 units over 10 floors; 430 en-suite student bedrooms and 47 studios with kitchen. Pinnacle is offering the units to investors at an assured 9% yield over five years.
Andrew Dixon at Pinnacle Student Developments said: "The city centre location of the development is excellent, so we wanted to purchase the land before other investors swooped in."
Short-term funding was secured from Bridging Finance to acquire the land. Chris Baguley, managing director of Bridging Finance, said: "This was a highly sought-after city centre site, prime for redevelopment so we worked hard to ensure we were able to provide fast access to finance so Pinnacle could purchase the land and start the reel rolling. Many traditional high street banks have stricter lending rules and it can be a timely process, short term funding is perfect for any property professional that needs to act quickly."
Pinnacle's scheme will be named Paramount after the original Paramount theatre on the site, taken over by Odeon in the 1940s.
Completion is due later in 2014. The project was designed by BLOK architecture.